PLANNING & DEVELOPMENT 27 NOV 1972 MINING DIVISION UTAH INTERNATIONAL INC. Irvin International Inc. BUSINESS DEVELOPMENT U.S.-MEXICO DON M. IRVIN PRESIDENT WB Dictated on: 6 November 72
Dear Hugh,
Glad to hear from you even though I had to smile at your psychology. First imparting the news that Utah is not in a pos-ition to be interested now but still asking for financial detail for future reference. For many of us the future is now!
Important factors: Recent developments at the property in-dicate that the study report may have vastly underestimated the size of the reserves. 'Los Mosqueteros' claim of over 500 hectares was not defined. In addition a new surface vein is being worked that ASARCO liquidations show to be better than a 2% copper average. About six rail gondolas a week are regularly being shipped to the El Paso smelter. The rock is described as the 'ideal' flux. All indications point to a good situation for a leaching operation at the mine. High grade, 'gambocino', copper is available from many small properties in the region.
Utah could put dead money (principal of the government bonds they hold) to work now and earn many times over the bond interest they are looking at over the next ten years or so!
An alternative that could be considered would be to not dis-turb the Mexican ownership of the property. Negotiate an exclu-sive exploration, development, and exploitation agreement covering the property and it's product.
I could ramrod this project for Utah, or any portion of it, as they may wish? Prom exploration to Mexican management. All of this,of course, after the first deal is made!
The geologist who wrote the report has not been available to us for six months. He will arrive in El Paso on the 28th of Nov. and leave on the 10th of December. I suggest and respectfully request that you send someone to look at the property while Gor-ski is here. It wouldn't hurt a bit to judge on first hand information.
Best regards to you and to your whole family,
Salud!
D. M. Irvin
SOUTHWEST EXECUTIVE SUITE TEL. 915 - 533 -5200, P. O. BOX 18 EL PASO, TEXA5 79940
Irvin International Inc. BUSINESS DEVELOPMENT U.S.-MEXICO DON M. IRVIN PRESIDENT 12 January 73
Dear Hugh, Happy New Year! I believe that Im in a position now to look into the Bond situation if you wish. Shouldnt take too long to give you a report if you will forward what information you have plus a zeroz copy of a certificate. Our copper mine looks better day by daySalud! Don
PLANNING & DEVELOPMENT 16 JAN 1973 MINING DIVISION UTAH INTERNATIONAL INC. SOUTHWEST EXECUTIVE SUITE- TEL. 915-533-5200, P. O. BOX 18- EL PASO, TEXAS 79940
January 19, 1973
Mr. Don M. Irvin
Irvin International Inc.
P.O. Box 18
El Paso, Texas 79940
Dear Don:
I have learned that the Mexican bonds received by Utah Construction for its activities in Mexico were exchanged for land which in turn is being purchased by a group of Mexican businessmen over a period of years. Utah will recover its credits in Mexico in this manner.
It is most unlikely that Utah will make further investments in Mexico; that is the decision of our management. We are not con-vinced that the mining industry in Mexico is a good climate for foreign capital investment; in addition, there are ample opportunities for exploration and mine development in other areas of the world.
All this is very negative but you have more or less heard it from me before.
We are drying out up here, not from the New Year, but from the very heavy rain, and also discovering that the sky is blue. So much for simple pleasures.
Sincerely,
HD:nam Hugh Douglas
