Drilling of Boleo continues in Mexico

An initial phase of drilling has wound down on the Boleo copper-cobalt property in northwestern Mexico.

Coeur d’Alene Mines (NYSE) is earning a half interest from International Curator (VSE) by spending US$6 million or completing a feasibility study, whichever is achieved first.

Twenty-two holes totaling 1,508 metres were drilled in the San Guillermo area, which is estimated to contain proven and probable reserves of 4.8 million tonnes grading 2.9% copper over an average width of 1.9 metres. The drilling will confirm the copper, as well as a cobalt grade, for the flat-lying, sediment-hosted deposit.

The joint venture also expects to begin test-mining in the new year to determine the suitability of various longwall and room-and-pillar mining methods. Both methods are used to mine flat-lying deposits.

A 48-metre drive, about 1.8 metres high, is planned; it will consist of four 12-metre sections of increasing widths of 3, 4, 5 and 6 metres. Meanwhile, metallurgical testing by Mountain States Laboratories is ongoing. This work is intended to determine whether solvent extraction-electrowinning can be applied to the Boleo material.

The joint venture expects to complete a preliminary feasibility study by May, 1994.

Drilling is also planned over an extensive area of the property, which is estimated to host a geological resource exceeding 60 million tons grading more than 2% copper and 0.06% cobalt.