Vancouver Looking to diversify its exploration holdings, Planet Exploration (PXI-V) has inked a deal to acquire the Copalquin gold-silver property in Durango, Mexico.
“We view the Copalquin property acquisition as a tremendous opportunity for Planet to further diversify its exploration portfolio with a very exciting project," says company President, Ranjeet Sundher. “Our joint exploration program on the Sidace Lake project provides us with the flexibility to expand our exploration activities within the constraints of our current resources and gives us another opportunity to participate in a new gold discovery.”
The new project lies in the Sierra Madre belt and hosts a series of parallel ridges of fault breccia covering 3 km. The property is considered prospective for both high-grade vein and bulk tonnage gold mineralization.
Under the deal. Planet must spend US$1 million on exploration, pay US$415,000 in staged payments and issue US$24,000 worth of stock over a 5-year period. At the feasibility study stage, Planet agreed to pay US$1 per oz of recoverable gold or its equivalent in recoverable silver. The vendor retains a 2.5% net smelter royalty, of which 1.5% can be bought for US$1 million.
The initial results from a 2,150 metre program over the Sidace Lake property in the Red Lake area of Ontario has returned promising values.
Hole 26 tested the down dip extension of mineralization some 200 metres below surface and returned 5.36 grams gold per tonne over 36.4 metres from 267 metre down hole. Included in this section was a higher-grade portion running 11.29 grams gold over 8.5 metres.
Hole 25 tested a coincidental induced polarization and magnetic anomaly some 450 metres east of the main zone, but despite cutting the favourable sericite schist horizon, returned only 0.3 grams gold over 28.6 metres.
Hole 12 was an extension of a previous hole which ended in mineralization and returned multiple low-grade intervals with one sample yielding 7.59 grams gold over 1 metre.
Earlier this year, Planet completed a 13-hole diamond-drilling program over the prospect. Hole 14 returned 122.7 metres grading 1.25 grams gold per tonne, including 11.65 metres of 3.9 grams and 5 metres of 3.6 grams.
Goldcorp (G-T) can earn 50% interest in the property by spending and cash payments totalling $2.55 million over three years.
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