Republic acquires Mexican gold prospect

A 6,500-acre, gold-silver property in the Madera mining area of northern Mexico has been acquired by Republic Goldfields (VSE).

The property is at the northern end of the Dolores Mining camp and is contiguous to the Dolores property which is being developed by Minefinders (VSE).

Minefinders has outlined a large mineralized area measuring 3,000 ft. wide by 12,100 ft. long. Within this area, the mineralization is concentrated in three en echelon northwest-trending zones which have returned values of up to 0.34 oz. gold per ton and 18.6 oz. silver.

Republic plans to proceed immediately with geological mapping, prospecting and sampling.

The company also reports that large-scale surface sampling, geological mapping and geochemical testing are being carried out on the Gaspar and Purial concessions in Cuba. A drill program on the two concessions, originally scheduled to have begun in June, has been postponed pending the availability of a drill rig.

Republic is also negotiating for a third Cuban concession.

In other news, engineering studies are nearing completion on Republic’s wholly owned Ellison gold property, near Cadillac, Que. The studies are being carried out to determine the economic feasibility of bringing the partially developed gold deposit into production.

Financing for the company’s various exploration ventures will come from a US$1.25-million private placement consisting of 500,000 units at US$2.50 each. A unit consists of one share and one non-transferable warrant to buy an additional share at US$3 until Dec. 6, 1995.