This confirms APEX story by Mr. Dupis.. on MINE and Dr. Turner..
Date: 98-05-25 16:03:23 EDT
From: TokyoMexx
BCC: Andylana
Proven and Probable Reserves at San Cristobal Increase 70 Percent
PR Newswire - May 07, 1998 07:30
SIL %MNG V%PRN P%PRN
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DENVER, May 7 /PRNewswire/ -- Apex Silver Mines Limited (Amex: SIL) today
announced a 70 percent increase in proven and probable ore reserves at San
Cristobal, its open pit silver project in the Potosi Department of southern
Bolivia. Proven and probable reserves now contain 341 million ounces of
silver, 2.8 million tonnes of zinc and 0.9 million tonnes of lead. Today's
interim reserve update reflects drill results through the end of March.
Another reserve update is planned once drilling is completed mid-year.
Key features of the drilling results to date are as follows:
Based on 96,300 meters drilled and assayed since mid-1996 at San
Cristobal, proven and probable reserves now total 208.7 million tonnes of ore
grading 1.64 ounces per tonne of silver, 1.34 percent zinc and 0.45 percent
lead. Assumptions used to develop these reserves mirror those used in the
first phase feasibility study including market prices of $5.00 per ounce of
silver, $0.55 per pound of zinc and $0.30 per pound of lead.
Over 37 percent of the 49,600 meters drilled and assayed in 1998 expanded
San Cristobal's first phase feasibility study pit limits (step-out drilling),
while 45 percent upgraded reserves within the pit. The remaining 9,000 meters
of drilling were for metallurgical testing, rock mechanics and condemnation
drilling on the potential waste dumps sites. An additional 45,400 meters of
drilling are scheduled to be completed by June.
Apex's 1997 first phase feasibility study incorporated two separate pits,
Tesorera and Jayula. 1998 drilling confirms sufficient ore continuity between
Tesorera and Jayula to create one large open pit. The result is a
significantly lower strip ratio of 1.26:1 (tonnes waste per tonne of ore)
versus a first phase feasibility strip ratio of 1.66:1. Rock mechanics'
studies currently underway may increase the strip ratio marginally.
Apex's 1997 first phase feasibility study delineated proven and probable
reserves sufficient to produce an average of 14 million ounces of silver,
132,700 tones of zinc and 39,500 tonnes of lead annually, assuming a mine
production rate of 30,000 tonnes per day, resulting in an 11.5 year mine life.
1998 drilling has extended the mine life from 11.5 years to 19.3 years at the
same throughput rate.
Keith Hulley, Apex Corporation's President and Chief Operating Officer,
stated that "The results-to-date continue to confirm the world-class nature of
the San Cristobal deposit, which even now remains open in many directions as
well as to depth. We have now exceeded, by a wide margin, the necessary
threshold of reserves required for the bankable feasibility study presently
underway, which we anticipate completing by early 1999. With the expectation
of adding further reserves at our mid-year review, Apex's project development
team and its independent engineers are now strongly positioned to assess the
prospect of incorporating a higher throughput rate in either the first or a
second phase of project development." Upon finishing the bankable feasibility
study, Apex expects to secure financing for San Cristobal within the first
half of 1999 and then begin construction shortly thereafter.
Apex Silver Mines Limited is a mining exploration and development company
with a primary focus on silver. In addition to holdings at San Cristobal,
Apex's portfolio of silver properties covers approximately two million acres
in eight countries located in the traditional silver-producing regions of
South America, Central America and Central Asia.
This press release contains forward-looking statements within the meaning
of Section 27A of the Securities Act and Section 21E of the Exchange Act.
Forward-looking statements are inherently subject to risks and uncertainties,
many of which cannot be predicted with accuracy, and some of which might not
even be anticipated.
SOURCE Apex Silver Mines Limited
/CONTACT: Linda G. Wilson, Vice President - Investor Relations, Apex
Silver Mines, 303-839-5060/
/Company News On-Call: prnewswire.com or fax, 800-758-5804,
ext. 125781/
(SIL) |
