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Gold/Mining/Energy : Wheaton River Minerals (WRM Toronto) -- Ignore unavailable to you. Want to Upgrade?

To: Aoteoroa who wrote (141)	4/23/1998 7:49:00 PM
From: Robert Dydo	Read Replies (1) \| Respond to of 350

Bellavista results Wheaton River Minerals Ltd WRM Shares issued 30390348 1998-04-22 close $0.46 Thursday Apr 23 1998 Mr Ian McDonald reports Wheaton River has received the results of a detailed prefeasibility study on its 100% owned Bellavista gold project in Costa Rica. The study indicates that a profitable open pit and underground gold mine can be constructed at the site and produce gold, using heap leach processing, at a total cash cost of US$168 per ounce. Bikerman Engineering and Technology Associates of Mansfield, Connecticut, conducted the study. David Bikerman, president, was instrumental in the development of a number of heap leach operations in Central America when he was vice-president, engineering for Greenstone Resources. Also contributing to the study were Golder Associates on heap leach pad stability and design, and McClelland Laboratories on metallurgy and processing. The study examines two scenarios for production, the first mining only the open pit reserves and the second including additional production from the underground resource. The underground deposit requires infill drilling to upgrade it to reserve status. The study estimates that the Bellavista project can achieve the following pre-tax results, based on a US$350 per ounce gold price over the life of the mine: Open Pit Open Pit & Only Underground -------- ----------- Capital costs ($ million) $21.8 $34.4 Operating cost per tonne - ore $6.74 $7.75 Cash operating costs/oz gold * $163 $151 Total cash costs/oz gold * $181 $168 Total production costs/oz gold * $239 $231 Internal rate of return 29.0% 28.2% Net present value (5% DR) (million) $27.9 $41.6 Net present value (10% DR) (million) $17.7 $25.3 Gold recovery 75.5% 75.7% Annual Ore Production (million tonnes) 1.35 1.35 Average annual gold production (ounces) 51,500 64,000 Total gold recovered (ounces) 386,400 557,700 Life of mine (years) 7.5 8.7 * Using Gold Institute guidelines. All monetary figures in US dollars. Proven and probable reserves and mineable resource estimates for Bellavista are as follows: Grade Contained Strip Tonnes (g/t) Ounces Ratio ------ ----- --------- ----- Open Pit (Mineable Reserves) 9,590,000 1.66 511,800 1.28:1 Underground (Mineable Resource) 2,252,000 3.70 267,900 N/A It is Wheaton River's intention to commence a 7,600 metre underground infill drilling program in June aimed at placing the underground mineable resource into the reserve category. Drill spacing is currently on approximate 50 metre centres and the planned program will reduce this to 25 metre centres. The results of that drilling will be incorporated into the final feasibility study, which is scheduled for completion in early 1999. The project schedule includes finalizing permitting and financing arrangements in 1999 and a one year construction phase beginning late that year. Wheaton River is well financed to bring the project to the final feasibility stage.