Oro Verde (ASX: OVL), formally Ezenet (ASX: EZE), aims to acquire two prospective copper and gold prospects in Chile.
The Chuminga project is in the coastal area of northern Chile which hosts highly prospective copper mines such as Mantos Blancos, Chuquicamata and Escondida. The Vega project is located in Chile's prolific El Indio Gold Belt which has had discoveries in excess of 50 million ounces of gold and 900 million ounces of silver.
Ezenet commences due diligence at Chuminga Copper Gold Project in Chile
Ezenet (ASX: EZE) has commenced detailed project due diligence of the Chuminga Project in Chile, following successful legal due diligence on title.
The Company will change its name to Oro Verde Limited.
Drilling targets have been defined and a drill rig secured. First drilling results are expected early October 2011.
Completion of technical due diligence will enable the company to confirm the potential of the Chuminga Project that was identified by AUR Resources (now part of Teck Cominco) and Rio Tinto Zinc Mining and Exploration.
Ezenet is conducting the due diligence work through its wholly owned Chilean subsidiary company Green Mining Ltda.
Road to Project Site
A permit has been granted to Green Mining to enable the construction of the 1.4 kilometre road to the Project site to conduct drilling in the immediate outcrop area of the copper-gold breccia mineralisation.
With the assistance of the company's Chilean partners, the Errazuriz–Hochschild Family, Green Mining has made significant progress in commencing the construction of the road to the Chuminga site.
The contractor should complete the road and construct drill pads along the immediate strike of the outcropping mineralisation within a period of six weeks.
Chuminga is located on the Pacific coast of Chile, is accessible by road from the mining town of Taltal and the regional city and port of Antofagasta and 115 kilometres to the south.
Importantly, the region has strong infrastructure and supports many mines including the world class Mantos Blancos, Chuquicamata and Escondida copper mines.
Magnetic Survey
A survey crew is currently being mobilised to site to commence a detailed magnetic survey over the 900 hectare Chuminga leases by mid next week.
The survey will cover in more detail the 1,200 metres strike of mineralised breccia at Chuminga so that the mineralisation can be outlined in 3D to assist further drilling. The company expects that results will be available at the end of September 2011.
Induced Polarisation Survey
An Induced Polarisation (IP) survey is also planned on completion of the magnetic survey over the strike of the mineralisation to also assist further drilling.
Drilling Program
A drilling program is planned to commence around mid September 2011, as soon as the road and drill pads have been constructed.
Dr Wolf Martinick, executive chairman and managing director of Ezenet, said "We intend to utilise a portion of our existing financial resources (cash $1.5 million as at 30 June 2011 supported by assets of $3.4 million in listed securities) to meet the costs of the due diligence work and expect to have available the results of the magnetic survey by late September together with results from the initial drilling program in early October."
The Chuminga Project has an exploration target of 50-60 million tonnes at 1.0-1.1% copper, 0.40-0.50 grams per tonne (g/t) gold and 1% zinc.
With first drill results expected by early October, Ezenet has a busy three months in store. More importantly, with a sizeable Exploration Target of 50-60 million tonnes at 1.0-1.1% Copper, 0.40-0.50 g/t Gold and 1% Zinc, the Company looks to have newsflow and potential.
