Thu Mar 2, 2000
Auger Sample Results From The Rincon Del Tigre Palladium - Platinum
Project, Bolivia
Altoro Gold Corp. ATG is pleased to announce the completion of an extensive power
augering program which has tested the under explored palladium - platinum horizon of the
Rincon del Tigre layered mafic - ultramafic complex in eastern Bolivia. This complex is the
largest known mafic - ultramafic layered complex in South America.
Altoro controls 22,625 hectares covering what previous exploration in 1993 by Rio Tinto has
shown to be the most prospective part of the 125 kilometer long zone of platinum (Pt) -
palladium (Pd) mineralization in the gabbroic unit of the layered complex. Rio Tinto sited two
diamond drill holes 4 kilometers apart and intersected 10 meters at 1.27 g/t Pt+Pd+Au (hole
PA-1) and 8 meters at 1.16 g/t Pt+Pd+Au (hole SI-1). Since these intercepts contain
mainly palladium and the price for that metal in 1993 was US$90/ounce, the mineralized
zone was considered uneconomic. The current high price of palladium (over US$600/ounce)
encourages Altoro to review the economic potential of the entire complex.
The recently completed Altoro power augering program was designed to test weathered
bedrock over a 20 kilometers strike length including the area of drill holes PA-1 and SI-1. A
total of 3,869 holes was drilled to an average depth of 1.13 meters on 83 sample lines
spaced 250 meters apart and with an interval between holes of 20 meters. Analytical
results demonstrate a well defined and continuous palladium and platinum anomaly defining
the underlying Pd+Pt+Au mineralization and extending over the 20 kilometer length of the
survey (see attached figure). Altoro weathered rock values obtained over the localities of
the previous drill holes are: PA-1 (68 ppb and 155 ppb Pt, 188 and 208 ppb Pd). SI-1 (93
ppb and 87 ppb Pt, 75 ppb and 272 ppb Pd). The Altoro survey has defined zones of higher
grade platinum - palladium in weathered rock along strike from these holes with maxim of
481 ppb Pt and 443 ppb Pd. This indicates the probability of lateral variation in platinum -
palladium content in the underlying bedrock with potential for economic grade zones within
the Pd+Pt+Au layers.
Altoro re-sampled and analyzed the selected drill core from these holes and defined the
following higher grade zones within the Rio Tinto intercepts of 10 meters of 1.27 Pt+Pd+Au
(hole PA-1) and 8 meters of 1.16 g/t Pt+Pd+Au (hole SI-1) described below:
Rio Tinto
---------------------------------------------------------------
Drill From To Interval Pd+Pt+Rh Pd Pt Rh
Hole (m) (m) (m) (g/t) (g/t) (g/t) (g/t)
---------------------------------------------------------------
Hole PA-1 161.25 162.25 1.0 1.96 1.82 0.04 0.1
Hole PA-1 169.50 171.0 1.5 1.70 1.67 0.01 0.02
Hole SI-1 151.0 152.0 1.0 1.43 1.35 0.02 0.06
---------------------------------------------------------------
The results to date indicate that this mineralization contains significantly more palladium
than platinum. Altoro intends to complete additional detailed power augering and ground
geophysical surveys to further outline the higher grade zones and to define targets for
diamond drilling later in the year.
Under the terms of the agreement, Altoro can acquire a 100% interest in the property by
expending US $1.05 million on exploration over the next four years, including US $100,000
to April 2000; and issuing 400,000 shares in six stages, including 50,000 shares on signing.
Altoro has the right to withdraw from the agreement at any time following the expenditure
of its initial commitment of US $30,000. A retained royalty of 2% of net smelter returns can
be purchased by the company for US $2 million at any time. Altoro has completed its first
expenditure commitment and is in good standing until April 2001.
This exciting palladium - platinum exploration project complements the Company's Pedra
Branca palladium - platinum project in Brazil. Altoro plans to carry out aggressive
exploration programs on both of their platinum - palladium projects during the year.
ON BEHALF OF THE BOARD
David O'Connor
President and Director |
