Under a joint-venture agreement, Westmin Resources (TSE) can earn a 60% interest in the Foot, Pak and Toe properties in the Yukon.
It can do so by spending $3 million and making certain cash payments to Atna Resources (VSE), which owns the properties. Westmin paid Atna $50,000 on signing and must spend at least $600,000 in 1995 in order to keep the option in good standing.
A limited amount of exploration on the Atna properties returned values of up to 5% copper and 11% zinc, as well as 62 grams silver and 0.34 grams gold per tonne.
The Foot, Pak and Toe properties are near, and in the same favorable rock formation as, Cominco’s ABM polymetallic discovery. At last report, this deposit was estimated to contain a preliminary resource of 13 million tonnes grading 5.5% zinc and 1% copper, with silver and gold values of 125 and 1.2 grams, respectively.
More than half the reserves may be amenable to open-pit mining. Cominco’s discovery sparked a flurry of staking activity during 1994 in southwestern Yukon where the discovery is located.
Westmin Resources has other exploration projects in the Yukon. The company also owns a polymetallic mine on Vancouver Island, B.C., and a gold mill complex near Stewart in northern B.C.
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