International PBX to step up moly-copper drilling in Chile

Vancouver With Sprott Asset Management on board, International PBX Ventures (PBX-V) is ready to step up its exploration effort in Chile, by adding two more drill rigs within the next two months.

PBX is drilling for copper and molybdenum on its Copaquire property, which is comprised of 1,470 hectares and is located in northern Chile, about 15 kilometres west of the Collahuasi and Quebrada Blanca mines.

The company is set to add a second drill [imminently] and a third by the end of May after arranging to raise $7 million from a private placement financing of 14 million units, said PBX director Verna Wilson

This will give us the ability to sign drilling contracts without having to worry about paying the bills, she said.

The units consist of a common share priced at 50, and a two-year warrant to purchase a common share for 75.

If all the warrants are exercised, they will add another $9 million to PBXs war chest.

Wilson said the company is pleased to have the support of Sprott Asset Management, which is taking up 12 million units. We can beef up everything in Chile, she said.

Sprott Asset Management is run by Sprott Securities founder Eric Sprott, who recently launched Sprott Molybdenum Participation Corp., which is aiming for capital appreciation by investing in companies with an interest in molybdenum.

Sprott Asset Management is providing management services to the operation and will receive fees that are based on the performance of its portfolio.

Due to the volume of activity in Chile, Wilson said contractors are unwilling to provide drill rigs to companies unless they are prepared to sign up for programs of at least 10,000 metres. Its slow getting drill rigs down there because they are out on other jobs, she said.

PBX is ready to expand its exploration effort after recently releasing the results of the 7th and 8th hole of a molybdenum-copper resource definition program at Copaquire.

Hole CQ 38 returned a 132-metre intercept grading 0.02% molybdenum and 0.17% copper. That intercept included 74 metres of 0.09% molybdenum and 0.04% copper.

On April 5, PBX shares eased 4 to 70 on the TSX Venture Exchange.