U.S. REPORT Payment keeps Crown in black

A final payment of US$5 million to Crown Resources (VSE) in January helped push the company’s 1991 first-quarter earnings to US$2.1 million.

The results compare with earnings of US$3.3 million in the first quarter of 1990. This figure also included a US$5-million property payment on the company’s Crown Jewel project in Washington state.

Battle Mountain Gold (NYSE) is earning a 51% interest in the Crown Jewel property by making the two payments to Crown and funding the project to production.

Crown’s 30% owned Kettle River gold mine in Washington state produced 7,423 oz. during the period at a cash cost of US$248 per oz. Echo Bay Mines (TSE), the company’s partner and operator on the project, is conducting an optimization study in an attempt to bring costs down.

Crown’s share of the production (3,930 oz.) was sold at an average price of US$382 per oz.