Ascendant Copper Acquires St. Genevieve in Its Bid for Diversification and Near-term Production in the Americas
John Whittier Greenleaf, the American Quaker poet and abolitionist, was noted for saying, “I’ll lift you and you lift me, and we’ll both ascend together.†It looks as if Ascendant Copper (TSX:ACX) has taken some of his sage relationship advice as it ushers in a new phase of its ascendancy with its friendly takeover of St. Geneviève Resources (CNQ:SGVL) of Montréal. The Boards of Directors of both ACX and SGVL have unanimously approved a letter of intent in which ACX acquires all of the outstanding shares of SGVL in exchange for up to 30,000,000 ACX common shares, as per its October 31st press release. Completion of the transaction is subject to final due diligence by ACX and SGVL.
This latest news represents a new chapter for Ascendant as it diversifies its asset base and gathers momentum in its push to achieve mid-tier production status. Of particular interest are SGVL’s two past-producing copper properties in Arizona.
Emerald Isle is a formerly producing open-pit copper mine located 24 km northwest of Kingman. Infrastructure in the area is excellent on all counts, with water coming from nearby wells. Mine infrastructure also includes a SX/EW (solvent-leach/electrowinning*) plant, some buildings and equipment.
Emerald Isle contains a 43-101-compliant** recoverable mineral resource of 27.5 million lbs Cu. The property has a history of work dating back to 1917, with open-pit production starting in 1943. A final pre-feasibility study conducted by Behre Dolbear reports an expected mine life of 4 years, which is a conservative estimate. The company plans to put the property into production within 12 months in order to produce about 5 million lbs of copper annually. The company estimates costs of around $4 to 5 million in order to put the property back into production.
It is particularly important to note the economic advantage that a SX/EW processing scenario lends to this project. It requires a low capital investment requirement relative to the smelting process, and can be viable even on a small scale. The process has very little environmental impact, as its liquid streams are easily contained, and acids used in the process are eventually neutralized by the host rock itself. Most importantly, SX/EW also allows for the processing of copper oxides, which are very difficult and expensive to smelt. These include mined copper minerals That Are in oxidized form, such as azurite, brochantite, chrysocolla and cuprite, as well as residual copper in old mine waste dumps that has been oxidized through exposure to air.
The Zonia property, located south of Prescott, consists of 3,300 acres that produced 33 million lbs Cu from 1966 to 1975 by heap leaching. In 2006, Scott Wilson Roscoe Postle Associates (RPA) prepared a NI 43-101 technical report on the property. It outlined an inferred resource of 63 million tons copper averaging 0.37% Cu at a cutoff grade of 0.25% containing an estimated 460 million lbs Cu.
Zonia is also considered a near-term producer. Ascendant plans to update the feasibility study and expand resources through additional drilling while preparing the site for production over the next 24 to 30 months.
The acquisition of SGVL enables Ascendant to build upon its comprehensive copper-moly portfolio. The company is also able to build on a great deal of copper exploration experience, gleaned while working in Ecuador, where it owns two properties: the Chaucha copper-molybdenum in the southwest, and the Junin copper-molybdenum porphyry project in the northwest.
Chaucha has an historic geological resource estimate of 216 million tons, with 2.2 billion lbs Cu and 122 million lbs Mo. Phase III of the drilling program – which involved testing for higher grade, +1% Cu – has recently been completed. Assay results are expected shortly. At the same time, according to the company’s website, Junin has a 43-101 compliant inferred resource estimate of 982 million tonnes, with 19.2 billion lbs copper and 864 lbs molybdenum.
This latest move serves as a bridge to create increased value and cash flow for Ascendant’s shareholders in the near and mid-term future. It also serves to support the advancement of Chaucha and Junin. Recently, Ecuador’s President has come out in support of responsible mining, and the Ministry of Mines and Petroleum is laboring to determine how to best advance mineral projects within Ecuador. These new political developments should bode well for the people of Ecuador, for the mining community in general, and for Ascendant in particular.
