Coronado Resources Ltd.

Gold, copper & silver exploration, production & underground development program - Montana

Coronado Resources Profile

Coronado Resources Ltd. Vancouver, B.C., TSX.V : CRD; is an exploration and development gold and copper mining company.

" CRD has signed a contract with and begun shipping gold to, the Kinross processing plant located at Republic, Washington, near the Canadian border. "

The company is currently underway on an exploration and underground development program on it's 100% interest in the historically productive Madison Gold/Copper Property in Montana

Coronado Resources is in a unique position of receiving cash flow from its 100% owned Madison Gold/Copper Property just two years after initiating the company's first diamond drill program.

2008 Project Highlights

  • First three shipments of gold mineralization made for processing - payments received
  • Underground advanced to Level II and Copper Zone - completed May 2008
  • Proposal from metals broker for high grade Copper shipments

2007 Project Highlights

  • Underground to Level I completed
  • Initial crush runs .477 oz/ton gold
  • 10.5% copper bulk test underway
Coronado Resources Ltd. Has an option to acquire a 100% interest in six patented and twelve unpatented mineral claims known as the Madison Gold Property. The property is approximately 35 miles southeast of Butte, Montana near the town of Silver Star. The property contains old surface and underground mine workings. Mining was undertaken from the 1880’s to the 1950' Development
The underground decline has been driven 1,000 feet at a slope of 15° which was designed to access a high-grade zone of oxide gold to Level I and Level II and to lower access to a high grade Copper zone. Drill stations have been placed at stages along the decline to provide for additional drilling from underground to further test the limits of the mineralization. The decline is large enough to accomodate ore trucks and underground drill rigs. A project coordinator, mining engineer and geologist have been engaged to oversee the project. A permit was secured and the underground decline was completed to Level I in 2007.

A crushing plant, power line, compressor and weigh scale have been installed on site to process the gold and copper mineralization encountered in underground development. The company has made three shipments of oxide gold mineralization to the Golden Sunlight Mine for custom milling. High-grade copper is currently being brought to the surface as it is encountered in Level II. The company is continuing enderground development to test the high grade copper limits and gold along strike and to depth.

Goodrich Gulch Property, Montana

The Goodrich Gulch Property consists of nine claims located approximately twenty miles southeast of the Madison Property. The company can acquire a 100% interest in the property by making $400,000 in option payments and expending a total of $650,000 in exploration expenditures over four years.

These claims referred to as the
Goodrich Gulch Property have in the past received limited underground development and mining. Two shipments of 12 and 8 tons made in the past were from hand cobbed ore from small adits. The first in 1934 assayed 1.31 ozs of gold, 3.2 ozs of silver, 1.5% lead and 1% zinc per ton. The second sent in 1935 assayed 0.85 ozs gold, 5.4 ozs of silver, 1.0% Lead, 1.15% Copper and 6.4% Zinc per ton. This is a strong indicator that precious or base metals do exist on the property and has been confirmed by samples taken by the Coronado engineer.

Last changed at 30-Jan-2009 09:45AM by Highgrader