Cambridge Mineral Resources has identified an encouraging gold and silver resource at Quintana in Colombia.

Colin Andrews, managing director of AIM-quoted Cambridge, says the company has so far defined a measured resource of 10,921 tonnes at a grade of 9.63 grammes of gold and 20 grammes of silver per tonne of ore at Quintana. This forms part of an overall 28,590 tonnes, grading 9.49 grammes a tonne gold and 20 grammes silver.

Cambridge will soon start drilling to test the continuity of the existing vein at Quintana, where the company says exploration work has identified a number of high-quartz veins similar to the one now being mined. Elsewhere in Colombia, the company, which has set itself the target of taking production to 100,000 oz of gold a year, has identified further encouraging grades at El Cinco and Minas La Linda.

Cambridge shares, which have hitherto been long-term dogs, have perked up 1.13p today to 3.63p, valuing the company at £6.4 million. That compares with their 1997 AIM float price of 16p and a 2004 peak of 19p.

Further corporate developments are on the cards, offering the speculative possiblity of a further rally.