Proactiveinvestors USA & Canada Mindoro Resources Proactiveinvestors USA & Canada Mindoro Resources RSS feed en Sun, 16 Jun 2019 11:53:42 -0400 Genera CMS (Proactiveinvestors) (Proactiveinvestors) <![CDATA[News - Mindoro hits 26.2m at 4.07 g/t gold in first hole at Archangel, shares pop over 40% ]]>  

Mindoro Resources Ltd. (CVE:MIO) (ASX:MDO) saw its shares soar 44.4 per cent Friday, after it announced preliminary results of the first drill hole at its Archangel gold project at Batangas in the Philippines.

Shares of the company were trading at 6.5 cents as at about 2:50 p.m. ET.

The company said diamond drill hole KT 191-12 intersected 26.2 metres at 4.07 grams per tonne (g/t) gold, including six metres at 6.12 g/t gold and 8.8 metres at 5.36 g/t gold. Mindoro said these intersections are part of a broader interval of 39.25 metres at 3.08 g/t gold, using a 0.5 g/t gold cut-off.

“We are very pleased with the results from the first new drill hole at Archangel,” said Mindoro president and CEO Jon Dugdale.

“The thick higher-grade intersection in KT-191-12 conforms with the up-flow or ‘feeder’ zone interpretation and opens the way to potentially extending the resource with further drilling.”

Mindoro said the “well-developed gold mineralization” intersected by KT 191-12 is associated with chalcedonic quartz vein stockworks and hydrothermal breccias within an interpreted up-flow or "feeder" zone.

The company noted that this is the first drill hole of an initial three to five drill hole program to test interpreted higher-grade "feeders" or up-flow zones within the Kay Tanda resource area at Archangel.

The program is being funded via a drawdown loan facility from Red Mountain Mining Ltd. (ASX:RMX) and will run until completion of the transaction, anticipated by late September, at which time the loan is expected to be discharged through conversion to a Red Mountain inter-company loan. 

Mindoro said “encouraging results” from this first phase of drilling suggests that a systematic program of resource definition and extension drilling should follow.

A total of 414.6 metres have been completed since the program commenced on August 5, despite inclement weather conditions at times.

The company said that the second drill hole of the program KT 192-12, testing an interpreted feeder at the eastern side of the Kay Tanda resource, has now been completed at a downhole depth of 267 metres. 

The angled hole was designed to test the vicinity of previous drill hole KTDH-04, which intercepted 52 metres of 11.5 g/t gold in 2006, that is interpreted to have drilled down a sub-vertical hydrothermal breccia up-flow or "feeder" zone. 

Mindoro noted that the drill hole intersected the mineralised stockwork associated with the majority of the current Kay Tanda resource. Results are not yet available for this hole.

The third drill hole of the current program, KT-193-12 has commenced, testing the west Kay Tanda zone - formerly Pulang Lupa.

Separately, the company said TVI Pacific Inc. (TSE:TVI) has agreed to extend the closing date for the first tranche of a proposed $3.155 million private placement in Mindoro announced in July, to September 7.

In July, Mindoro entered into an agreement with TVI for the private placement as well as proposed joint ventures to earn 60 per cent in, and operate, two Agata nickel projects to direct shipping ore production and complete a nickel processing project definitive feasibility study. TVI will also have the option to form a joint venture over the Pan de Azucar sulphide project within 12 months.

Additionally, it said director and vice chairman of Mindoro, Howard Walker, is retiring from the company’s board to pursue other private business interests.

Mindoro Resources is focused on nickel, gold and copper-gold exploration and development in the Philippines where its 75 per cent interest Agata nickel project has NI 43-101 mineral resources that include measured and indicated resource estimates totalling 42.76 million tonnes at 1.01 per cent nickel, for 430,000 tonnes contained nickel, and inferred resource estimates totalling 2.435 million tonnes at 0.99 per cent nickel. 

In addition the company has NI 43-101 mineral resource estimates on its 100-per-cent owned Batangas projects, which hold an indicated resource of 393,000 gold ounces.

