Assays from a drill program last fall allowed Dakota Mining (TSE) to increase the oxide reserve at its Gilt Edge gold mine near Deadwood, S.D.
The proven and probable figure has expanded by 34%, rising to 8.6 million tons grading 0.026 oz. per ton, or about 222,000 oz. gold.
The success of the fall program prompted another round of drilling, in an area southwest of the existing orebody. The fire assays listed below pertain to the first three stepout holes and are not included in the current reserves. These results are expected to expand reserves further and, consequently, the perimeters of the pit design.
Meanwhile, a revised reclamation plan for the nearby Anchor Hill mine has received the approval of the South Dakota Board of Minerals and Environment. Permitting will likely be completed by late in the year.
Dakota lost US$5.7 million (or 33 cents per share) in 1994 on revenue of US$8.4 million. Results for the fourth quarter showed a loss of US$618,000. Hole No. Interval Intersection Grade
(ft.) (ft.) (oz./t)
95-887 90- 125 35 0.059
140- 190 50 0.053
365- 550 185 0.124
95-888 225- 230 5 0.108
275- 315 40 0.055
330- 360 30 0.021
400- 465 65 0.039
485- 500 15 0.067
600- 610 10 0.032
95-889 5- 20 15 0.020
75- 80 5 0.036
155- 180 25 0.029
240- 265 25 0.389
315- 435 120 0.152
490- 585 95 0.044
610- 685 75 0.062
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