San Fernando looks to sell La Fortuna

San Fernando Mining (SNF-T) has granted Chester Millar an option on the Fortuna mine in Durango, Mexico.

Millar, who is chairman of Glamis Gold, paid the company US$50,000 for the option. He has until July 31 to acquire the property.

Should he decide to do so, he would nominate a publicly traded Canadian company to acquire the interest for a yet-to-be determined number of shares.

At last report, La Fortuna was estimated to host a proven and probable resource of 3.4 million tonnes grading 3.18 grams gold and 38 grams silver per tonne.

Although the deposit mineralization is predominantly sulphide, column leaching tests have returned encouraging results.

Leach tests on material crushed to minus 1 inch returned recoveries of 54.2% for gold and 17.2% for silver after 89 days, while crushing to minus 1/2 inch netted recoveries of 59.1% for gold and 19.2% for silver after 103 days.

Material crushed to minus 1/4 inch returned recoveries of 62.9% for gold and 18.5% for silver after 111 days.