Azteca Gold Corp. Updates Two Mile Project Drilling and Announces $1.25m Financingadmin
Matthew Russell, President of Azteca Gold Corp. announces that the Company is undertaking a non-brokered private placement of CAD $1,250,000, subject to regulatory approval. 25,000,000 units will be issued at CAD $0.05 per unit. Each unit consists of one common share and one half of a warrant. Each whole warrant entitles the holder to subscribe for an additional common share for CAD $0.25 for a period of 2 years from closing. Management expects to participate in this placement in an amount of up to CAD $500,000.
The funds will be used for drilling and assaying expenses at the Company’s 50% owned Two Mile Project, as well as for general corporate purposes.
Two Mile Project Drilling Update
Diamond drill core hole DDH-006 was started on December 10th. The core hole will be HQ-size down to at least 4,000 FT to facilitate a potential future wedge-off drilling point that could be used to develop a mineral resource. Below the wedge-off point, the core hole will be narrowed down to NQ-oversize to reduce the drilling friction and increase the depth capability of the high-strength NRQ drill rods. Target Total Depth (“TD”) has not been decided at this time.
Diamond drill core hole DDH-005B is in the process of being wedged-off of hole DDH-005A at a depth of approximately 4,000 FT. High strength NRQ drill rods and an oversize NQ drill bit are also being used for hole DDH-005B to reduce drilling friction and increase the likelihood of being able to achieve the target TD of 9,500 FT.