Archangel has indicated resources of 9.8 million tonnes at 1.1 g/t gold and Lobo has indicated resources of 270,000 tonnes at 6.49 g/t gold.

Further, the company has a drill-defined copper-gold-sulphur exploration target on its 75-per-cent interest Pan de Azucar project in Iloilo, Philippines as well as 10 key porphyry copper-gold prospects at varying stages of advancement.


Fri, 31 Aug 2012 14:08:00 -0400
<![CDATA[News - Mindoro Resources finds strong nickel, iron grades at Agata ]]> Mindoro Resources (CVE:MIO, ASX:MIO) announced Wednesday it intersected up to 1.2% nickel, and up to 50% iron at its Agata South property in the Suriago nickel district of Mindanao, Philippines.

Of the 10,000 metre drill program, 7,045 metres, or 645 holes, have been drilled to date at Agata South, which is part of the larger Agata project. Strong, thick nickel and iron grades were intersected at surface, the company said.

Highlights from the drill program included 1.02% nickel at 17.05 metres, including 1.2% nickel over 12.3 metres in hole ASL-3; and 1.07% nickel over 11.7 metres, including 1.08% nickel over 10.5 metres in hole ASL-10.

Several assays returned strong iron results, including hole ASL-1, which found 0.96% nickel over 12.1 metres, including 0.59% nickel, 0.11% cobalt, and 50% iron over 4.7 metres.

"Upon completion of in-fill drilling in July, we will be in a position to upgrade the resource at the Agata Nickel Project," said president and CEO, Jon Dugdale.

"The upgraded resource will be incorporated into the prefeasibility study production schedule and the near-surface high-iron material will be evaluated for early stage production."

Currently, the resource estimate for the Agata project indicates 32.6 million tonnes at 1.04% nickel, for 340,000 tonnes contained nickel in the measured and indicated category.

Mindoro, which is based in Edmonton, Alberta, said it is drill testing regional targets on the Agata project.

Wed, 06 Jul 2011 16:04:00 -0400
<![CDATA[News - Mindoro Resources intersects 76m thick copper gold mineralisation in Philippines ]]> Mindoro Resources (TSXV: MIO; ASX: MDO) has made a thick mineralised intersection of gold and copper from drilling at its Pan de Azucar Project in Iloilo Province, Philippines.

A step out hole testing for the eastern boundary of the Valderama massive pyritic sulphide mineralisation intersected 76 metres of 0.64 grams per tonne (g/t) gold and 0.38% copper from 11.1 metres.

This intersection includes a gold-silver zone of 8.8m of 1.65 g/t gold, 23.5 g/t silver from 11.1m; including a copper zone of 16.9m of 1.01% copper, 0.59 g/t gold from 23.1m.

The company said the hole was drilled on the eastern side of the Valderama Zone to test potential extensions in this direction and intersected "nine metres of unaltered flow-dome andesitic volcanic rocks from surface before entering the highly altered and mineralized sequence below."

Significantly, this indicates mineralization is continuous below the younger flow-dome, and remains open to the east and northeast.

These results are from the latest holes completed from a drill program that has now been extended to at least 1,500 meters. Two holes are in progress and will complete the current program.

The objective of the current program is to establish an inferred resource estimate and locate extensions of the mineralization.

A preliminary options study is in progress at the Pan de Azucar Project, examining the suitability of the Valderama massive pyritic sulphide as feedstock for sulphuric acid production for processing of the Agata nickel laterite resource.

Mindoro also plans to undertake bench-scale metallurgical testing to ascertain recoveries of copper, gold and other base and precious metals within the Pan de Azucar massive sulphide.

The company will complete the current program and assess results prior to planning further drilling for un-tested extensions.

Mindoro has NI 43-101 Mineral Resource estimates on its Agata nickel-cobalt project in the Surigao District, Mindanao, that include a measured and indicated resource of 32.6 million tonnes at 1.04% nickel for 340,000 tonnes contained nickel.

Mindoro recently released an integrated preliminary economic assessment (PEA) on the Agata Nickel Project where the company controls major nickel laterite resources and is drill testing regional targets.

