Apex drills Platosa property

Denver-based Apex Silver Mines (SIL-X) has begun drilling at Excellon Resources‘ (EXN-V) Platosa polymetallic property, near Bermijillo in Mexico’s Durango state.

Apex can earn a 65% direct interest in the property by paying Excellon US$1.3 million over 4.5 years and spending at least US$1.5 million on exploration over five years, with a minimum of US$100,000 to be spent in the first year. On signing the agreement, in August 1998, Apex made an initial payment to Excellon of US$75,000.

During the option period, Excellon will be responsible for paying US$973,000 to the underlying property owners.

In late 1997, Excellon’s consultants completed geological mapping and geochemical surveying at Platosa. The mineralization was found to be typical of the replacement-skarn deposits that cross northern Mexico.

The property was mined on a small scale in past decades but, until Excellon’s arrival, had never been explored using modern techniques.