Anglogold opts out of Colombia

Vancouver — In a move that puts Conquistador Mines a step closer to closing down exploration activities in Colombia, Anglogold has elected to stop exploring its regional gold project there.

California-based Conquistador holds the property through its subsidiary, Corona Goldfields. The junior is considering abandoning its properties and exploration activities in the country, owing to financial constraints, the depressed gold price, and Colombia’s political instability.

Such a move would leave the cash-strapped company focused on the Key West and Great Eastern platinum-palladium properties in Nevada. Earlier this month, Consolidated Epix Technologies inked an option to earn a 50% stake in those two properties.

Under the deal, Epix is required to pay US$175,000 in cash and spend US$500,000 on exploration. Shares in Epix have been halted, as the transaction represents a change of business for the company. As a result, Conquistador cannot assure shareholders that the deal will proceed.