Tombstone Exploration Corporation – Is this the Next Big Silver Mining Play?
I recently searched my hometown on Wikipedia and was pleased to see that it was once the famous vacation spot for John Quincy Adams, our nation’s sixth president. All towns have a story and all regions have a history, but Tombstone, Arizona has perhaps the best story in our nation’s mining history. The town and the region boomed from a mining town with just 40 log cabins and 100 people to a fortune seeker’s paradise. About 22 years after the end of the California Gold Rush, a rush on Tombstone, Arizona was spurred on by a young man named Ed Schieffelin. Although it took Ed about a year to locate and prove a high quality ore body of silver, word spread quickly and more people began to converge on the Tombstone region to locate the next big silver discovery. Within two short years, the population would explode to 5,000 citizens, and the Gunfight at the O.K. Corral would become synonymous with the Wild, Wild West.
Most of the major North American precious metal names do not need any introduction. These include Newmont, Barrick, Goldcorp and Kinross. In base metals, international companies like BHP Billiton, Rio Tinto and Xstrata are also household names. However, among the small mining companies, most remain as unknown entities until a strong partner validates the junior mining company’s work. The stronger and well financed partner will foot a large portion of the exploration and development expense to bring the mine into production. That was the case for unknown Lion Mines when a $1000 investment turned into $5,480,000 within a 5 year period. In fact, the most successful mining stocks of all time dwarf even the most successful technology and medical companies of all time when a return on invested capital is measured by the creation of a life changing opportunity.
Arizona is often referred to as the “Copper State” for good reason. Over the past 100 years, Arizona’s mineral production has always been dominated by copper. Much of the other mineral production, including silver, has always been produced as a by-product of copper mining. However, long before copper was first discovered in the state, Arizona made Ed Schieffelin and many others some of the richest men in the country because of the high concentrations of silver found in the Tombstone area. In fact, as recently as 1985, the Tombstone Exploration’s open pit mine was producing $134,467 in silver per week at today’s prices.
We recently discovered Tombstone Exploration (“Tombstone”), an exploration-stage mining company which has the mineral rights to approximately 11,500 acres of historic mining land. The property encompasses many well known metal and mineral rich areas with a long history of profitable production, given today’s resource price levels. The project is easily accessible by paved roads and is located only 70 miles from a major city in Arizona.
Tombstone undertook two very active drilling programs in 2007 and 2008 and the results from those programs confirmed the projects’ potential as a word class silver deposit. The value of identified mineral inventories, in addition to the silver potential, is a minimum of $400,000,000. As more of the acreage is explored, the value of the deposit can be significantly higher. In addition to silver at 141 g/t, the various mineral inventories at the Tombstone Silver project were measured at:
Silver 10.4 million ounces
Gold 25,200 ounces
Manganese 205 million pounds
Lead 7.5 million pounds
Zinc 1.25 million pounds
Copper 386,000 pounds
The long term outlook for silver is very bullish. Every product that uses silver in its process is either increasing in demand or holding steady except film for photography, which has been moving away from film in favor of digital imaging. Several other factors will also drive silver prices, including its use in medical applications and batteries. In those instances, the silver is all but impossible to recover for future use, which should add upward pressure to the price of silver, especially as the world economies improve.
In the resource exploration business, seasoned management is essential during the exploration and production phase. Tombstone has a built a team with over 80 years’ combined experience in the mining and/or financial services industries.
The company’s current properties are believed to contain nearly $400 million worth of mineral resources at today’s metal prices. With a market capitalization of less than $4,000,000, the company has significant upside potential, both as a speculation as well as a value play. If any of the company’s planned core drilling programs continues to confirm its considerable mineralization, Tombstone common stock (TMBXF:OB) could make a big move, very quickly.
1800blogger.com, Inc. has been compensated $3,o00 by Tombstone Exploration Corporation to publicize the Tombstone (TMBXF:OB) story to investors. Please read the rest of our disclaimer which could be found by clicking on the link (disclaimer) at the top of any page on this blog.
