Corona chairman not shy on reserve potential at Williams

Current reserves have been estimated at 33.9 million tonnes (37.3 million tons) grading 6.2 g gold per tonne (0.18 oz gold per ton) to a depth of 4,298 ft in the A zone. “We believe there is a depth extension to the orebody which could match what is above,” Goodman said at the seminar.

If the potential to double reserves is realized, then the Williams mine could be entering the next decade with more than 70 million tons of ore. According to Richard Cohen, mining analyst with BBN James Chapel, reserves of 80-100 million tons would justify an increase in production to one million ounces per year.

“We’ve begun a drift on the 4175-ft level,” Goodman said, which will allow for deep drilling in the A and C zones. The C zone is a separate deposit in the western section of the Williams property. A small open pit develope d on the C zone provides back-fill material for the mine and low-grading mill feed.

“There is potential for the C zone to develop at depth into something significant,” Goodman added. “If the C zone also blossoms at depth with better grades and widths, then a second deep shaft would be warranted. The exploration program being conducted from the drift should be completed within 6-9 months,” Goodman said.

Goodman’s enthusiasm for the Williams mine’s future is not being overly discounted by industry watchers. Hemlo has yielded the richest gold mining bonanza in Canada since the discovery of the Hollinger mine in Timmins, more than 75 years ago.

Mining experience at Hemlo has shown both grade and width to improve with depth. According to Cohen, both the Golden Giant and David Bell mines, which are developed on the same orebody as the Williams, have discovered zones at depth grading in excess of 0.8 oz gold per ton.

Combined with the good potential of expanding reserves, “the Williams mine will shortly prove to be capable of producing over one million ounces of gold per annum,” Cohen wrote in a research report.

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