Joint venture partners Ronrico Explorations (VSE) and partner Louvicourt Gold Mines (COATS) have commenced development work at the Simkar gold project, east of Val d’Or, Que. Louvicourt is a 58% owned subsidiary of La Fosse Platinum (TSE). Having secured a $2.5-million line of credit from The Royal Bank of Canada (T.N.M., Sept. 3/90) Ronrico has the financing needed to bring the property back into production for the first time since 1949. The joint venture will spend the next few months developing new stopes within the old mine workings and building a surface stockpile in preparation for milling next spring.
With proven and probable reserves standing at 300,000 tons grading 0.25 oz. per ton, President Donald Kemp expects work to begin mining at a rate of roughly 330-ton-per-day and build from there.
“By the end of the year, we should have a good stockpile built up,” said Kemp. Ore from the Simkar property will be treated under a contract with Belmoral Mines (TSE).
Since 1987, Ronrico has spent more than $7 million to rehabilitate the underground workings, erect a new headframe and explore the property both on surface and underground.
Be the first to comment on "Ronrico set to mine Louvicourt gold bet"