Canasil is a Canadian-based mineral exploration company based in Vancouver, British Columbia, with a portfolio of gold and silver properties in British Columbia, Canada and Durango State, Mexico.  Canasil optioned some of Wheaton River's Luismin portfolio near Tayoltita.

Canasil Resources Inc.              [CLZ:TSX-V]     

Tres Marias and Cebollas, Durango. The Tres Marias and Cebollas properties consist of 7 exploration and exploitation concessions covering 1,860 hectares, and are located in the San Dimas Mining District, 150 km west of the city of Durango, at an altitude of 2,300m to 2,500m. The properties are situated 14 km southeast of, and on the same prospective northwest to southeast structural trend as Wheaton/Luismin’s San Dimas/Tayoltita mine. In October 2003 Canasil entered into an option agreement with Wheaton River Minerals Ltd. (Wheaton River, TSX: WRM) and its wholly owned subsidiary Minas Luismin S.A. de C.V. (Luismin) to earn up to a 75% interest in the Tres Marias and Cebollas Gold / Silver properties located in Durango State, Mexico. Under the agreement, Canasil may earn an initial 51% interest in the properties by issuing 50,000 shares to Wheaton / Luismin and incurring US$1.0 million in exploration expenditures over five years. Canasil’s interest may be increased to 75% in the sixth year by incurring a further US$700,000 in exploration expenditures. The agreement provides Wheaton / Luismin with an option to buy back a 35% interest in the properties for US$1.7 million after Canasil has acquired a 75% interest.

The first phase of the planned exploration program will consist of further mapping and satellite surveys over the region and the property to identify the major geologic and structural trends. An extensive sampling program on the exposed vein systems and in accessible underground workings will be used to confirm the grades from past sampling and further investigate the observed structural trends. These programs will prepare the ground for the second phase of the exploration program, which will include diamond drilling.

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