Sulliden cuts more zinc

Montreal-based Sulliden Exploration (SUE-T) has reported more encouraging results from a 9-hole, 1,200-metre drill program at its Mario base metal property, 50 km southwest of Huancayo, Peru.

So far, Sulliden has drilled two areas at the property: an extension of a massive-sulphide zone drilled by Cominco (CLT-T) on the eastern flank of a dacitic dome; and a portion of a large electromagnetic anomaly discovered during a geophysical survey conducted by the junior in August 2000. The drilled portion of the anomaly — now named the Punapuna zone — occurs at a contact between marble and brecciated dacite on the western flank of the same dacitic dome.

The best results from six holes drilled into Punapuna include: 13.3 metres (at a 35-metre depth) grading 18.54% zinc and 4.66% lead, plus 452.6 grams silver per tonne, in hole PU-8; 3.9 metres (45-metre depth) of 7.87% zinc, 4.91% lead and 486 grams gold in hole PU-9; and 4.1 metres (15-metre depth) of 4.03% zinc, 0.92% lead and 107.1 grams silver in hole PU-2.

A previously reported hole, PU-1, was re-assayed, yielding grades of 9.8% zinc, 2.75% lead and 379.7 grams silver over 8.7 metres.

In the new year, Sulliden will resume drilling with an eye toward further testing Punapuna and its northerly and southerly extensions.

In August, Sulliden signed an agreement with Cominco to earn a 100% interest in the 2,700-ha property, where the major spent two years carrying out mapping, geophysical surveying and drilling.

Sulliden can earn its interest by spending US$1.2 million on exploration over six years, including US$100,000 in the first year. If Sulliden completes its earn-in, Cominco will retain a 2% net smelter return royalty.

Sulliden funded the recent work with proceeds from a $500,000 private placement completed in September.