The company has commenced a Prefeasibility Study into an integrated on site nickel processing project based on the PEA. The company is also assessing the potential to develop a thermally processed (upgraded) nickel ore operation to generate early cash flow.

Tue, 17 May 2011 07:52:00 -0400
<![CDATA[News - Mindoro Resources drills 9.7m at 1.19% nickel at Bolobolo nickel target ]]> Junior explorer Mindoro Resources (CVE:MIO) (ASX:MDO) reported Tuesday more drill results from its Bolobolo and Karihatag nickel targets in northeastern Mindanao, in the Phillippines.

At Bolobolo, highlights include 9.7m of 1.19% nickel in hole BBL-52; and 10.3m of 1.01% nickel in hole BBL-98. At Karihatag, hole KL-57 returned 6.75 metres at 0.87% nickel. Both targets are located in the Surigao nickel district.

To date, a total of 466 holes have now been completed in the region, for a total of 4,990 metres. The company is aiming to drill between 7,000 to 10,000 metres to test the regional nickel targets, with the goal of converting a large portion of them to resources.

Philippines-focused Mindoro already has NI 43-101 compliant mineral resource estimates on its Agata nickel-cobalt project and Lobo and Archangel gold-silver projects. It also has an additional 22 porphyry copper-gold prospects.

The company's shares rose 10% to $0.22 as of 2:46pm EST.

Tue, 22 Mar 2011 15:08:00 -0400
<![CDATA[News - Mindoro Resources commences trading on ASX ]]> Mindoro Resources (TSX-V: MIO; ASX: MDO; FSX: WKN 906167) said that it will begin trading on the Australian Securities Exchange today, under the symbol "MDO".

“Mindoro’s entrance into the Australian market is a positive step forward in the company’s plans to transition from explorer to producer," said president and CEO Jon Dugdale.

"Australia’s proximity to the Philippines and appetite for resource-based investments will compliment Mindoro’s well-established shareholder bases in Canada and Europe.”

Late last month, the company raised A$8.0 million in Australia from the sale of 40 million CHESS Depository Interests (CDIs) at a price of A$0.20 each (approximately C$0.20). Mindoro has now received final approval from the ASX to list the CDIs, which are equivalent to and exchangeable for common shares of the company on a one-to-one basis.

In addition to the A$8 million, the company managed to gain another C$2.0 million through the sale of 10 million shares to the IFC, a member of the World Bank Group.

Mindoro said it will use the new funds to advance pre-feasibility and feasibility studies for an integrated nickel processing operation at its Agata project in the Philippines, which hosts an NI 43-101 compliant resource totaling Measured and Indicated 32.6 million dry metric tonnes (DMT) at 1.04% Nickel and 0.05% Cobalt, and Inferred 1.68 million DMT at 1.04% Nickel, 0.04% Cobalt.

The proceeds will also be used to continue regional drilling in an effort to expand its nickel laterite resource, as well as to advance its gold and copper-gold projects in the Philippines.

Tue, 07 Dec 2010 20:43:00 -0500
<![CDATA[News - Mindoro Resources closes two concurrent financings in Australia and Canada, raises $10.6m ]]> Phillippines-focused Mindoro Resources (TSX-V:MIO) (FRANKFURT:WKN 906167) said Friday it has closed two financings in Australia and Canada for total proceeds of $10.6 million.

The first offering in Australia, which was oversubscribed, consisted of the sale of 40 million chess depository interests (CDIs), issued at a price of A$0.20 each, for proceeds of A$8.0 million.

Mindoro said it received conditional approval from the ASX to list the CDIs on the Australian Exchange, which will begin trading around December 7 under the symbol "MDO", subject to approvals. Each CDI will be equivalent to and exchangeable for one common share in the company, it added.

Institutional shareholders Lion Selection Group, Asian Lion and Acorn Capital-managed Microcap Investment Trusts invested a total A$3.0 million, while Mindoro insiders invested a total of A$310,000 through the offering. Mindoro said Lion Selection Group also exercised four million warrants, raising an additional C$600,000.

