The contract calls for Empire Sand & Gravel to mine and process up to one million tons of ore per year. Initial production will involve about 120,000 to ns of which 20,000 tons are expected to grade about 0.5 oz gold per ton and be free milling. Tri-Valley said that no grade has been assigned to the balance of the tonnage.
According to Lynn Blystone, president, a core drilling program last summer and a 75-ton bulk sample this winter indicated potential for several million tons of reserves averaging 0.09 oz.
The porphyry dyke area in the one square mile section is the most advanced in terms of exploration, but 26 other targets have been identified and these will be tested at a later date. Three major placer targets have been identified, two of which are “temporarily subject to right of first refusal by Empire,” he noted.
Tri-Valley expanded into minerals in 1987 after being an oil and gas exploration firm for almost 25 years. Headquartered in Bakersfield, Calif., the company reported a profit of $47,000 on revenues of $664,000 for the year ended July 31, 1988.
“The company anticipates a modest profit this year ending July 31, with major opportunity being expressed in fiscal year 1990,” he said.
]]>
Be the first to comment on "Tri-Valley awards Alaska contract"