Zaruma Resources Inc.

Zaruma Resources Inc.  ZMR     (TSE)      ZMRAF (NASDQ - OTCBB)

Resulted from a merger of Laminco Resources and the Norwegian Mining company Zaruma Mining Corporation ASA

San Antonio Project, Sonora. Current business plan for 1Q03 includes further metallurgical tests on samples to be taken from oxide and sulphide gold resources from the Company's San Antonio project in Mexico. 

Press Release 23Jan03

Was JV partner with Alamos Minerals on gold production on the San Antonio (de la Huerta) Gold Project, but Alamos dropped out to focus on Mulatos with National Gold as of May 24, 2001. Initial 27,000 ton leach test produced around 300 oz from the California orebody which was shipped on activated carbon to a custom stripping facility in Idaho. A bulk mining-leaching test that was initiated in 2000. The test was confined to material mined from the California zone. Bulk test results showed that the tonnages and grades amenable to open pit mining were less than expected and the minerals indicated characteristics that hinder heap leaching. The costs involved in proving up a long term ore supply and in solving the metallurgical problems could not be provided from cash flows as originally expected. Placing the project into commercial operation would require Alamos to provide substantial additional financing which is beyond the Company's present capability. Although the owner of the San Antonio property, Zaruma Resources Inc., made an offer to provide additional financing, the net result to Alamos was not attractive. Alamod management believed other projects in Mexico may provide a better return on the remaining US$430,000 cash in treasury and the mining fleet that Alamos currently owns.

Luz Del Cobre Project, Sonora. The Luz del Cobre copper deposit has a feasibility study in place indicating production costs of  under 50 US cents per pound (open pit, leach, standard solvent extraction electro-winning of copper). Zaruma is currently bringing the feasibility study to bankable level, and evaluating financing options to develop and construct the mine/mill complex. Luz del Cobre can be brought to production in under 24 months. At current copper prices, Luz Del Cobre will produce an annual cash flow of $6 to $ 7 million. 

Press Release 01Dec00


San Antonio-El Realito Au Project, Sonora. Optioned the right to explore and develop some real estate Laminco controls in central Sonora. Located adjacent to the part of the same property that Laminco has optioned out to Placer Dome's Mexican subsidiary Minera Can Mex S.A. de C.V. (see below) During the period 1993 to date Laminco has drilled over 240 holes and established a resource base of around 1 million ounces in all categories. Alamos can earn up to 70% in two steps. The first 35% upon successfully completing production scale metallurgical tests on San Antonio type ores. The second 35% is tied to a 4.5 year $4M commitment to explore and develop property.

Press Release 14Jun99

Total resource includes Golfo de Oro (405,000 oz), Cerro Sapuchi (50,000 oz) and California (300,000 oz) Zones. Golfo de Oro will be around 5 million tonnes at 2.4 to 2.7 gm Au. Prod (Pre-feasibility) study underway by Micon Intl. of Toronto.. Farmed out a 70% interest in the western third of the San Antonio Project area to Placer Dome's Minera Can Mex S.A. de C.V. This "Carrizo-Ridge" JV excludes all known reserves and resources and is over a largely unexplored portion of the San Antonio land holdings. placer-Dome completed a surface use agreement in January, 1999. According to Laminco, they have identified over 1 million oz Au and 125 million lbs of recoverable Cu on the San Antonio Project. Results of 23 additional holes reported in Jan. 1997 as encouraging with thicknesses of 10 to 110 ft of 0.05 to 0.1 opt at depths generally less than 300feet. CMH 1998-1999 puts OP/HL resource at 2.1. M tonnes at 1.98 gpt Au $ UG resources at 1.13 M tonnes at 4.26 gpt. Placer geologists are currently working on Carrizo Ridge in preparation for drilling in 1Q99.

Press Release 21Jan99
CMH 1998-1999
MBD February, 1997
GCN #18 27Jan97
MBD January, 1997
GCN #236 6Dec96
GCN #172 5Sep96
NMN v82#25 08/19/96
MBD July, 96
MBD June, 96
LAMR, v3, #4 Apr. 96
NMN v82 #4 03/25/96

Luz del Cobre Cu Project, Sonora. On the same property as the San Antonio-El Realito Au project. Formerly known as San Antonio de la Huerta Cu prospect. Open pittable 125 million lbs of recoverable Cu. 14.6 million tonnes grading 0.738% Cu, mostly as Cu-carbonates and oxides. Another study reported 10.2 million tonnes at 0.875% Cu. According to a March 1997 study by Bateman Engineering the deposit shows a NPV of $32 million dollars at $1/lb Cu. (i.e. can produce cathode copper at US $0.494/lb.) Mintec Inc.of Tucson puts reserves at in excess of 150 million lbs of recoverable copper. The final property payment of $1.2 million was made on April 18, 1997. This leaves Laminco dept-free regarding 100% ownership.

Signed deal with Naxos Resources Ltd. for them to earn in 70% on Luz del Cobre in the process of bring it into production. Don't know what happened to this. According to a 21Jan99 Laminco Press Release Dekka Mining Corporation is the asignee of the option on the Luz del Cobre deposit. A plan to perform the final work required for bank acceptance of the feasibility study is in place, however a commencement date has not been set.

Press Release 21Jan99
Press Release 16Sep98

Previously had entertained an agreement with Ridgewood Power Corp. of Ridgewood New Jersey to provide 100% of the financing to place the property into production as an open pit heap-leach SX/EW plant. According to plan a new JV company comprised of 49.9% Laminco and 50.1 Ridgewood would operate the mine. Net cash flow after operating costs and debt service will be split 50/50. Expected to begin production in 1999. Discussion relating to this agreement was terminated in January because final terms acceptable to both parties could not be reached.

GCN#13 20Jan98
GCN #191 3Oct97
MBD July, 1997
GCN #110 9Jun97
Corporate Profile
MBD January, 1997
NMN v82#43 12/23/97

East Durango Project, south of Cuencame near border with Zacatecas. Jointly explored a sediment-hosted target with Sino-Pacific Resources. Project size is 14,000 acres. Phase I drilling consisted of 6 DDH totaling around 2000ft and follow-up RC holes in progress (Feb-Mar, '97). Three of 6 DDH's returned values from 10 to 950 ppb over widths of 25 to 52 ft. associated with steeply S-dipping structures. Adjacent 14,000 acres acquired in March and referred to as Simon Bolivar Property. Located east of and on trend with East Durango holdings.

CMH 1998-1999. GCN #44 4Mar97
MBD February, 1997