Cadan Resources Corp (fka CXD)

[oeo2oo]

Canadian mining firm bullish on Mindanao projects

by MindaNews
Thursday, 25 February 2010 23:51

KORONADAL CITY (MindaNews/25 Feb) -- The Canadian mining firm Cadan Resources Corp., which is into gold and silver, said it has raised about $4.4 million for its projects in Mindanao.

Cadan chair John D. Anderson said in a statement that the fund came from private placements through share offerings totaling 5.14 million units.
“Net proceeds from the private placement will be applied towards advancement of the company’s Philippines minerals properties and general working capital,” the statement said.

Cadan announced last month it was offering 3.5 million units but raised it to 5.14 million due to strong demand, its disclosure to the TSX Venture Exchange said.

Anderson himself purchased 60,000 shares while Cadan president Brett Taylor bought 550,000 units.

Cadan said that the T’boli gold-silver project in South Cotabato, a partnership with the local Tribal Mining Corp., is expected to be operational soon, probably within the first quarter.

Tribal Mining was granted the 25-year Mineral Production Sharing Agreement 090-97-XI in 1997 and has since been exploring the area covering 84.98 hectares in T’boli town. The area covered by the MPSA is still under court dispute, with small-scale miners laying claims on a 21-hectare land that was declared by the provincial government in the 1990s as a “minahang bayan” or people’s mining site.

Last year, Cadan Resources revealed the purchase of equipment and machinery -- including a new jaw and cone crushers, ballmill, gravity circuit, spares and ancillary equipment -- required for the initial test production phase of the T’boli project, at a rate between 50 to 150 tons a day.

The company said that refinements in design would increase the capacity to 200 tons per day.

The T’boli deposits have been reported to be at 2.4 million metric tons (MT) containing 420,000 ounces of gold and 1.6 million ounces of silver. Underground or tunneling method will be employed by the company to extract the deposits.

Aside from the T’boli gold-silver project, Cadan Resources has started exploration activities for a 9,000-hectare property in Compostella Valley.

Its Batoto gold project is estimated at 39 million MT of ore, containing 1.8 grams of gold per MT on the average or equivalent to 2.2 million gold ounces.

Aside from gold, the Compostella Valley project is also a prospective copper producer. (MindaNews)

Source: http://www.mindanews.com/index.php?option=com_content&task=view&id=7695&Itemid=160