In mining, as with other types of real estate, it’s often all about location.
This seems especially true for
Tosca Mining Corporation (TSXV: TSQ), which is currently advancing
the Carol Project in the southern Sonora State of Mexico.
The company has an option to earn a 100% interest in the Carol property
by paying Alta Vista Ventures a total of $50,000, issuing one million shares
to Alta Vista as well as performing $2.2 million in expenditures on the
property within five years.
For Tosca Mining President Ron Shenton, what distinguishes his project
from many others being developed is simply a matter of risk versus reward.
“We’ve had the good fortune of finding a property next to the third-largest
copper mine (Invecture Group’s Piedras Verdes mine) in Mexico,” Mr. Shenton
said, adding that the Carol property is road accessible, near to power and
water sources, and that by spending a small amount of money on it he believes
Tosca will be able to attract the interest of its much larger copper mining
neighbour.
In an interview with SmallCapPower.com, Mr. Shenton asserted that his
company has no aspirations or desires at this time to take the property
into production by itself but instead “groom” it as quickly as possible
to a level where it can approach its neighbour in the hope of working together.
This could involve such activities as sending the ore from Carol and running
it through its neighbour’s mill (bringing their head grade up).
“The Carol property appears to be a fairly high-grade skarn-type deposit
containing copper, silver, gold, and zinc. One of our best trenches, which
is in the southern part of project, graded 0.86% copper and just over 16
grams per tonne silver over a width of 48 metres,” says Jonathan George,
a Director of Tosca Mining as well as a consulting geologist and past President
and CEO of Alpha Minerals Inc. In his opinion this is an “exceptional”
trench value, adding that there was 17 trenches done in the past,
many of which showed values of more than 1% of copper equivalent widespread
over an area of more than a kilometre by 800 metres.
To put that into perspective, Mr. George claims that the worldwide average
copper grade for an economic open-pit mine is 0.25% to 0.3%, and while
it’s too soon to determine the parameters of Tosca’s Carol project he says
that most of the mineralization it has found to date has been near surface.
He also pointed out that the neighbouring Piedras Verdes mine is producing
economically at an average grade of 0.36% copper.
With the closing of its most recent financing, Tosca plans to drill about
six holes of approximately 100 metres per hole at a cost of “a couple
hundred thousand dollars,” according to George.
Seeing that Tosca Mining currently has a mere 17 million shares outstanding
(approximately 25 million fully diluted), some good drill results could
spark its share price.
Although more drilling will be needed for Tosca to take its next significant
steps forward, the company is encouraged by its progress so far.
To learn more about Tosca Mining visit their SmallCapPower.com Investor
Hub:
HERE.
About Tosca Mining:
Tosca Mining Corporation (TSXV: TSQ) is an exploration stage company focused
on precious and base metals opportunities throughout the Americas.
Disclosure
Tosca Mining is a featured sponsored company and has paid SmallCapPower.com
a fee for coverage.
