Minera Andes ( MAI.to ) expands mineralization on Xstrata & TNR Gold Corp ( TNR.v )'s Los Azules Property

It's always an interesting matter when a jointly held property (whether it is through joint venture, exploration agreement, or whatnot) hits a tangible value stage.

As I mentioned before, analysts love their exploration companies with a property that's about to get a resource estimate like Minera Andes (MAI.to), Xstrata, and TNR Gold Corp's collective property - Los Azules.

One of the great things I like about Argentina is the fact that its an underdog next to a superstar. The superstar I'm referring to in this case of course - is Chile. In my previous entry about copper production and copper mines around the world - Chile stands out as a major source - so why not Argentina, which in some province's case - is right next to the Chile border??

The property's drilling program so far has been very promising...

The potential of Los Azules is suggested in successive exploration drilling programs in which significant high-grade copper mineralization has been discovered. For example, in 2006 an 11-hole drilling program returned intervals including 1.62 percent copper over 221 meters (about 725 feet) and one percent copper over 173 meters.

For the 2007-2008 field season, a 10,000-meter, 24-hole drilling program will further gauge Los Azules' potential.

Let's take a step back and look at each of the companie's involved.

Minera Andes - producer at San Jose mine / explorer in Argentina and South America - 2nd key property is arguably now Los Azules given recent promising results.
Market cap is at $250 Million or so at $1.33/share today's market prices.

Xstrata PLC - Has various divisions for base metals, precious metals, and other lines of business.
Share prices is at $3649 GBP/share (multiply by 2x for $USD conversion roughly $7298/share) and market cap of $71,082 Million.

TNR Gold Corp. - has various properties in Argentina (South America) and involvement in Alaska with Novagold. Promising projects and plenty of recognitions from majors like Barrick in the industry.
Share price is at $0.29 now and market cap is a paltry $22 Million.

Given that each company has at least 20% involvement in the property - which do you think has the biggest room to move in terms of its stock price?

The company that is at $250M Market cap, the industry giant at $71,082M, or the still-quiet $22M junior?

I think the answer's pretty obvious. Especially in light of the mineralization zone and project growing - announced last week by Minera Andes.

"SPOKANE, WA June 27 /PRNewswire-FirstCall/ - Minera Andes Inc. (TSX: MAI; US OTC: MNEAF) is pleased to report that the final results from core holes drilled during the 2007-2008 exploration field season at the Los Azules porphyry copper project confirm that the copper target is open to the north. Several positive indicators including hole AZ-08-37A drilled at the northern limit of this seasons drilling, geologic mapping, and historic drilling indicate that the copper target at Los Azules extends another 3 kilometers to the north of the drilling completed this field season (see URL for map: http://files.newswire.ca/530/ProyectLosAzules07-08.doc)."

Without a doubt - if MAI's promise that by fourth quarter 2008 that it arrives at a resource estimate - the smaller company involved with this project should see some good value for its investors!