In the meanwhile, the company will continue to build on its ongoing strategic exploration alliance in Ecuador with Rio Tinto, which gives it access to Rio Tinto’s US$14 million database.
In terms of investor awareness, the agreement with SGVL signals a key entry point for Ascendant’s potential investors in the sense that all the building blocks are now in place to ensure a balanced approach in terms of growth – and profit – at all stages of its development.
*Solvent extraction/electrowinning (SX/EW) is a two-stage process that first extracts and upgrades copper ions from low-grade leach solutions into a concentrated electrolyte, and then deposits pure copper onto cathodes using an electrolytic procedure.
**National Instrument 43-101 (NI 43-101) is a rule developed by the Canadian Securities Administrators (CSA) and administered by the provincial securities commissions that govern how issuers disclose scientific and technical information about their mineral projects to the public. It covers oral statements as well as written documents and websites. It requires that all disclosure be based on advice by a “qualified person” and in some circumstances that the person be independent of the issuer and the property.
This article is intended for information purposes only, and is not a recommendation to buy or sell the equities of any company mentioned herein. It is based on sources believed to be reliable, but no warranty as to accuracy is expressed or implied. The opinions expressed in the article are those of the author except where statements are attributed to individuals other than the author, in which case the opinions are those of the individual to whom they are attributed.
About the Author
Resourcex Investor is an internationally distributed newsletter about emerging junior resource companies. Sign up for a free 1-month trial to our newsletter and get instant access to news and investing tips that have helped many of our readers make more money. http://www.resourcex.com
Mineral Color & Shapes
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413grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S10 $99.99 |
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17gr GEM SILICA CHRYSOCOLLA CUPRITE ROUGH COLLECTOR CABOCHON JEWELRY MINERAL S77 $9.99 |
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30gr GEM SILICA CHRYSOCOLLA CUPRITE ROUGH COLLECTOR CABOCHON JEWELRY MINERAL S79 $9.99 |
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27grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S96 $4.99 |
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27grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S93 $9.99 |
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17gr GEM SILICA CHRYSOCOLLA CUPRITE ROUGH COLLECTOR CABOCHON JEWELRY MINERAL S77 $9.99 |
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CHRYSOCOLLA &MALACHITE MINERAL SPECIMEN QLD AUSTRALIA $9.99 |
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CHRYSOCOLLA MINERAL SPECIMEN QLD AUSTRALIA $14.99 |
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CHRYSOCOLLA &MALACHITE MINERAL SPECIMEN QLD AUSTRALIA $19.99 |
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MINERALS : BLUE CORNETITE WITH CHRYSOCOLLA FROM TYPE LOCALITY $6.70 |
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9 NATURAL RAW .8″-1.3″ CHRYSOCOLLA CRYSTAL STONE ROUGH MINERALS PERU 52 GRAMS $1.25 |
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MINERALS : LIGHT GREEN CHRYSOCOLLA ON MATRIX FROM CONGO $2.25 |
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28ct CHRYSOCOLLA PERU REIKI CABOCHON EMERALD COLOR COLLECTORS MINERAL B444 $9.99 |
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6cms CHRYSOCOLLA IN SELENITE COLLECTORS REIKI CRYSTALS MINERAL SPECIMEN S60 $14.99 |
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5.5cms CHRYSOCOLLA IN SELENITE COLLECTORS REIKI CRYSTALS MINERAL SPECIMEN S63 $14.99 |
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9.5cms CHRYSOCOLLA IN SELENITE COLLECTORS REIKI CRYSTALS MINERAL SPECIMEN S61 $14.99 |
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5cms CHRYSOCOLLA IN SELENITE COLLECTORS REIKI CRYSTALS MINERAL SPECIMEN S59 $14.99 |
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7cms CHRYSOCOLLA IN SELENITE COLLECTORS REIKI CRYSTALS MINERAL SPECIMEN S62 $9.99 |
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2ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B472 $14.99 |
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Handmade Mineral Gemstone COCKATOO Bird Sculpture Sodalite Chrysocolla Crest Art $66.66 |
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MINERALS : BLUISH CHRYSOCOLLA WITH GREEN MALACHITE FROM CONGO $2.25 |
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Cuprite in Chrysocolla Copper Minerals Yerington Mine Lyon County Nevada $4.99 |
