Shareholder seeks spot on Kimber board

Vancouver — The recent slump in gold and silver prices has prompted a major shareholder of Kimber Resources (KBR-V) to withdraw a proposed bid for additional shares of the company.

James Puplava, a San Diego-based analyst and fund manager, and members of his family recently acquired 19.9% of Kimber, a Vancouver-based junior exploring the past-producing Monterde property in the Sierra Madre mining camp of Mexico’s Chihuahua state.

Puplava initially intended to acquire more shares through a takeover bid but has since postponed that plan. Instead, he will seek board representation at an extraordinary general meeting in late May in Vancouver.

Kimber takes the view that Puplava’s “goals and objectives for Kimber are well-aligned with those of the majority of shareholders.”

The company has rights to acquire 100% of Monterde, which includes Carmen, a bulk-tonnage, epithermal, oxide gold-silver deposit at the feasibility stage, and several less advanced targets.

Based on 90 holes drilled by the end of 2003, Carmen hosts measured and indicated resources totalling 7 million tonnes at 0.82 gram gold and 85 grams silver per tonne, plus a further inferred resource of 3.4 million tonnes at 0.99 gram gold and 69 grams silver.

Drilling is ongoing, and the following results are reported from four infill holes sunk in the north-central part of the Carmen deposit.

— Hole 95 returned 20 metres of 0.37 gram gold and 98 grams silver; 4 metres of 2.6 grams gold and 18 grams silver; 8 metres of 0.36 gram gold and 38 grams silver; 22 metres of 1.2 grams gold and 31 grams silver; and 38 metres of 1.5 grams gold and 26 grams silver.

— Hole 96 returned 4 metres of 0.14 gram gold and 53 grams silver; 12 metres of 0.56 gram gold and 57 grams silver; and 32 metres of 1.5 grams gold and 73 grams silver.

— Hole 97 hit 6 metres of 0.58 gram gold and 150 grams silver, and 38 metres of 0.2 gram gold and 68 grams silver.

— Hole 98 returned 12 metres of 0.26 gram gold and 39 grams silver, and 16 metres of 1.1 grams gold and 66 grams silver.

A hole drilled to test the Veta Minitas target returned 6 metres of 0.25 gram gold and 95 grams silver, and 6 metres of 0.51% gold and 152 grams silver.