Engineering under way at Minera’s Ivan project

Engineering, procurement and construction management for Minera Rayrock’s (TSE) Ivan copper project in Chile has been awarded to Kilborn.

The Toronto-based engineering firm is working with Chilean counterpart Juan Rayo Ingenieria on the US$30-million project.

Equipment has been purchased and staffing is under way to start an underground decline for gaining access to the high-grade sulphide zone. Work is also under way on a fresh-water pipeline.

Earlier this year, $28.7 million in equity financing was arranged for the project.

Production is scheduled to begin in the second quarter of 1994. The deposit has 4.6 million tonnes of oxide and sulphide reserves averaging 2.5% copper. At its Sierra Valenzuela property, 40 km northeast of Ivan, Minera has started a second 2-stage exploration program. To date, 97 of a planned 200 shallow holes have been drilled to test bedrock under large, covered areas. The drilling has located copper oxide mineralization east of the Costa Rica deposit.

Extension and infill drilling for defining reserves will begin later this year in the Rosario, Porvenir and Victoria areas.

In other news, all government agreements covering the Bella-vista gold property, 120 km northwest of San Jose, Costa Rica, have been completed. Detailed exploration is under way.