Cominco drills Accha zinc-lead property in southern Peru

Cominco (CLT-T) has completed a preliminary 4-hole drill program on the joint-ventured Accha property of Southwestern Gold (SWG-T) in southern Peru.

Cominco tested the extent of high-grade zinc-lead mineralization hosted by limestones within the main Tetiminas zone. The holes were drilled over a strike length of 300 metres and at various depths. A second phase of deeper drilling is expected to begin by month’s end.

Cominco can earn an initial half interest in Accha by paying Southwestern a total of US$1.25 million over four years and producing a bankable feasibility study.

At the separate Santo Tomas joint venture, Cominco can earn a 51% interest in the Cristo Rey, Huancaylla, Pistoro and San Antonio properties by spending US$6 million by the end of 1999 and paying Southwestern US$1.6 million over three years. The properties are in the Tintaya-Las Bambas copper-gold-iron skarn-porphyry belt of south-central Peru.

Cominco has completed the first phase of drilling on the Pistoro property and is drilling the Huancaylla property. The Cristo Rey and San Antonio programs are scheduled to be drilled later this summer.

Drilling is also planned for the 28,600-hectare Minaspata claim group, which surrounds the Cristo Rey property and is contiguous with the Pistoro property. Minaspata is held by the Abancay joint venture, which consists of Southwestern with a 50% interest, Cambior (CBJ-T) with 41.5% and Cambiex Exploration (CBX-T) with 8.5%.

Cominco can earn a half interest in the Minaspata property by paying US$2.8 million over three years and drilling a minimum 10,000 metres over the same period. A large epithermal gold system underlies the property and, in addition, porphyry copper- molybdenum mineralization on Southwestern’s Pistoro property extends eastward on to the property.

Drill results from Accha are as follows: