NEWS ROUNDUP — Musto increases grades at Argentine

International Musto Explorations (TSE) reports an increase in copper and gold grades at its porphyry deposit in northwestern Argentina.

The announcement follows the re-analysis of 4,200 samples from the Bajo de la Alumbrera project.

At a 0.2% cutoff for copper, the copper grade increased by 5% to 0.62% from 0.59%, and the gold grade increased by 3% to 0.022 from 0.021 oz. per ton. The samples were from 18,000 metres of reverse core drilling by Yacimientos Mineros de Agua de Dionisio (YMAD), a state-owned mining company, from 1968 to 1978. Musto had previously conducted random sampling of 10% of the YMAD data base.

Musto is completing a feasibility study which estimates minable reserves of 5.8 million lb. copper and 10 million oz. gold.

To complete the study, Musto has raised $1.6 million through a private placement of 300,000 units at $5.25 each. A unit will consist of one common share and one purchase warrant which, for two years, can be redeemed for a common share at a price of $5.75.