If applications for an additional 21 mining claims in Peru are accepted, Peruvian Gold (VSE) will increase its land holdings in the country substantially.
The junior would see its holdings expanded by more than 19,000 hectares to a total of 72,800 hectares.
David Henstridge, president, says interest in the South American country is high among exploration companies.
On Jan. 2, the very day that it lifted a 6-month moratorium on acceptance of applications for mining claims, the government received applications for 6,681 claims totaling 5.5 million hectares. It was “a land grab of the best order,” says Henstridge; indeed, the total almost equals the number of claims lodged in the entire period from September, 1992, through to June, 1994. It is not known how many of Peruvian Gold’s applications will overlap those of other companies, and Henstridge expects the approval process to last several months.
In the meantime, Peruvian Gold has 10 geologists working on its various projects in the country, and expenditures this year are expected to use up about half of the remaining $1.6 million in working capital. The company is now working to identify drilling targets on three of its exploration projects.
Henstridge adds that efforts are being made to vend the company’s two most advanced projects — the Agua Verde copper porphyry and the Mont Dor epithermal gold project — to a third party.
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