Arizona Silver Exploration Inc (CVE: AZS) (OTCMKTS:VGCP) announced Monday that the US Bureau of Land Management approved its notice of intent to start an initial six-hole exploration drilling program at its Philadelphia project.
The Vancouver-based exploration company describes the project as a high-grade gold-silver project in Mohave County, Arizona.
Arizona Silver said that the agency has determined the reclamation bond amount required to cover the proposed drilling program and that the company has submitted a cashier's check for the requisite amount to cover the bond. The company said it is awaiting acceptance of the bond before clearance to begin drilling.
Separately, the company said it has submitted a notice of intent and permit application fee with the Arizona Department of Water Resources to begin exploration drilling. That notice of intent is expected to be approved by the end of March.
The company said it is determining costs, equipment availability and schedules with its drilling contractor and support personnel.
Arizona Silver plans six exploration holes in a fence following the gold-silver mineralization identified in the Philadelphia No. 1 shaft. The fence of holes will test the easterly dipping mineralized structure along a dip length of more than 500 feet from where old descriptions of underground sampling done more than 100 years ago revealed good gold grades present, but not sufficient for development at a time when gold was valued at $20 per ounce.
The Philadelphia property was discovered in the late 1800s and operated intermittently, mainly between 1917 and 1935, as a 50-ton-per-day underground mine.
Shares of Arizona Silver closed at C$0.17 in Monday’s Canadian trading.
Contact Dennis Fitzgerald at [email protected]