Athena;s Talapoosa gold/silver project being evaluated by

Several consulting firms have been engaged by Athena Gold Corp. (VSE) to conduct independent verification of significant portions of the known data on its Talapoosa gold and silver property in western Nevada.

Steffan Robertson and Kirsten of Lakewood, Col., in co-operation with its Vancouver-based affiliate, Gemcom Services, is preparing a preliminary pit design and mineable reserve estimate using its computer modelling programs. The current focus is on the previously announced oxide zone geologic reserves of 2.5 million tons grading 0.041 oz gold and 0.53 oz silver per ton.

Athena’s metallurgical testing, which showed recovery rates of 72% gold and 30% silver, is being reviewed by Bateman Metallurgical Laboratories of Reno, Nev., and a Reno civil engineering firm is conducting leach pad foundation stability and leach pad sub-soil permeability tests. Both reports are expected by the end of October.

The company says good progress toward permitting is being made, and no problems are expected with respect to water appropriation or from environmental concerns. Upon confirmation of the independent studies, Athena plans to proceed with production of the oxide orebody in 1989. The project also has a near surface, larger sulphide ore target where prior work by Kennecott identified 14.9 million tons of ore grading 0.03 oz gold and 0.49 oz silver at an 0.02 oz cut-off grade. The sulphide body is still open to the south and the southwest and further exploration is planned.