Development work has begun at La Teko Resources’ Ryan Lode heap leach project near Fairbanks, Alaska (N.M., Feb 16/87). The company hopes to produce 13,000 oz gold this season from agglomerated material yielding an 80% recovery rate.
Drill-indicated reserves are estimated to be 1.9 million tons grading 0.132 oz gold along 3,000 ft of a possible 7,000 ft strike length. Vice- president James Billingsley claims there is good potential to increase reserves along strike and down dip.
No drilling and blasting will be required for ore and waste and he estimates the total cost of producing an ounce of gold will be approximately $60(US). He forecasts an operating profit of $3 million and after tax earnings of 27 cents per share or 39 cents Canadian. All profits would be used to increase production next year, he adds.
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