Pacific Rim program testing previously drilled Oculto zone

The first of a 5-hole program on the Diablillos project in Argentina has returned an encouraging intersection.

Pacific Rim Mining (VSE) reports a 326-ft. interval grading 0.12 oz. gold and 25.6 oz. silver per ton from 412 to 738 ft. The company has an option to acquire the project.

The objective of the 3,300-ft. program is to test and confirm the Oculto zone where, from 1989 to 1991, reverse circulation drilling by BHP Minerals outlined 3.4 million tons grading 0.073 oz. gold and 5.22 oz. silver. Oculto is the largest of several silicified and brecciated zones on the property. The first hole recalls one of the previous reverse circulation holes. The BHP hole returned a 344-ft. intersection from 417 to 761 ft. grading 0.085 oz. gold and 7.3 oz. silver.

Three other holes of the recent program are on 165-ft. stepouts to the north, east and west of 93-1, while the fifth is about 450 ft. to the northeast. Pacific Rim is awaiting final results from the drilling before planning its next move.

To acquire the property, Pacific Rim must spend US$750,000 and complete cash payments totaling US$5.13 million by Jan. 1, 1998. To date, payments totaling US$70,000 have been made, with the next payment (US$60,000) due Jan. 1, 1995. Pacific Rim has 5.4 million shares outstanding and $300,000 in working capital.