Proactiveinvestors Australia

Silver Swan Group is beginning its quest for gold in Spain’s highly prospective Iberian Pyrite Belt – a major gold producing region, estimated at up to 65Moz, host to some of the world’s largest VMS orebodies. The company’s exploration effort will be spurred on by the closure of an underwritten A$2.1m rights issue. 

Dr Susan Vearncombe, managing director of Silver Swan Group, told Proactive Investors today that once the A$2.1m rights issue is completed the company will have around $4m in cash to accelerate drilling programs at its two main projects, the La Codosera Gold Project in Spain and the Quinns VMS Project in the Yilgarn region of Western Australia.

The La Codosera Gold Project, located in one of the most famous historic gold districts in Spain, is geologically similar to Alaska’s 6.6Moz Juneau mine and the 4.2Moz Haile mine in the Carolina Slate belt.

Silver Swan Group’s Quinns VMS project in the Yilgarn region continues to unveil its potential as a major VMS deposit. Recent highly promising assays and the fact that the project is surrounded by numerous VMS discoveries bode well for continued success at Quinns.

Results including 4m at 6.3g/t gold support the potential for multiple stacked high-grade lodes and for shallow oxide gold mineralisation at the Stakewell Gold Project. Silver Swan is well funded and an additional two new oxide target areas will be drilled shortly.

The $5.1 million received is part of a planned $10 million investment by Owen Hegarty's EMR Capital in Highfield Resources to develop its advanced potash projects in Spain.

Having made inroads to access the eastern area of the high grade silver Bonanza Zone at the New Departure project in Montana, Black Mountain is on the cusp of first cash generative silver production.  

Cougar Energy has started the Phase 1 drilling program at its Mackenzie PCI grade coal tenement that will unlock the value of the asset by helping define a maiden JORC Resource.

Besides securing offtake for iron ore produced at Nelson Bay River Iron Ore DSO Project, the agreement with Singapore’s Frost Global also provides Shree Minerals with a US$4 million advance to progress development of the project, which has low forecast OPEX of $58 per tonne for DSO product FOB Port Burnie.

With a capital raising under the belt, Vantage Goldfields is taking rapid strides in expanding its Lily and Taylors gold mines in South Africa. Its combined operations are expected to produce 30,000 ounces in 2013, and expanding to 45,000 ounces next year.