Westmin secures deal with Tenajon

A formal agreement for the development of the SB gold-silver property near Stewart, B.C., was recently announced by Westmin Mines (TSE) and Tenajon Resources (VSE). Under its terms, Westmin can earn a 50% interest in Tenajon’s SB project by spending a minimum of $2.45 million and completing a feasibility study.

The SB property is adjacent to Westmin’s 50.1% owned Premier mill (2,200 tons per day) which will also be used to process SB reserves at a guaranteed throughput rate of 119,000 tons per year (at the then-prevailing milling costs). A $500,000 exploration program is slated to begin shortly on the SB property. It is designed to expand reserves last reported as 308,000 tons grading 0.505 oz. gold per ton (0.35 oz. cut) and 1.07 oz. silver. These reserves are contained in two zones that are still open along strike and at depth.