The second financing consisted of a private placement through the issue of 10 million shares to the IFC, a member of the World Bank Group, for proceeds of C$2.0 million.

The company said the new funds will be used to advance pre-feasibility and feasibility studies for a nickel processing operation at its Agata Project in the Phillippines, and to further increase the nickel resource base through drilling of the regional exploration target. Proceeds will also be used  to advance Mindoro's portfolio of gold and copper-gold projects.

At Agata, it is estimated that its NI 43-101 resource estimate totals Measured and Indicated resouces of 32.6 million dry metric tonnes (DMT) at 1.04% Nickel and 0.05% Cobalt, and Inferred 1.68 million DMT at 1.04% Nickel, 0.04% Cobalt.

The company has also identified 22 porphyry copper-gold prospects and has three projects in the Batangas area of southern Luzon, which are the subject of a farm-in arrangement, whereby Gold Fields can earn a 75% interest through direct project expenditure.

In addition, Mindoro controls major nickel laterite resouces in the Suriago District, Mindanao, where the company is assessing the potential to develop a direct shipping ore operation.

IFC is the largest development institution focused on the private sector in developing countries. Its new investments climbed to a record $18 billion in fiscal 2010.

Fri, 26 Nov 2010 16:20:00 -0500
<![CDATA[News - Mindoro climbs 6% on release of last infill drilling results at Agata ]]> Asian-focused mineral explorer Mindoro Resources Ltd. (TSX VENTURE: MIO) (FRANKFURT:WKN 906167) has completed the infill drilling on its Agata Nickel Project in the Philippines, today announcing the last batch of results with grades and thickness of potential economic interest, including limonite intersections averaging 4.06 meters (e) at 1.15% Nickel, 0.13% Cobalt and 48% Iron and saprolite intersections averaging 7.25m at 1.31% Nickel. The company`s stock went up 5.7% today to $0.185 on the back of the news.

The peak limonite intersection was AGL-453: 10.9m @ 1.55% Nickel and 40% Iron from 1.9m and peak saprolite intersection AGL-545:13.45m @ 1.73% Nickel from 4.10m including 3.95m @ 2.04 % from 4.10m.

The final results of the drilling are now being modeled in preparation for an updated NI43-101 mineral resource statement, due by the end of August 2010. The updated mineral resource model, combined with mine planning information, will allow preparation of an NI 43-101 mineral reserve statement. Offtake discussions have been advanced but will not be finalized until a detailed mine schedule is produced from the mineral reserve information. Phase 1 scoping and feasibility studies for the project will then be finalized and submitted to the Philippines Mines and Geosciences Bureau (MGB) for final development approval.

Drilling rigs have now also been mobilized to commence drilling the regional nickel laterite exploration target with the objective of converting a significant proportion of the 50 million to 70 million DMT at 0.9% to 1.2% nickel exploration target to NI 43-101 compliant mineral resource.

At the same time, Mindoro has initiated scoping studies into value-added on site processing, including low-capital cost thermal upgrading technologies, such as sintering, to produce much higher-value iron and iron-nickel products. These have the potential to phase out the shipping of raw direct shipping ore (DSO) product and to form an intermediate development stage prior to a major acid-leach processing operation. The major acid-leach project scoping studies, including additional metallurgical testing, are due for completion late September 2010.

Mindoro is focused on exploration in the Philippines with a strategy of advancing early stage opportunities to production or joint venture. It controls major nickel laterite resources in the Surigao District, Mindanao.

Last week, private equity fund Asian Lion, increased its equity stake in Mindoro and now holds 7.84% of Mindoro`s paper on an undiluted basis.

Mindoro has NI 43-101 Mineral Resource estimates on its Agata North nickel-cobalt project (November 2009) totalling measured and indicated 26.92 million dry metric tonnes (DMT) at 1.11% Nickel and 0.06% Cobalt and inferred 3.79 million DMT at 1.06% Nickel, 0.05% Cobalt. Mindoro also has NI 43-101 Mineral Resource estimates on both its Lobo and Archangel (Kay Tanda) gold-silver projects.

