Teck and W. Copper report mixed results from Mexico

Recent drill results from the Salvador massive sulphide property in central Mexico amount to good news and bad news for partners Teck (TEK-T) and Western Copper Holdings (WTC-V).

While the follow-up program has extended the zone of volcanogenic massive sulphide mineralization, the grades encountered proved much lower than those of the discovery hole.

Ownership in the property is split 55-45 between Teck and Western Copper, respectively. The partners discovered the massive sulphide horizon while drill-testing a copper oxide zone in the latter part of 1996. At a depth of 75 metres below the 10-metre-thick oxide zone, discovery hole 5 intersected a true width of 1.6 metres grading 3.68 grams gold and 213 grams silver per tonne, plus 16.57% zinc, 2.07% copper and 1.53% lead.

Four holes have since intersected massive sulphide mineralization, extending the flat-lying zone for a length of 275 metres to the west and 50 metres to the north.

Stepping out to the west, drilling produced the following results: hole 7 cut 1.9 metres grading 0.34 gram gold and 79.1 grams silver, plus 2.23% zinc, 0.22% copper and 0.32% lead at a depth of 80.5 metres; hole 10 returned 0.8 metre of 1.96 grams gold and 86.3 grams silver, plus 3.8% zinc, 0.37% copper and 0.82% lead at a depth of 88.5 metres; and hole 11 hit 0.6 metre of 0.54 gram gold and 38.1 grams silver, plus 0.2% zinc, 0.24% copper and 0.12% lead at a depth of 97 metres.

To the north, hole 8 intersected 1.3 metres grading 1.21 grams gold and 134.3 grams silver, plus 5.71% zinc, 0.9% copper and 2.53% lead at a depth of 50.4 metres.

No significant values were encountered in a previously reported 101.9-metre intersection of intercalated, semi-massive-to-massive sulphides from hole 9.

This interval was pulled from a sedimentary package of rocks while drill testing a geophysical anomaly 250 metres north of the discovery hole.

The partners continue to evaluate the near-surface oxide zone.

Reverse-circulation drilling will attempt to determine the accuracy of results received from a 35-hole air-track drill program, which the company says encountered significant gold assays over intervals of 3 to 9 metres in nine of the holes. Twenty-nine of the holes were reported to have intersected copper mineralization.

The oxide zone extends over an area measuring 600 by 350 metres, with a thickness varying from 3 to 30 metres.

Teck has proposed an exploration budget of $1 million for Salvador during the first half of 1997, most of which will finance geophysics and additional drilling. The joint venture project covers all mining rights secured by either Teck or Western Copper within a 225-sq.-km area of interest. To date, rights to 40,000 ha have been secured.

The Salvador project lies in Zacatecas state.