Although it enjoyed exploration success in the first quarter,
In the three months ended March 31, the Toronto-based junior lost $453,676 (or 2 cents per share) on revenue of $1.6 million, compared with a loss of $267,889 (or 1 cents per share) on $1.5 million in the corresponding period of 1998.
In total, 72,465 tonnes were custom-milled at the Stock mill near Matheson, Ont. This is 10,830 tonnes less than that treated in the previous quarter, though most of the material received in the last three months of 1998 came from the nearby Glimmer mine of
Gold recoveries topped 97.6% — well above the required 93% — and milling costs averaged $16 per tonne. These costs are expected to fall to $13 per tonne following startup of the proposed Hislop open-pit mine and expansion of the mill to 1,500 tonnes per day from its current capacity of 1,300 tonnes.
During the quarter, St Andrew spent just over $1 million exploring its various gold properties in the Timmins region of Ontario. Drilling blocked out several closely spaced near-surface zones at Hislop, intersecting up to 18.75 metres grading 15.77 grams (cut) gold per tonne.
Test-mining is to begin by the end of the second quarter. And although tonnage and grade figures have yet to be disclosed, the company says the project can support a daily production rate of 400-500 tonnes.
Feed would be trucked to the Stock plant, thereby augmenting ore from Glimmer. By year-end, an additional 200 tons per day are expected to come by way of a renewal of mining in the old Stock workings.
Meanwhile, efforts continue at the flagship Taylor property, where 3.1 million tonnes averaging 10.97 grams gold per tonne have been outlined. Roscoe Postle Associates has verified this resource, and St Andrew hopes to begin developing a portion of it later in the year.
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