MEXICO - Toronto-based MacMILLAN GOLD is planning a new drill program for its Cerro de Oro gold-silver project in Zacatecas State in an effort to attract investment from a major mining company, said CEO George Brown.
MacMillan was in talks with WESTERN SILVER about a possible partnership, but has seen no action from the Vancouver-based company. In light of Western's announcement this week of plans to begin developing its nearby Peasquito project immediately, "We've decided to go get ourselves some funds and go back and do some more drilling," Brown said.
MacMillan is planning a roughly US$500,000 private placement to fund a 10-20 hole drill program in the first half of 2006. The program would cover the most promising targets with 50-metre step-out drilling, "which will give us a resource reserve on that area and we'll build out from there," said the CEO.
"We already have drill permits and surface rights," he said. "We just drilled this year, and got what we think are good results, but the market didn't care at the time. Now that the market's buzzing about Western Silver nearby and committing $400 million to build a mine, it makes our project much more attractive."
Western Silver this month said capex would total US$334 million at Peasquito, which the company plans to start developing as soon as possible.
Two websites of interest are www.MacMillanGold.com and www.WesternSilverCorp.com.