MINING IN MEXICO — Geomaque study near completion

A feasibility study is expected to be completed soon at the San Francisco heap-leach gold project, 150 km north of Hermisillo, Mexico, of Geomaque Explorations (CDN).

President John Paterson says that studies to date have confirmed the grades and continuity of the mineralization and that there is excellent potential to increase reserves.

Current open-pitable reserves, which are contained in four tabular deposits in gneissic sediments, are estimated at 4.4 million tons grading 0.05 oz. gold per ton.

Geomaque is earning a 100% interest in the property, subject to a 3% net smelter return royalty, from Compania Fresnillo, S.A. de C.V. Fresnillo is owned 60% by Industrias Penoles, S.A. de C.V., one the largest mining companies in Mexico, and 40% by Amax (NYSE).