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S29-Rocks, Fossils and Minerals. Fluorite,Crystals, Barite,Chrysocolla,Jasper $8.99 |
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A4-Rocks and Minerals/fluoritepyrite/copper veins and petrifiedwood/chrysocolla $6.99 |
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Chrysocolla Blue-Green Swirl Rock Mineral Egg 2.5″ #9972 $31.99 |
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AMAZING BOTRYOIDAL MALACHITE CHRYSOCOLLA MINERAL SPECIMEN !! $19.99 |
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44grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S97 $9.99 |
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24grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S03 $4.99 |
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8ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B364 $4.99 |
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25grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S99 $4.99 |
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51ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B354 $9.99 |
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10grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S91 $4.99 |
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15grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S92 $4.99 |
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8ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B361 $9.99 |
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9ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B366 $4.99 |
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19ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B395 $9.99 |
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57grs GEM SILICA CHRYSOCOLLA EMERALD COLOR COLLECTORS REIKI MINERAL JEWELRY S98 $9.99 |
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8.5ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B365 $9.99 |
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13ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B360 $4.99 |
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31gr BLUE SCAPOLITE TRANSLUCENT CHRYSOCOLLA ROUGH TURQUOISE REIKI MINERAL S20 $5.99 |
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12 cms DRUSY GEM SILICA CHRYSOCOLLA ATACAMITE CUPRITE COLLECTOR MINERAL D42 $499.99 |
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Light blue CHRYSOCOLLA on TALC with MAGNETITE, rare Maryland mineral $5.00 |
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9 NATURAL RAW .8″-1.1″ CHRYSOCOLLA CRYSTAL STONE ROUGH MINERALS PERU 53 GRAMS $0.99 |
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Minerals – Chrysocolla Rough $5.00 |
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Minerals – Chrysocolla Rough $5.50 |
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Minerals – Chrysocolla Rough $5.00 |
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Mineral Specimen Pieces *COPPER *OLIVINE *GARNET*CHRYSOCOLLA*STILBITE*Crystals $6.00 |
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Minerals – Chrysocolla Rough $8.75 |
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Green Druzy CRYSTALLIZED CHRYSOCOLLA Rough Mineral Specimen Zaharagems CCT1 $39.10 |
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49g CRYSTALLIZED CHRYSOCOLLA Green Druzy Rough Mineral Specimen Zaharagems CCT2 $30.60 |
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40mm Rough CRYSTALLIZED CHRYSOCOLLA Green Druzy Mineral Specimen Zaharagems CCT3 $30.60 |
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4.5ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B470 $149.99 |
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2ct GEM SILICA CHRYSOCOLLA CABOCHON EMERALD COLOR COLLECTORS MINERAL B471 $49.99 |
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S11- Rocks and Minerals/calcite/amethyist color on stone/chrysocolla/pretty $7.99 |
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Chrysocolla Mineral Specimen Rock 2 Inch w Info Card $1.69 |
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Minerals – Malachite and Chrysocolla Encrusted Matrix $18.00 |
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Chrysocolla Mineral Specimen from Congo DRC $54.88 |
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Chrysocolla Mineral Specimen from Congo DRC $11.97 |
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Chrysocolla Mineral Specimen from Congo DRC $36.61 |
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Chrysocolla Mineral Specimen from Congo DRC $34.08 |
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5.5g GREEN DIOPTASE Crystals w/ Chrysocolla Mineral Specimen Zaharagems GDC2 $30.60 |
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Chrysocolla Mineral Specimen from the Congo DRC $79.12 |
