Depleted gold reserves by Blackdome

Exploration work at the Blackdome Mining gold project north of Vancouver has replaced reserves depleted by mining. The latest reserve figure incorporates about one-half of a 27,000-ft drill program scheduled for completion in September.

As of June 30, mineable reserves stood at 280,000 tons with an average grade of 0.74 oz gold and 2.41 oz silver. This compares with 276,000 tons averaging 0.72 oz gold and 2.58 oz silver the year before. An additional $500,000 will be spent this year on exploration, the company says.

The mine has been having labor difficulties, which has put a strain on production schedules. On Aug 27, unionized employees mounted what Blackdome describes as “an illegal strike” at which time employees were told to return to work or face disciplinary action. But it will take some time yet for the labor situation to stabilize. The possibility of a protracted strike also caused some people to seek employment elsewhere, which aggravated the manpower situation further. In any event, the mill has managed to operate above capacity, partly because feed material has been available from surface trenching, more of which will be mined. The 1,870 drive has been proceeding satisfactorily towards the No 1 vein structure and this should take several weeks. This crosscut, which is below the 1,960 and 1,920 workings where underground production is now coming from, will open up new work areas. Mine crews are heading for a higher-grade portion of the vein and this ore development will provide some mill feed too.

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