Tombstone adds to its Honduran holdings

Subject to the completion of a due diligence review, Tombstone Explorations (TSO-T) has acquired the Agua Fria mine project in Honduras from Battle Mountain Gold (BMG-N).

Tombstone is paying Battle Mountain US$30,000 for the property, which also requires small yearly payments to the underlying vendors.

Discovery of the Agua Fria dates back to 1915 and the property has produced an estimated 150,000 oz. gold, primarily from narrow-vein underground operations.

Richard Clark, president of Tombstone, describes Agua Fria as a good exploration target and says he has already received joint-venture enquiries from several parties.

The property hosts more than 20 veins, with most of the production coming from the Agua Fria and Pena Blanca veins, which are about 1,000 metres apart.

Both veins are developed by adits and shafts to a maximum depth of 250 metres, and the remaining resource at Agua Fria is reported to be 62,000 tons grading 0.4 oz. gold per ton.

Clark says the property has never been drilled, and points out that, in addition to the vein targets, a large granodiorite stock has been identified south of the main workings.

Previous work identified a large copper-gold anomaly over the intrusion, as well as copper-mineralized shears in adjacent host rocks.

Initial work on the property is expected to include mapping, sampling and trenching prior to drilling, and Clark says he may consider seeking a joint-venture partner to fund exploration.