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T S Pink Soap Rocks, PALM STONES, PalmStone, Gemstone No two alike Mineral Soap $3.95 |
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8 NATURAL RAW .8″-1.1″ CHRYSOCOLLA CRYSTAL STONE ROUGH MINERALS PERU 48 GRAMS $14.99 |
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Electric Blue Drusy Quartz Chrysocolla Mineral Specimen $39.75 |
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GEM SILICA CHRYSOCOLLA 13gr POLISHED REIKI PERUJEWELRY MINER MINERAL T21 $7.99 |
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Azurite Malachite Chrysocolla – Montana Minerals +Epidote Quartz & more 2lb 4oz $50.00 |
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Chrysocolla Minerals Speciment Arizona 10 ounce For Display $13.95 |
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Large CHRYSOCOLLA AZURITE ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $14.00 |
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XL CHRYSOCOLLA AZURITE ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $17.00 |
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XL CHRYSOCOLLA AZURITE ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $26.00 |
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HUGE! CHRYSOCOLLA AZURITE ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $125.00 |
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HUGE! CHRYSOCOLLA AZURITE ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $98.00 |
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HUGE! CHRYSOCOLLA AZURITE ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $179.00 |
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HUGE! CHRYSOCOLLA AZURITE ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $79.00 |
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Large CHRYSOCOLLA ROUGH STONE MINERAL SPECIMEN NATURAL CRYSTAL HEALING $12.00 |
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17ct GEM SILICA CHRYSOCOLLA CABOCHON JEWELRY PENDANT COLLECTORS MINERAL B424 $14.99 |
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2.5″ NATURAL ROUGH CHRYSOCOLLA & MALACHITE CRYSTAL MINERAL CLUSTER AFRICA 197grm $68.99 |
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Minerals – Malachite, Chrysocolla and Tenorite Specimen $16.50 |
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54gr BLUE SCAPOLITE TRANSLUCENT CHRYSOCOLLA ROUGH TURQUOISE REIKI MINERAL S18 $9.99 |
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Rough Chrysocolla 1lb Lot Large 1.5″+ Natural Stone Mineral Crys $10.95 |
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1.1″ GEM SILICA DRUZY CHRYSOCOLLA CRYSTAL STONE MINERAL CLUSTER CHILE 9.3 GRAMS $14.79 |
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CHRYSOCOLLA MINERAL ROCK FAMOUS COPPERWORLD MINE 1.3 OZ $15.00 |
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1.5″ GEM SILICA DRUZY CHRYSOCOLLA CRYSTAL STONE MINERAL CLUSTER CHILE 36.4 GRAMS $21.74 |
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1.2″ GEM SILICA DRUZY CHRYSOCOLLA CRYSTAL STONE MINERAL CLUSTER CHILE 25 GRAMS $17.84 |
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2″ GEM SILICA DRUZY CHRYSOCOLLA CRYSTAL STONE MINERAL CLUSTER CHILE 36.8 GRAMS $24.74 |
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1.5″ GEM SILICA DRUZY CHRYSOCOLLA CRYSTAL STONE MINERAL CLUSTER CHILE 46.1 GRAMS $36.74 |
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CHRYSOCOLLA MALACHITE WITH WORLD MINERALS 7.6 GRAMS CAB IN BROWN MATRIX LARGE $30.00 |
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18.4Oz Azurite/Chrysocolla Rough Slab/Mineral Specimen $49.99 |
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CHRYSOCOLLA MINERAL ROCK FAMOUS COPPERWORLD MINE 0.7 $7.50 |
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Chrysocolla Mineral Specimen from Congo DRC $30.51 |
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Chrysocolla Mineral Specimen from Congo DRC $31.74 |
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Chrysocolla Mineral Specimen from Congo DRC $31.74 |
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Chrysocolla Mineral Specimen from Congo DRC $30.51 |
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Chrysocolla Mineral Specimen from Congo DRC $32.44 |
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Chrysocolla Mineral Specimen from Congo DRC $39.81 |
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Chrysocolla & Malachite Mineral Specimen from Congo DRC $39.81 |
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Chrysocolla & Malachite Mineral Specimen from Congo DRC $38.62 |
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Chrysocolla & Malachite Mineral Specimen from Congo DRC $38.23 |
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Chrysocolla & Malachite Mineral Specimen from Congo DRC $36.48 |