17th Edition Allan Barry Report - CandenteCandente continues to aggressively advance their Canariaco project. We are a big fan of this project because it has the potential of attracting a buyout offer from a major mining company or it could turn Candente into a mining company. It is difficult to get a clear picture on any offer to take over the company but it is very apparent from the people being added to the Candente team (who have a great deal of experience in mine development) that the company is moving ahead on the development front. The Canariaco project has options in that they could start with mining a key portion of the zone and then ramp things up in the future or go larger scale from the start. These options are part of the economic evaluation they are doing; they are also working on an update to their resource calculation that includes a great deal more holes than the past estimates. The past resource calculation estimated over 8 billion pounds of copper and was based on 82 drill holes; by comparison they now have 203 holes that will go into their updated calculation. The additional drill holes were focused on infill drilling that will help add technical confidence to the estimates. As well they tested along strike, vertical extensions and also tested some high grade portions of the zone. The bottom line is that they have a lot of copper in the ground. Projects with the scope of Canariaco are not easy to find and the company is working hard to advance this project. We look forward to the work going on to update the resource estimates and the work of the highly qualified team to advance this project toward a future mine that can take advantage of the strong copper prices.
We are shareholders of the company.