Far West, Canarc to drill in Mexico

Far West Mining (FWM-A) and a subsidiary of Canarc Resources (CCM-T) will jointly drill the Lobo 10 silver/base metal property in the Zacatecas district of Mexico.

The 2,000-metre program will target several coincidental base metal soil geochemical and airborne magnetic anomalies near the San Martin-Sabinas silver/base metal mine.

The program is to be completed by mid-December, after which drilling will shift to the Lobo 14 and Lobo 16 base metal properties.

Far West is earning from Aztec Silver a half-interest in nine properties in the states of Zacatecas and San Luis Potosi. Aztec is 70%-owned by Canarc.

The properties comprise 485,949 ha, which are considered prospective for skarn, manto and chimney base metal deposits. Previous exploration consisted of aeromagnetic and geochemical surveying, as well as mapping.

Geophysical surveys have enabled Aztec and Far West to identify 54 targets, 27 of which returned silver and base metal anomalies. Follow-up geochemical work is planned.

To earn its interest, Far West is required to spend US$5.5 million on exploration over three years, issue 1 million shares and pay US$500,000 in cash. The company recently raised $3.5 million in a private placement.

Four other properties in the Zacatecas district are being explored by Aztec and joint-venture partners Noranda (NOR-T) and Mill City International (MIY-V). Noranda has been exploring the Lobo 6 and 8 properties using various geophysical techniques; drilling on the former is expected to begin in early 2000.

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