Cominco cans Sa Dena Hes

Plans by Cominco (CLT-T) to reopen the Sa Dena Hes zinc-lead mine in southeastern Yukon have been cancelled following the deterioration of market conditions.

Cominco, the operator, has a 25% interest in the mine, with Teck (TEK-T) holding 25% as well. The remainder is held by Korea Zinc.

Under previous ownership, the site produced 807,500 tonnes of concentrate containing 374,400 tonnes of payable zinc and 290,000 tonnes of lead.

In December 1992, low zinc prices forced the mine to close after only 14 months. The reopening was scheduled for the second quarter of 1998.

Measured and indicated reserves are estimated at 1.4 million tonnes grading 10.2% zinc, 2.5% lead and 44 grams silver per tonne. A further 700,000 tonnes grading 11.8% zinc, 4.6% lead and 59 grams silver are classified as a probable resource.