Int’l Curator teams with Coeur d’Alene

New York-listed Coeur d’Alene Mines stands to benefit from a combined share purchase and property agreement with International Curator (VSE).

Coeur d’Alene will receive a 66.7% interest in the Jualin gold property in Alaska, a half-interest in the Boleo project in Mexico and 28.7% ownership (or about 4.3 million shares) of Curator’s issued stock.

Regarding the Jualin transaction, Coeur d’Alene will buy 625,000 shares of International Curator at 80 cents each. Proceeds of $500,000 from the purchase will be used by Curator to buy a 40% interest in the property from Granges (TSE), boosting the company’s interest to 100%. Coeur d’Alene will then have the right to earn a 66.7% interest in Jualin from Curator by funding the project to completion of a bankable feasibility study. Concurrently, Coeur d’Alene will acquire the 2.9 million shares of Curator held by Granges (and subject to regulatory approval) and will buy a further 357,143 shares from Curator at 70 cents each through a private placement. The company has also agreed to acquire a further $150,000 worth of stock through private placements on Jan. 1, 1994, 1995 and 1996 at prevailing market prices.

Regarding the Boleo copper-cobalt property, Coeur d’Alene can earn a 50% interest by funding up to US$6 million in exploration costs subject to a minimum expenditure of US$1.2 million.

Michael McInnis, president of International Curator, said the two companies will be meeting to discuss development plans for Boleo and Jualin. The Jualin project, north of Juneau, Alaska, is beside the Kensington gold project, jointly owned by Coeur d’Alene and Echo Bay Mines (TSE). Kensington hosts a proven and probable reserve of 13.4 million tons grading 0.142 oz. gold per ton and development plans there will likely influence work at Jualin.

Preliminary reserves at Jualin were last reported to be 1.06 million tons grading 0.34 oz. gold.

The Boleo project, near Santa Rosalia, Mexico, contains a large sediment-hosted reserve estimated at 17.3 million tons grading 2.67% copper and 0.08% cobalt based on a 30% mining dilution.

McInnis said Coeur d’Alene will likely follow Curator’s previously planned program of mining and metallurgical studies.