Underground development and drilling

On 25 June, 2007, the second Mineral Production Sharing Agreement (MPSA) covering 1559 hectares was awarded to Apex. This completes the re-licensing of the Apex historic claims.  The new license covers the west side of the property in which there are several known porphyry copper-gold deposits and the extensions of the known vein systems.

The exploration of the Bonanza Maligaya trend has revealed a new vein and splits in the hangingwall of the Bonanza Vein.  Drilling since the last resource estimate in February 2007 has shown many significant intercepts on the Sandy, Jessie and Maria Inez veins that lie along the Bonanza Maligaya trend to the south. These positive results are guiding the underground development on those veins.

Only a small part of the overall concession has been explored and Maco Mine has a long-term potential beyond the current production target of ±50,000 ounces per year.  Apex has commenced initial drilling and associated work to confirm and expand the historical copper porphyry resource of 85 million tonnes at 0.4% copper and 0.4 g/t gold on the property, but this drilling had a dual purpose of investigating extensions of the high-grade gold veins in the St. Francis area and was more focused on the vein extension than the porphyry.