The company has a number of additional projects, and a farm-in agreement in place with Gold Fields (JNB:GFI, NYSE:GFI) on three copper-gold projects, where drilling is currently underway. Gold Fields can earn up to 75% by financing exploration on the projects.

Tue, 10 Aug 2010 21:30:00 -0400
<![CDATA[News - Private equity fund Asian Lion increases stake in Mindoro Resources ]]> Asian Lion, a US$34 million private equity fund focused on investing in junior mining companies, has increased its equity stake in Asian focused mineral explorer Mindoro Resources (TSX-V:MIO).  The commodity focused fund has acquired approximately 1.923 million shares and a equal amount of warrants.  Before the acquisition, Asian Lion held 9.985 million shares in the company, or 7.52%.  Post acquisition, Asian Lion holds 7.84% of Mindoro`s paper on an undiluted basis.

The share purchase was made for consideration of $400,000, or 20.8 cents per share.

Mindoro recently completed a $4 million financing, which included approximately $2.1 million from IFC (International Finance Corporation), a member of the World Bank.

The capital raised will be directed at the company`s Agata Nickel-Cobalt project in the Philippines, where the company is seeking to develop a direct shipping ore (DSO) operation.  Agata contains a NI 43-101 compliant measured and indicated resource of 26.92 dry metric tonnes grading 1.1% nickel and 0.06% cobalt, plus an inferred resource of 3.79 million tonnes grading 1.06% nickel and 0.05% cobalt.

The company also has a number of additional projects, and a farm-in agreement in place with Gold Fields (JNB:GFI, NYSE:GFI) on three copper-gold projects, where drilling is currently underway. Gold Fields can earn up to 75% by financing exploration on the projects.

Tue, 03 Aug 2010 19:54:00 -0400
<![CDATA[News - Mindoro Resources says Batangas project JVs making progress. ]]> Mindoro Resources Ltd announced that the Batangas Project joint ventures with a member of the Gold Fields group of companies and with Avocet Mining PLC are making progress.

Gold Fields, which may earn up to a 75 percent interest in each of Mindoro's El Paso, Lobo and Talahib porphyry copper-gold projects located in the Batangas Province of southern Luzon, the Philippines, has advised that the due diligence is proceeding satisfactorily. Preparation of a formal agreement is well-advanced and program planning has commenced.

Avocet, which may earn a 75 percent interest in Mindoro's Archangel Project, also in Batangas, advised Mindoro that it commenced field work in October and is preparing for a 1,500 metre diamond drilling programme at Kay Tanda.

Field work is ongoing, and Avocet has contracted Indodrill Philippines Inc to conduct the drilling, which is expected to commence in early December. Indodrill is an independent contractor with considerable experience in man portable diamond drilling in Southeast Asia, Mindoro said.

Tue, 11 Nov 2008 00:00:00 -0500
<![CDATA[News - Mindoro Announces Proposed IFC Investment ]]>
Funds from the proposed IFC investment will be used to advance Mindoro's exploration programs in the Surigao region of northern Mindanao in the Philippines. The company's key projects in the Surigao region are the Agata nickel laterite project and the American Tunnels copper-gold project; see "About the Projects", below, for additional information.

Mindoro has several gold-silver, copper-gold and nickel projects covering over 60,000 hectares in the Surigao, Batangas, and Panay regions of the Philippines. The company recently announced a Letter of Agreement with Gold Fields and a Memorandum of Understanding with Avocet Mining, covering Mindoro's Batangas projects in southern Luzon.

American Tunnels is one of a string of at least four promising porphyry copper-gold prospects on Mindoro’s Agata Project, reflected by IP chargeability anomalies and porphyry-related features. American Tunnels is that it is the shallowest of the string of IP anomalies, so the small scale miners have been able to access the mineralization in the local drainage system. The skarn and interpreted porphyry-related mineralization appears to be the cusp of the mineralization system below. Implication is that the deeper IP responses nearby are also porphyry-related mineral systems. Drill targets are being refined and readied for testing.

