Stock: Andover Ventures

TSX:AOX
http://www.andoverventures.com

Andover Ventures are a precious / base metal exploration and development company, with headquarters in Vancouver, British Columbia, Canada. The have very experienced team, who have built large companies in the past and hold a large stake. Gordon Blankstein (Chairman and CEO) and his family have an interest of around $15 million and management in general own about 50% of the outstanding shares, so aligning management interests with shareholders. Andover Resources only looks for politically safe environments for mines, specifically mining friendly states of America.


Projects


1) The Utah project is a large land package of around 16000 acres with Rio Tinto funding the exploration.
In the Utah District there are 23 old producing mines (these have produced - 2.3 million oz, 2.2 billion pounds of lead, 250 million pounds of copper, 250 million oz silver) along with a large percentage unexplored land.


The land was Acquired from company via a forced sale because of environmental damage caused in the past. Andover bought the land along with the responsibility to clean up the mess on around 100 acres of this land.


After the clean up the fine was reduced through the courts from an initial $60million to $225 thousand a year for 5 years.

The approach on this land package is to bring back into production the Trixie Mine with its associated mill (Burgin Mill), so the company has cash-flow. Andover Resources is currently hiring mine/mill workers activate this plan. Initial production will involve working with material stockpiled on surface (45 hundred oz of gold estimated) while the company works on rehabilitating the Trixie Mine with the goal of processing 200-250 tonnes a day. From this Andover hope to produce about 10,000 oz of gold a year at a fairly low cost.


Then next the Burgin mine a relatively high grade mine will be focused on. As an aside and to generate further cash-flow, a limestone mountain on the companies property is being exploited

2) The Alaska District is another large land holding of about 18000 acres which currently doesn't have road access  but plans are being discussed. This huge asset open in all directions and depth and the plan is build up the asset over the years as the road access is sorted.

To sum up, the managment has proved success and a lot of skin in the game. Andover is already found resources but are also exploring for more. The are activley involved in major works on there ground proving resources with a major providing the funding for exploration. Ore in the ground has avalue about £10 billion but as we know, that mean nothing untill sconomic and feasability studies are complete, but I am optimistic.