Business
Amazon Commences Exploration at Madeira Gold Project and Elects to Discontinue Exploration at Tocantins Gold Project
/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ TORONT...
About this update from Verde Agritech Ltd
[{"type":"text","content":"\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN\n\n\nTHE UNITED STATES/\n\n\nTORONTO, July 25 /CNW Telbec/ - Amazon Mining Holding plc ("Amazon" or\nthe "Company") (AMZ: TSX-V) reports that it has elected to discontinue\nexploration at the Tocantins Gold Project ("Tocantins") located in Tocantins\nstate and that exploration has commenced at the Madeira Gold Project\n("Madeira") located in the Amazonas Province, Brazil.\n\n\nAmazon's Board of Directors has determined that recent exploration\nresults do not indicate that Tocantins is likely to host a gold resource of\nthe size initially targeted. Amazon has notified the underlying owners and has\nalso ended property payments.\n\n\nIn line with the Company's exploration strategy, Amazon has commenced\nexploration at the 100% owned Madeira gold project. The Company is outlining\ndrill targets for a Phase 1 drilling campaign planned to start during Q3-2008.\n\n\nIt is the Company's view that Madeira makes an attractive opportunity for\nthe Company for the following reasons:\n\n\n- Amazon staked the claim;\n- It is 100% controlled by Amazon;\n- Potential near surface gold-rich conglomerates ("Targets"), can be\n easily drilled via RAB drilling;\n- The property is in a historic gold producing region: Gold-rich\n conglomerates exposed by the Madeira River officially produced\n 1.7 million ounces between 1975 and 1995.\n- In such a geological setting and presuming drilling is successful, gold\n could be recovered using gravity techniques utilizing scalable, low\n cost operations that could be constructed in a relatively short period\n of time.\n\n\nThe Company's focus remains on exploration of major geological structures\nin regions of significant past gold production. The strategy involves low cost\nentry into prospective gold properties where mineral potential can be quickly\nassessed. An important aspect of this strategy is to cease exploration\ninvestment and property payments if exploration results fail to delineate a\nstructure that appears capable of hosting a significant economic resource.\nThis allows Amazon to re-allocate its cash resources towards new prospective\nprojects. Amazon believes this prudent strategy to be the best use of its\ntreasury whilst at the same time providing attractive oppor...