Zappa Resources (ZPA-V) has raised $1.5 million in a private placement with Cambior (CBJ-T). Proceeds will be used to explore the Papa Grande massive sulphide property in Ecuador.
Zappa secured a major land position in Ecuador’s emerging gold regions in 1993 by acquiring a package of properties, including Papa Grande and Mollopongo, which lie in the Ponce Enriquez camp. But the junior could barely afford to maintain the land holdings, let alone carry out exploration. It got a boost in 1995 when Ecuadorian Minerals (EMC-T) agreed to earn a 51% interest in the Guadalupe property, which adjoins its Gaby deposit, and Cambior optioned La Plata, a property in the north.
Cambior is now supervising drilling on La Plata and is preparing to undertake a drill program on Papa Grande.
To earn its option, Cambior is committed to carrying out a feasibility study, following a 15-hole drill program.
Five holes were drilled in a program in December 1996. Hole 1 intersected 7.5 metres grading 3.83 grams gold per ton, and hole 2 reported 20.4 metres of 1.75 grams, bottoming in mineralization. Hole 3 hit 14 metres of 1.79 grams.
At the Inca zone, hole 4 returned 17.71 metres grading 1.84 grams gold. Hole 5 hit 8 metres of 1.84 grams, 14 metres of 3.68 grams, 12 metres of 0.9 gram, and 18 metres of 1.23 grams.
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