Erin Ventures expands Ceibo Chico mining licence
Erin Ventures expands Ceibo Chico mining licence
2007-09-17 12:00 ET - News Release
Mr. Blake Fallis reports
GOLD MINING LICENSE EXPANDED
The Belizean Ministry of Mining has recently granted an extension to Erin Ventures Inc.'s existing mining licence on the Ceibo Chico gold property. The mining licence now covers a total of 160.25 hectares (396 acres), including the 37.2 hectares (92 acres) previously granted. This expansion ensures that Erin has exclusive mining rights to 100 per cent of the land that comprises the Fan area of the Ceibo Chico Creek drainage system. Additionally, Erin holds four contiguous, exclusive prospecting licences covering approximately 34 square kilometres (13 square miles), containing what is believed to be the host source of the residual gold found within the drainage system.
Details of the amended mining licence are as follows:
The licence was issued Sept. 11, 2007.
It covers a total of 160.25 hectares (396 acres).
The licence has a five-year term and is renewable.
It allows for the mining and processing of the alluvials.
It includes the rights for open-pit or underground mining of any lode deposit on approval of detailed mining plans.
Bonding requirements have been increased to $10,000 (Belizean) ($5,000 (U.S.)) from the previous amount of $5,000 (Belizean) ($2,500 (U.S.)).
This expansion of the mining licence to include the northern section of the Fan area is of strategic importance to Erin because previous prospecting and bulk sampling in this section have revealed the potential for economically viable, gold-bearing gravel in the portion of the Fan area that extends in a northeasterly direction (see Stockwatch, April 19, 2007). This is in addition to Erin's current alluvial gold production under way on the southernmost section of the Fan area, as reported by Erin in Stockwatch on Aug. 8, 2007.
More systematic bulk testing must be completed in this northern section of the Fan area to test the extent of this system. A grid has been cut and a bulk sampling program is scheduled to begin within 10 days. Results from this testing program will assist in determining whether the deployment of a second production dredge is warranted.
The technical information in this release was prepared by James E. Wallis, MSc, Eng, PEng, a director of the corporation, who is a qualified person under National Instrument 43-101.
The following are some details about the Ceibo Chico gold prospect:
The property consists of four contiguous exclusive prospecting licences covering approximately 34 square kilometres (13 square miles) and a 160.25-hectare (396-acre) mining licence in west-central Belize.
Erin has an option agreement to acquire up to 90-per-cent equity in the prospect.
The local geology consists of intrusive and metasedimentary rocks which are bounded by volcanics to the south and Upper Cretaceous limestones to the north.
A two-kilometre-wide zone in the upper area of the drainage system appears to be the host rock for the residual gold in the drainage system.
Residual gold has been recovered in the Ceibo Chico drainage, as well as from the Chiquibul drainage, which runs parallel to the Ceibo Chico creek and is two kilometres from the Ceibo Chico creek.
Erin has commenced gold production of the alluvial gold found on the Fan area to establish cash flow to help offset exploration costs.
We seek Safe Harbor.