X-Cal options Pipeline-area ground

By way of a purchase option, X-Cal Resources (VSE) recently picked up a 3,000-acre parcel of ground in the Pipeline/Gold Acres area of Crescent Valley, Nev.

The property is located about five miles northwest of the Gold Acres mine, 60% owned by Placer Dome.

X-Cal noted that it is taking up a land holding in the area in the theory that additional new discoveries similar to the Pipeline deposit will be found in the camp.

Placer recently announced the discovery of an 11.3-million ton deposit grading 0.24 oz. gold per ton, and is currently operating 12 rigs on the property to fully define reserves.

X-Cal can earn a 100% interest in the Stitzel property subject to a 5% net smelter return by making advanced royalty payments of US$135,000 and issuing 200,000 shares during the four years of the agreement.

X-Cal plans to finish the compilation and documentation of work done by the vendors of the property, as well as obtain permits for a trenching program to test a recent discovery.

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