Mindoro announced an early-stage NI 43-101 compliant mineral resource estimate for the Agata Nickel Laterite Project with a combined Measured and Indicated Resource of 4.95 million wet metric tonnes (WMT) grading 1.18 percent nickel, 0.074 percent cobalt and 28 percent iron, at a cut-off grade of 0.80 percent nickel; containing approximately 92.4 million pounds nickel. In addition, the Inferred Resource estimate is 4.37 million WMT grading 1.26 percent nickel, 0.047 percent cobalt and 20 percent iron, also at a cut-off grade of 0.80 percent nickel; containing approximately 92.5 million pounds nickel.

The Exploration Target for Agata North is 30 to 40 million WMT at a grade of 0.9% to 1.5% nickel and 18% to 28% iron. This does not include other areas of laterite mineralization on the Agata Project, nor other Mindoro Projects in the Surigao District.

Mindoro plans to evaluate the potential of Agata North for an integrated mining and processing operation. Processing technologies which may be especially suited to the Agata Laterite Project include atmospheric (tank) leaching, or ferronickel smelting which could potentially utilize power from a "mini-hydro plant" constructed on an adjacent large river.

Fri, 03 Oct 2008 00:00:00 -0400
<![CDATA[News - Mindoro Resources – Agata keeps adding to resources ]]>  

The project has an early-stage 43-101 compliant combined Measured and Indicated Resource estimate of 4.95 million wet metric tonnes (WMT) grading 1.18 percent nickel, 0.074 percent cobalt and 28 percent iron, at a cut-off grade of 0.80 percent nickel; containing approximately 92.4 million pounds nickel. Agata has an Inferred Resource of 4.37 million WMT grading 1.26 percent nickel, 0.047 percent cobalt and 20 percent iron, also at a cut-off grade of 0.80 percent nickel; containing approximately 92.5 million pounds nickel. This resource estimate covers about 25% of the Agata North laterite as mapped to date.


The objectives of the ongoing drill program are to completely drill out the Agata North resource; leading to an evaluation of the most applicable processing technologies, and selection of the optimal method to advance the project. Results of a further 50 drill holes are awaited and drilling is ongoing with four drill rigs. Current drill spacing is on 100 meter centers, adequate for at least inferred resource category and likely indicated resource category for much of the mineralization.


While much of the Surigao District nickel laterite production has been as direct shipping ore (DSO) to processing plants in Japan, Australia and China, several attractive alternatives are emerging for local processing, such as on-site blast or electric arc furnace for nickel pig iron production, ferronickel smelting, heap-leaching and an improved generation of High Pressure Acid Leach (HPAL) plants. HPAL technology is currently being used with great success by Sumitomo on its Philippine Coral Bay operation, and shows considerable promise for the local processing of Surigao ores. On-site processing has the potential to provide a significantly higher return from the resource than under the DSO scenario, which typically values the contained nickel at just 10 to 15 percent of the LME nickel price.


Given the proximity to China et al, there is very high potential for the development of a large integrated nickel laterite mining and processing industry in the Philippines, and for its resources to be part of this future. As such Mindoro’s attempts to develop Agata at an accelerated pace makes perfect sense.

Wed, 17 Sep 2008 00:00:00 -0400
<![CDATA[News - Mindoro releases Agata Nickel Project resource estimate ]]>
The estimate covers 15% of the Agata North nickel laterite prospect which will act as the 'starter' resource for a Direct Shipping Ore operation planned for this year.

The combined Measured and Indicated Resource is 4.4 million wet metric tonnes grading 1.25% nickel, 0.063 % cobalt and 23% iron, with a cut-off grade of 0.8% nickel. A further 2.45 million wet metric tonnes grading 1.23% nickel, 0.062% cobalt and 22% iron sits in the inferred category. Mindoro added that the current resource lies within a 57 hectare area, but there was an additional 30 hectares were mineralised drill intersections are not yet included in the resource. Infill drilling is ongoing in the 30 hectare zone.

