Bolero Resources Corporation  CEO and President R. Bruce Duncan says the company hopes to close on the $10 million property, which it may mine for molybdenum, 'soon'

The company with aspirations to pour $1 billion into mining operations near Rico said on Monday it was only waiting on information from seller Rico Renaissance before closing on the $10 million property.

“Normally, it is not our policy to comment on pending transactions,” said Bolero Resources Corporation CEO and President R. Bruce Duncan. “However, we felt it prudent for the public to be aware that there has been no failure with any transactions, that we are just waiting for more paperwork from the Rico Renaissance group.”

News reports were published over the weekend citing Bolero’s “failure” to close on the property.

Press releases on the Canadian company’s Web site set an expected closing date on or around last Friday, Nov. 16. Duncan did not specify a date he hoped his company would close on the mining claims in the Silver Creek area, just east of Rico.
“Hopefully soon,” he said. “This is not a small transaction. There is a ton of paperwork.”

Donetta Smith, Dolores County deputy clerk and recorder, said she had heard rumors of the deal but that her office had not received any filings.
“We haven’t seen anything yet,” she said yesterday morning.

On Oct. 15 Bolero announced plans to purchase the molybdenum-rich property, setting off concern in the small town of Rico, where mining history runs deep but is not a current way of life.

Molybdenum is an element used in steel alloys and has seen its price per pound soar from a slim $2 in 2002 to $40 in 2005.

Past research shows the total mineral deposit at 198 million tons, representing up to 1.2 billion pounds of molybdenum.

The town held a meeting shortly after Bolero announced its intent to purchase the property and sent executives a letter saying that mining was in direct conflict with the town’s master plan.

Bolero had not publicly announced its hopes for the property until last week, when Duncan said his company could pump as much as $1 billion into the project and could staff it with as many as 1,000 miners, should exploration confirm the mineral riches.
He said the mine would closely resemble the underground mine in Henderson, near Empire, Colo.

That announcement, he said, garnered feedback from townspeople.

“I think we still have a job to do,” Duncan said. “We need to go down there and sit down, look everyone in the eyes and … have them understand the process.”

Yesterday, Duncan said the company even hoped to build a ski mountain and that he had hoped to purchase a “recreational” home in Rico.

Bolero owns two other molybdenum mines in the United States, both in Montana.

Telluride Daily Planet