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Gold/Mining/Energy : Steppe Gold (SPE:V)

SPE 15.24

+0.3%

Nov 7 4:00 PM EST

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To: Robert Dydo who wrote (634)	2/17/1998 10:46:00 PM
From: John Menzies	Read Replies (1) of 1248

DYDO - you win the prise for the longest question - previously given to another poster on this site , I will answer the rest of the questions in duem course over the next few days: Could not quite understand thrust of the first part. The Akbastau and Kosmurun deposits are very similar in geology and geochemicstry main difference is that Akbastau has mostly disseminated sulphides which generally result in lower grade while the Kosmurun deposit has a lot of massive sulphides and consequently higher grades. Both deposits have a considerable amount of gold. The Mizek deposit which we propose to heap leach is similar to both the Akbastau and Kosmurun deposits. We are only planning to treat the oxide posrtion in the heap leach - the copper and zinc have been largely removed from this zone and gold has been enriched - a common occurence in the oxide zone. Remember that the oxide zone above Kosmurun which was previously mined was 390,000 tonnes at 23 g/t gold and 255 g/t silver (no that is no misprint I checked the typing) tremendous grades - would look very nice on the Mizek heap leach pad!!! The anomaly to the north of Akbastau could be the geochemical representation of a massive sulphide zone which you see at Kosmurun bit which is absent from the drilling so far at Akbastau. The same geology extends over a tremendous strike within the licence area, as I have previously commented, and this style of mineralization is very dependent on geology - the deposits tend to occur as strings on a bead - look in the Timmins area of Canada where there are many along the same geological horizon. Well I think that that was the answer to the first couple of lines. All spelling mistakes are intentional.

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