Streetinvesting.com, has commenced research on United Bolero Development Corp (TSX-V:UNB) after share prices shot up 25% Monday and trading volume surpassed 2.8million upon market closure. Share prices reached a day high of $0.285 and neared their 52-week high of $0.325. Our research team was also further by news, early Monday morning, that the Company had acquired a promising Montana gold prospect.
United Bolero maintains and is focused on expanding and exploring a diverse portfolio of quality mining and oil & gas properties. The company has an option to acquire a 100% interest in two large-scale molybdenum properties in the state of Montana and is currently active in the oil and gas sector. In fact, the Company holds a 50% working interest in five oil wells: three in Wyoming's Powder River Basin and two in Musselshell County, Montana. United Bolero is also active in the pursuit of precious metals, and is engaged in a partnership with Solitaire Minerals. Together the two companies hope to develop the South Baird claims units, located in the center of the distinguished Red Lake Mining District in Ontario. United’s Primary focus is Molybdenum and it remains active at its two Molybdenum projects, the Cannivan Gulch project and the Bald Butte Project.
The Cannivan Gulch molybdenum project is a major calc-alkaline stockwork deposit that is similar in size and metal content to additional world-class deposits currently in production. Cannivan is situated in the East Pioneer Mountains approximately 30 air miles southwest of Butte, Montana. The deposit was discovered and staked by Cyprus Exploration Company in 1968 and United has staked an additional 30 mineral claims, totaling 600 acres adjacent to the original unpatented 15. United did this in an effort to cover possible extensions of significant mineralization. From 1969 to 1982, Cyprus completed over $5 million of exploration work, including geological and geochemical surveys and 56-diamond drill holes totaling over 90,000 feet in drilling. In addition, Cyprus drove a 2,514 foot adit with raises to confirm drilling results.
United’s second molybdenum property is Bald Butte, situated in southwestern Montana. Bald Butte includes a total of 22 patented claims, consisting of approximately 350 acres, and an area of interest with radius of 0.5 miles from the property boundaries. The company has acquired, through staking, an additional 10 claims, adjacent to the property and included in the area of interest provision, to cover probable extensions of significant mineralization.
For those who are unfamiliar with molybdenum, it is a hard, silvery-white metallic element used to toughen alloy steels and soften tungsten alloy. Furthermore, it is an essential trace element in plant nutrition and it is used in fertilizers, dyes, enamels, and reagents.
On Monday morning, United was pleased to announce the acquisition of prospective property in the Silver Star mining district, Madison County, Montana. This property is adjacent to, and on strike with a property being explored by Coronado Resources Ltd dubbed the Madison property. On January 26, 2006, Coronado reported assay results of drill hole #C05-6 on its Madison property of 41.05% copper over a core length of 27 feet within a larger intercept of 64 feet grading 19.24% copper. Additionally, Coronado reported gold assays further down the hole of 54.4 feet of 0.354 ounces of gold per ton.
The Copper Star group of 4 claims was staked immediately after the Coronado announcement, by skilled personnel from the company's wholly owned subsidiary, Montana Molybdenum Corporation. Hart Baitis PhD. aided the staking crew by providing his extensive library of geological information on the Silver Star district. Dr. Baitis specifically recommended that the company efforts be directed to acquiring ground covering the contact between the Madison Limestone and the intrusives in the Silver Star mining district. He elaborated, by suggesting United concentrate on areas prospective for skarn-sulphide deposits.
During the staking operation, oxidized gossan as well as copper stained (malachite and azurite) material were found on surface (float) on the acquired properties.
The Copper Star land package is neighboring and lies to the east and south east of the Coronado Resources Ltd. ground. The Copper Star land package is on federally administered public lands, in a known mining district. This is beneficial because it is easily accessed by 4 x 4 roads within 2 miles of State Highway 55 and the village of Silver Star.
In regards to the acquisition, Mr. R. Bruce Duncan, President of United commented, " While our primary focus is to move the molybdenum operations forward, and in particular the Bald Butte operations, as well as a recently announced drill program in Red Lake, the significant assays that came out of the Coronado camp were viewed by management as an opportunity that could not be ignored for the stakeholders of the company. The team at Montana Molybdenum were able to react quickly, doing a superb job of identifying what they felt were the most prospective lands surrounding the new discovery and staking them within 24 hours of the announcement of the Coronado discovery."
Following Friday’s eye-catching share-price movement and its newly completed acquisition of a prospective Gold property, Streetinvesting.com will be keeping a diligent watch over any further progress exhibited by United. Our researchers feel that with a diverse portfolio and the Company’s readiness to continually expand its operations, that United could be taking the appropriate steps towards further successes. In addition, we are also interested to see what the Company will be able to do with its newly acquired gold prospect this year and what affect it might have on investors.
The Street Investing Team,
Streetinvesting.com has no vested interest in the above companies and has not been warranted in any way.
