EXPLORATION 1998 — Exploration boosts Aurizon’s gold reserves

Thanks to last year’s exploration efforts at the Beaufor and Sleeping Giant gold mines in northwestern Quebec, junior producer Aurizon Mines (ARZ-T) has been able to raise its share of total gold resources at the two mines by 100,000 oz. to 337,000 oz.

In addition, once the equity financing for the $8-million acquisition of the Casa Berardi gold mine in northwestern Quebec is closed at the end of March, Aurizon’s total share of gold resources at the three mines will soar to 928,000 oz.

Casa Berardi has resources of 3.2 million tonnes grading 5.8 grams gold per tonne.

At the Beaufor mine, which operator Aurizon shares equally with Richmont Mines (ric-t), reserves stand at 758,000 tonnes grading 8.3 grams gold per tonne, and resources total 384,000 tonnes of 6.9 grams gold.

Aurizon attributes the gain in gold reserves and resources at Beaufor to the identification of additional resources amenable to open-pit mining and the reclassification of lower-grade minable reserves into the resource category.

At the 50%-owned Sleeping Giant mine, operated by half-owner Cambior (CBJ-T), reserves are pegged at 574,000 tonnes grading 11.9 grams gold and resources total 628,000 tonnes of 8.2 grams gold. Aurizon says last year’s exploration drilling program below Sleeping Giant’s shaft was the primary source of new reserves and resources at the mine.

At Casa Berardi, Aurizon is planning a $7-million, 50,000-metre exploration drilling program designed to define sufficient reserves to enable commercial production to restart at a annual rate of between 80,000 and 100,000 oz.

gold. The campaign will focus on areas within 1 km of the known deposits, with particular attention paid to the West Mine area which hosts the largest resource delineated so far.

For 1998, Aurizon forecasts that its share of gold production will be 47,000 oz. at a cash operating cost of US$260 per oz.