Mexico’s Sleeping Giant
Panoramic view of the Metates project
C
hesapeake Gold Corp. is a Vancouver, BC-based precious metal exploration and development company listed on the TSX.V stock exchange, symbol CKG. Chesapeake is currently advancing one of the largest undeveloped, disseminated gold-silver deposits in the world. The 100%-owned Metates property is located in Durango State, Mexico approximately 175 kilometres northeast of Mazatlan. Earlier this year Independent Mining Consultants of Tucson, Arizona completed a NI 43-101 compliant resource estimate which indicates Metates contains a measured indicated and inferred resource of 19.8 million ounces of gold, 530 million ounces of silver and 3.8 billion pounds of zinc. The resource estimate was based on a gold price of $900 per ounce and a cut-off grade of 0.40 g/t gold equivalent (gold-silver). Recently, M3 Engineering & Technology of Tucson, Arizona (M3 Engineering) completed a Preliminary Economic Assessment (PEA) on the project which indicates a large tonnage open pit mine is economically viable. Considering the current price of gold and silver Metates offers an exceptional opportunity for creating wealth over the long term. 4 Planning for Profits | Report on Mining | Spring 2010
You may be surprised to learn that Metates was first discovered over 20 years ago. After the first few drill holes the potential for hosting a world class size deposit was recognised. Cambior Inc., the previous owner, drilled 49,000 metres from 1993-1995 in an effort to define the size and grade of the deposit. The results were very compelling but the metallurgy was considered a challenge, and with gold prices at historically low levels, the deposit was deemed uneconomic. Since 1995 significant improvement achieved in the treatment of refractory gold-silver mineralization, coupled with a substantial increase in the price of precious metals Metates has enabled Chesapeake to capitalize on the unlocked potential in this huge world scale resource.
“Metates contains a measured, indicated and inferred resource of 19.8 million ounces of gold, 530 million ounces of silver and 3.8 billion pounds of zinc.� www.ReportOnMining.com