Tony Climie, President of Mindoro, commented:

"We are delighted with this early stage resource estimate, which is double our original Exploration Target. This estimate provides the basis for a scoping study, which is in progress, and on which a production decision for the DSO scenario will be made. The resource area represents a small part of Agata North, and does not include Agata South, or recently defined areas of potential nickel laterite mineralization on our Tapian and Mat-I Projects. This reinforces our expectations of defining a major resource on our Surigao Projects, potentially justifying establishing a local processing plant to maximize economic returns to all stakeholders".]]>
Wed, 30 Apr 2008 00:00:00 -0400
<![CDATA[News - Mindoro Resources - A player in an emerging mining destination ]]>
Recent exploration efforts have led to many world class deposits
Rising metal prices and improved local politics have prompted mining companies to revisit the Philippines and the sector has started attracting investments again. These new investments and concerted attempts by exploration companies, have led to the discovery of several of potentially world-class deposits, such as Tampakan (copper), Far Southeast (copper-gold), Taysan (porphyry copper-gold deposit) and Boyangan (copper-gold). Brisk exploration and development are currently underway in developing these deposits.

….and Mindoro is in the thick of the action
Amongst many mining companies with assets in the Philippines, Toronto (MIO-V) and Frankfurt listed (OLM) Mindoro Resources Limited (Mindoro) presents a resounding investment opportunity. Mindoro has been operating in the Philippines since 1996 and currently has several promising assets in its Batangas, Surigao and Pan De Azucar projects in Luzon, Mindanao and Pan De Azucar provinces respectively. Mindoro holds 22 identified porphyry copper-gold prospects in the Philippines as well.

With assets flanked by producing properties of mining heavy weights
The investment case of Mindoro rests on the exposure it provides to unexplored mineral riches in the Philippines which is in close proximity to resource hungry China, Japan and Korea. Its diverse prospect portfolio, which boasts an assortment of minerals comprising gold, copper, silver and nickel, further underpins its investment case. More importantly, its assets are flanked by producing properties of other mining heavy-weights in the Philippines such as Anglo American, Anglo Ashanti and Phelps Dodge. Mindoro is set to take off and its ongoing exploration programmes are expected to provide considerable impetus.

Philippines gold-copper systems are attractive exploration targets because they are characterized by the telescoping of high-level epithermal gold deposits into the top of porphyry copper-gold systems, which are generally low-grade, but large-tonnage deposits. They provide over 50 percent of the world's copper production. While productive porphyry systems average about 0.5 percent copper and 0.30 g/t gold, the Philippines porphyry deposits are believed to hold higher gold contents. Porphyry deposits often occur in clusters, such as the Anglo-Philex Boyongan and Bayugo porphyry deposits in the Surigao Gold District. Mindoro also has assets in this region and may well be exploring epithermal gold prospects.

Mindoro Assets
Mindoro’s Batangas projects (32,292 ha), which contain Kay Tanda, Calo, Lobo, El Paso and Talahib prospects, are in a well mineralized copper-gold belt. This belt includes the Taysan porphyry copper-gold deposit of Phelps Dodge, which is adjacent to the Mindoro projects, as well as the Dizon, San Antonio and Mogpog porphyry copper-gold deposits. Mindoro has earned a 51% interest in the property and may earn an additional 24% interest in the entire land package by taking any one deposit to feasibility.

NI 43-101 is underway at Kay Tanda
Drilling at Kay Tanda has so far defined a gold zone of one kilometre by one kilometre. Based on drill results, Mindoro has announced an Exploration Target for this area of 860,000 to 1,000,000 ounces of gold and 2.7 million to 3.6 million ounces of silver at 0.76 to 0.80 g/t gold and 2.4 to 2.8 g/t silver. The Company is in the process of completing a NI 43-101 compliant resource estimate on the Kay Tanda prospect followed by a scoping study and an economic evaluation. Gold mineralization has already been traced on surface another kilometre beyond the current drill boundaries. As such the potential to significantly expand the resource remains high.

Mindoro also has a Nickel prospect
Mindoro’s Surigao projects (26,000 ha), add an additional dimension to Mindoro’s prospect mineral inventory. It comprises Agata Nickel Laterite and Epithermal Gold and Porphyry Copper-Gold Prospects, Tapian Main and Tapian San Francisco prospects and Bolobolo prospect.  The Surigao Gold District is a historic gold mining camp with thousands of epithermal gold showings, prospects and small scale artisanal mines.

