Cookie-jar mining considered for Kennedy River gold project

A new low- cost method of mining narrow vein gold deposits called “cookie jar mining” is being considered by International Coast Minerals (VSE) for its gold project in the Kennedy River camp on Vancouver Island, B.C.

The company said it is discussing the possibility of testing the technique with James Wade Engineering, an Ontario firm which designed and developed the method of mining isolated pockets of rich gold mineralization considered too small to justify extensive development work. The method is said to be able to mine a vein as narrow as 2 ft with a minimal amount (10%) of dilution by using a blasting technique called pre- shearing. International Coast is now well in to a $1-million second phase program on its Kennedy Lake properties. Although it has not yet compiled reserve figures, it plans to process up to 10,000 tons in a pilot test milling program. Initially, feed will come from small surface test pits at an approximate grade of between 1.0-2.0 oz gold per ton. Then the company hopes to test the cookie jar method by driving underground from the hillside right along the Shack vein, which has gold values in the volcanic wallrock making it even more suitable to mine without excessive dilution. A consulting firm was retained by the company to handle the proper environmental and mine related permits for the operation of the 40-ton-per-day pilot flotation mill.

There are many other known veins and several old adits on the company’s 86-sq-km land holdings in the area, although some of the properties are held by associated companies. International Coast hopes to finance ongoing exploration and development work by revenues from test production in order to avoid dilution of another sort.

Meanwhile, the company has discovered what appears to be a new gold, silver, copper, skarn zone (unknown to the area), adjacent to current drilling on its quartz vein system. Results include: 8.6 ft of 1.71% copper, 0.221 oz gold, 3.17 oz silver; 7.2 ft of 0.68% copper, 0.306 oz gold, 1.71 oz silver; 6.3 ft of 1.91% copper, 0.657 oz gold, 4.79 oz silver and 4.6 ft of 0.81% copper, 0.778 oz gold and 1.92 oz silver (all grades weighted averages). Peak values in the vein are reported up to 5.0 oz gold, 11.0 oz silver, and 6% copper per ton.