In the past six months Standard Gold Mines has erected a headframe and hoist along with ancillary services required to facilitate exploration to the 2,500-ft level on its Duverny gold prospect near Amos in northwestern Quebec.
By the end of February the company says limited production will be possible from the upper levels of the mine with ore to be processed at D’Or Val Mines’ custom mill at Val d’Or, Que.
The current program includes dewatering to the bottom level at 1,250-ft, lateral exploration drives and crosscuts on the 1,250-ft level and higher levels and extensive drilling below the 1,250-ft level.
Based on underground studies, Standard expects both grade and tonnage of the vein structures will improve with depth.
Ore reserves of measured, indicated and inferred ore reserves, using four of 12 known vein structures, are estimated at 480,000 tons grading 0.18 oz gold per ton.
The favorable gold-bearing structure on the property is over 1,000 ft wide and more than 7,000 ft along strike, the company says. Only a small portion of that area has been tested in detail.
Standard owns 100% of 14 claims subject to a 3% net smelter return or a 10% net profits interest. A year ago an option to earn a 49.9% participating interest in the property granted to Ste. Genevieve Resources exercisable by spending $5 million by the end of February, 1988, of which $2 million w ill be spent by the end of February this year.
The company plans to prove up sufficient ore to warrant a 200-ton- per-day operation.
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