Prospects of porphyry copper-gold systems in Surigao were confirmed with the discovery of the Philex Gold/Anglo American Boyongan Prospect in 2000. Subsequent drilling outlined a major porphyry copper-gold deposit with a disclosed resource estimate of 219 million tonnes at a grade of 0.51% copper and 0.74 g/t gold. Philex has announced that a second porphyry system has been discovered to the northwest of Boyongan, and possibly, a third porphyry system to the southwest. Several other porphyry copper-gold prospects also occur just to the north of Mindoro's Tapian San Francisco Project. Mindoro has earned 75% interest in most of the Surigao Projects and is developing them in partnership with Minimax Mineral Exploration Corporation, a private Philippine company.

Surigao targets Chinese, Japanese and Korean markets
In response to the very high demand of the ferro-nickel markets of China, India and Korea, Mindoro has focused its efforts in the Surigao district on its Agata nickel laterite project. Currently five drill rigs are operating on the project, with the objective of defining an initial resource of direct shipping-grade material adequate for three to five years of production, at 500,000 to 700,000 wet MT p. a.  Production is expected in 1H 2008 with plans to increase annual production to one million wet metric tones by 2010. The current drill program covers less than ten percent of the area of nickel laterite mineralization mapped to date at Agata.

Mindoro also has 40% interest with option to earn up to 75% in the Pan de Azucar projects (535 ha), which contain Pan de Azucar, Valderama and Asperin Hill prospects (all epithermal, massive pyretic-sulphide, low to moderate grade copper-gold-zinc-silver mineralization ). The Pan de Azucar project is located within a collapsed caldera structure with a dacitic-andesitic caldera-fill package. Dacitic units are preferred hosts to mineralization. An epithermal, massive pyritic-sulphide deposit, with low to moderate grade copper-gold-zinc-silver values was drill-intersected by Mindoro in 2001 and a porphyry copper-gold target located at Asparin Hill in 2002.

Mindoro benefits from its close proximity to China
As China expands its industrial sector on the back of outsourcing story, its insatiable appetite for metals is expected to continue. China also needs metals for its ongoing infrastructure projects including those involving its 2008 Olympic endeavours. Other regional industrial heavy weights such as South Korea and Japan are also keen to establish links with mining companies in the Pacific Rim for their resource requirements. The Philippines is one of the closest mining destinations to these countries and that makes mining companies such as Mindoro with advanced stage projects particularly attractive investments.

Regulatory environment favours mining companies
Meanwhile, the regulatory environment surrounding the Philippines mining sector has also improved considerably. Having realised the important role the mining sector can play in the local economy, the government issued Executive Order No. 270, in January 2004, setting the National Policy Agenda on Revitalizing Mining in the Philippines. Amongst many incentives, the policy permits 100% foreign ownership, numerous tax incentives and guarantees repatriation of the earnings and capital of foreign investors. Providing further support, the Philippines Supreme Court abolished all legal obstacles to the implementation of the Philippine Mining Act of 1995, which is considered to be a mining friendly legislation.  

Mindoro is certainly not alone in the Philippines mining sector. Its close proximity to end-user regions, improved regulatory environment, high metal prices and the promising geology has prompted a plethora of companies to establish their operations in the Philippines. They include London listed Toledo Mining (TMC.L), Metals Exploration (MTL.L), Australian listed Rusina Mining (RML.AU), Indophil Resources (IRN.AU), Lafayette Mining (LAF.AU) and Toronto listed TVI Pacific (TVI.TO), Altai Resources (ATI.V) and Sur American Gold Corp (SUR.V) as well.

Summing up
Despite its vast mineral riches, the Philippines mining sector has witnessed little modern exploration. Its proximity to China, Japan and South Korea where the demand for metals is soaring makes mining projects even more attractive. Mindoro with its advanced stage projects in rich mining regions presents an excellent opportunity to gain exposure to this emerging mining destination.

Sun, 16 Sep 2007 00:00:00 -0400