Capstone Gold Corp. is a Canada based Mineral exploration company with a strong focus on Mexico. The company optioned a 90% interest in five advanced projects from Grupo Bacis in late 2003. Each project is a past producer with an existing resource base and the company is committed to expanding and developing these resources. The Cozamin Mine was a priority part of the 2004 plan of operations and is developing in a very positive way towards production. Plans call for the underground mining to begin in the first half of 2006.

Capstone Gold Corp.    [CSG:TSX-V]   

Cozamin Project, Zacatecas. The Cozamin property is approximately 1,000 hectares in size, and is easily accessible by a paved road 3.8 kilometers north of Zacatecas City. The most prominent vein on the property is the Mala Noche vein which is over 5.5 km in length and ranges from 5 to 18 meters in width. Present workings extend from the San Roberto Mine in the west to the San Bernabe mine in the east. A 750 tpd flotation plant was installed in 1997. Still present on the site, this plant has processed 250,000 tonnes of ore grading 1.2% copper, 90 g/t silver, 0.5 g/t gold, 1.8% zinc and 0.6% lead, mainly from shallow, oxide-zone workings. Copper and silver grades and vein width appear to increase in depth.

Copala Project, The Copala vein system, which covers 4,420 hectares, lies in an historic and well-mineralized mining camp 60km SSE of Mazatlan, Sinaloa State, and is located directly astride the main highway to Durango. There are several veins in the area, the main two being the Animas-Refugio and Cordon del Oro veins, outcropping for 6 km which locally reach widths from 2 meters to 40 meters.

Claudia Project,  Durango. The Claudia project covers approximately 5,900 hectares and lies 135 kilometers NNW of the city of Durango with good access via a paved highway. The Aguilarena vein, one of five major veins on the project has been explored with 2,000 meters of diamond drilling, 3,400 meters of drifting and a 90 meter shaft. A limited tonnage grading 200 g/t silver and a 3.8 g/t gold has been outlined over a shallow and restricted part of the vein.

Promontorio Project, Durango. The Promontorio project (1,900 hectares) located north of Durango City covers an extensive vein system with the two main veins, Promontorio and Periclos having an estimated historic production of 250,000 tonnes of 3,500 g/t silver and 20 g/t gold. The narrow but high-grade epithermal veins are traceable for more than 2 km.

Montoros Project, Durango. The Montoros project (2,147 hectares) is located 190 kilometers NW of Durango City and has seen only partial exploration of four main epithermal vein systems, with vein widths locally up to 25 meters. Sampling in trenches, old mine workings and outcropping veins returned positive exploration results.

Ventanas Project, Durango. Wheaton River is also pleased to announce a joint venture agreement with Capstone Gold Corp. ("Capstone") of Vancouver on the Ventanas Project, 120 kilometres west of Durango City, Durango, Mexico. Ventanas is considered a geological twin to the prolific San Dimas epithermal gold/silver district (30 kilometres north), where Wheaton subsidiary Luismin operates the Tayoltita, Santa Rita, and San Antonio mines. To date, over a dozen different epithermal systems have been identified at Ventanas. Under the terms of the agreement, Capstone will spend US$5 million over four years to earn a 70% interest in Ventanas, at which point Wheaton River has the option to buy back to a controlling interest.

Press Release 11Apr03
NMN V.90, No. 46 Jan 3-9, 2005