Golden Queen boosts reserves at Soledad

Drilling at the Soledad Mountain gold project near Mohave, Calif., is firming up reserves for Golden Queen Mining (TSE).

The company hopes to make a production decision affecting the open-pit, heap-leach project by March, after completing a prefeasibility study.

Proven and probable reserves stand at 21 million tons grading 0.028 oz. gold and 0.50 oz. silver per ton, compared with a previous estimate of 15.6 million tons grading 0.029 oz. gold and 0.53 oz. silver. The stripping ratio is 2.8-to-1.

Meanwhile, results are expected from the Northwest Ridge zone and the Golden Queen vein, where drilling continues to test the resource at depth.

The company intends to complete a bankable feasibility study by July, and estimates that permitting and construction can be completed within 27 months, which would allow for startup in the second quarter of 1998.