Water licence issued
United Keno Hill Mines Ltd UKH
Shares issued 15,031,450 Jan 23 close $0.82
Fri 23 Jan 98
Mr Stephen Powell reports Type A production water licence
number QZ96-001, issued to the company by Yukon Territory
Water Board, has now been signed by The Honourable Jane
Stewart, Minister of Indian Affairs and Northern Development,
Canada. With environmental permitting complete and operating
authority now in hand, the company is concentrating its efforts on
securing the financing necessary to complete pre-production
rehabilitation and development to enable the re-commencement of
commercial production of silver from the Elsa Properties.
As earlier reported, the company's reserve development strategy
elevated resources present at the Elsa Properties to 944,000 tons
grading 30 ounces of silver per ton, 4.8% lead and 3.9% zinc, the
highest levels in the company's 50 year history.
United Keno's Elsa Properties have produced in excess of
225,000,000 ounces of silver since production commenced at
Elsa in 1914. Production has been suspended since January 1989.
Following a four to six month pre-production period, production
is forecast to resume at an ultimate rate of 500 tons per day and
result in production of approximately 6,000,000 ounces of silver
in year one. Pre-production and working capital requirements are
estimated at $15,000,000.
The company continues to work toward completing its previously
announced agreement to merge with NDU Resources which
requires regulatory approval and the approval of NDU
shareholders. United Keno will offer 1.35 shares of United Keno
for each share of NDU.
Subject 13269 |
