New Canamin plans 1994 program

A drill program is scheduled for early 1994 at the Huckleberry property near Kemano, B.C.

New Canamin Resources (VSE), which owns the property, subject to a 60% back-in right held by Kennecott, plans to focus on infill drilling of the East zone.

The zone, discovered early in 1993, contains a geologic resource of about 75 million tonnes grading in the order of 0.47% copper. New Canamin expects to outline a drill-proven reserve, measuring about 40 million tonnes and grading more than 0.60%.

The infill work is expected to exceed 7,600 metres and it is hoped a further 1,500 metres of stepout drilling will determine the eastward extension of the East zone.

Also, a further 1,500 metres of drilling will test the area between the East and Main zones.

The latter, 1,000 metres to the west, contains a preliminary resource of 31 million tonnes grading 0.52%. The last hole of the 1993 program tested a magnetometer anomaly between the two zones and returned more than 0.5% copper over the bottom 15 metres of the hole.

Preliminary work on mine design for the project is under way, including pit profiles, tailings and waste rock impoundments, as well as studies on infrastructure.

New Canamin hopes to publish a prospectus for mine development in April and to begin a feasibility study in June. It will then apply for a mine development certificate in September or October.

The company has 8.7 million shares outstanding and $3.6 million in working capital, which President Alan Savage said should be sufficient to take the project through feasibility.