Apollo Gold Corporation was formed in June of 2002 as a result of an amalgamation of International Pursuit, and Nevoro Gold Corporation. Apollo Gold is engaged in the exploration, development and production of gold from its various subsidiaries.

 

Apollo Gold Corporation             [APG:TSE] 

Huizopa Property, Chihuahua. Optioned  from private company Argonaut Mines LLC.  This newly acquired exploration project consists of a block of mining concession claims, which covers an area of 22 square km (5436.3 acres or 2200 hectares) - now expanded to 100 square Km, is near the Chihuahua border with the state of Sonora, Mexico. The Huizopa concessions are approximately 235 km (146 miles) due east of the city of Hermosillo, Sonora, Mexico, and is located between the advanced stage multi-million ounce gold/silver projects at Mulatos (Alamos Gold) and Dolores (Minefinders Corporation Ltd.) along with several other gold/silver camps along this famous belt.

Apollo’s initial earn-in for 51% interest includes a payment to Argonaut Mines, LLC of US$ 125,000, issuance of 48,978 shares of Apollo Gold Corporation stock and a commitment to complete a US$ 3.0 million exploration and drilling program over the next four years. Subsequent equivalent land payments to Argonaut will be as follows; US$ 51,750 in October 2004, US$ 74,750 in October 2005, US$ 115,000 in April 2006, US$ 115,000 in April 2007 and a final payment of US$ 1.725 million in October 2007 for total payments of US$ 2.207 million and the above mentioned 48,978 shares of stock. The total buy-in for the above payments and work commitment for the first 51% interest is US$ 5.2 million. After the initial 51% earn-in Apollo may earn and additional 10% of the joint venture with the completion of a feasibility study. Pending a positive feasibility study Apollo may earn a further 10% if Apollo brings the project into commercial production, at which point Apollo would own 71% of the joint venture. The Huizopa area was mined from the late 1890’s through the 1930’s using small-scale operations. There has been no significant mining activity since then. The geology is characterized by a series of parallel, low sulfidation gold-silver, quartz veins hosted by Tertiary- age volcanic rocks. Silver to gold ratios in the veins and from the material on historic mine dumps indicate the Huizopa area hosts an extensive gold-bearing hydrothermal system. Two major parallel quartz vein systems with north trending structures contain many single vein outcrops 7 to 10 meters thick suggesting a series of stacked veins. Strike lengths are over 2.0 km on the property with untested down dip potential

wwwInfo09Jan05
Press Release 20Apr04