Hi Savant
What technology do you think they used to speculate gold deposit at Engold? Info on EMR was in an e-mail
fin-info.com
ENT RE: EMGOLD
MINING CORPORATION
VANCOUVER, B.C.--
A 3 MILLION OUNCE GOLD RESOURCE HAS BEEN DEFINED
GOLD MARKET RECOVERY GAINING STRENGTH - INVESTORS SHIFTING
ATTENTION TO UNDERVALUED COMPANIES WITH WORLD-CLASS GOLD DEPOSITS
EMGOLD MINING'S 100%-OWNED IDAHO-MARYLAND PROJECT HOSTS 2.97
MILLION OUNCE RESOURCE - TO BE DEVELOPED @ 140,000 oz/yr @ US$215
/oz Au
EMGOLD MINING CORP. has made significant progress in bringing the
historic Idaho-Maryland gold mine to a production decision. Recent
engineering studies indicate that less than half of the known gold
has been extracted from the deposit, and that a 3,000,000 ounce
resource remains to be mined.
History & Past Production
The Idaho-Maryland gold mine was discovered in 1851, and was in
nearly-continuous production from 1862 through 1956. Total
recorded production from the mine was 2,383,000 ounces of gold from
5,546,000 tons of ore (0.43 oz/ton recovered grade). When the mine
closed in 1956 due to escalating costs and the fixed price of gold
of US$35/oz, mining operations were underway on 25 different faces
on 6 different levels.
Large Mineralized System Defined - Extensive Infrastructure In
Place
The Idaho-Maryland vein system is 9,000 feet long, up to 3,000 feet
wide, and has been partially-mined from surface to the 2000 foot
level. Access to the mine's 15 working levels is provided by the
three-compartment, 3,460-foot deep New Brunswick Shaft. Over 70
miles of underground tunnels and workings provide access to much of
the property.
A Three Million Ounce Gold Resource Has Been Defined....
A 1992 study by James Askew and Associates Inc. estimated that the
remaining gold resources and potential mineralization between the
2000 and 3280 levels of the Idaho-Maryland mine are 9,117,500 ST @
0.326 oz Au/ST (containing 2,968,400 oz Au). This resource
estimate excludes the potential for large, bulk tonnage targets
identified by EMGOLD in 1997.
Upside Potential: 3,000,000+ oz Au
Located within the wedge-shaped confines of three bounding faults,
a 3-D geologic model developed for the Idaho-Maryland mine
demonstrates the potential for continuity of the existing vein
system to a vertical depth of 5,000 feet (the Idaho-Maryland mine
is essentially unexplored below a depth of 3,280 feet).
What is not widely known is that the adjoining Empire mine produced
six million ounces of gold to a depth of 5,200 feet! This fact,
combined with the knowledge that all mineralized structures
developed on the lowest levels of the Idaho-Maryland mine remain
open at depth, supports EMGOLD's belief that considerably more ore
may exist at depth.
Development Program (1998 - 1999)
EMGOLD's plans for reviving the Idaho-Maryland mine are to first
de-water the mine, and then go underground to do further
exploration to prove up the total resource potential. EMGOLD has
applied for and been granted all permits necessary for re-opening
the New Brunswick shaft, de-watering the mine and completing a
bankable feasibility.
Potential Gold Production of at Least 140,000 oz / yr @ US$215 / oz
Au EMGOLD plans to resume operations at the Idaho-Maryland mine at
an initial mining rate of 1,500 ST ore / day, which would produce
approximately 140,000 ounces of gold per year. With the addition
of a second shaft, it may be possible to increase production to
5,000 ST/day - at this production level, the Idaho-Maryland mine
would produce over 200,000 ounces of gold per year (on par with
other major mines).
Recent studies indicate that the Idaho-Maryland mine could be
profitably developed and operated at a long-term gold price of
US$300/oz based on an estimated operating cost (excluding capital
and royalties) of US$215 per ounce.
Current Market Conditions
The current gold rally is gaining strength with each passing day!
In the past month, bullion prices have risen nearly 10%.
Yesterday, the Philadelphia XAU gold and silver index closed at
74.69, up 53% from its record low of 48.67 set in late August.
Mining stocks have regained favor with major Wall Street firms:
Merrill Lynch has initiated coverage of Placer Dome, Barrick, TVX
and Kinross, while Bear Stearns has upgraded the recommendations of
Asarco, Cyprus Amax and Phelps Dodge.
To a large extent, the market rebound has largely benefited the
major mining companies, whose share prices are now fully-valued (or
even over-valued) at current gold prices. However, we believe
that, as the current rally continues, investors will increasingly
seek out undervalued junior exploration and development companies
with multi-million ounce gold deposits.
With just 11.5 million shares outstanding (14 million
fully-diluted) and a current share price of Cdn$0.28, the equity
markets are valuing the Idaho-Maryland gold mine at just Cdn$1.06
per ounce of gold (Cdn$1.35 / oz Au on a fully-diluted basis).
EMGOLD's Idaho-Maryland mine offers one of the best advanced
exploration / developmental prospects available in North America.
With inferred resources of almost three million ounces, nearly one
hundred years of operating history, an existing 3,400-foot,
three-compartment shaft and 70+ miles of underground workings,
EMGOLD has 100% control of a world-class gold project with the vast
majority of the expensive infrastructure in place and ready to go.
For more information, please contact Andrew Hunter
toll-free at 1 - 888 - 267 - 1400
Disclaimer: The information contained herein has been compiled or
derived from sources believed reliable and contains information and
opinions which are accurate and complete. However, Gold Ridge
makes no representation or warranty, express or implied, in respect
thereof, takes no responsibility for any errors and omissions which
may be contained herein and accepts no liability whatsoever for any
loss arising from any use or reliance upon this report or its
contents. The information provided is for information purposes
only and should not be construed as, and shall not form part of an
offer or solicitation to but or sell any securities. Emgold Mining
has paid Gold Ridge a fee for preparing and disseminating this
information.
EMGOLD MINING CORPORATION ("EMR" - VSE)
1610 - 777 Dunsmuir Street, P. O. Box 10435
Vancouver, BC V7Y 1K4 Canada
Phone: (604) 687 - 4622 Fax: (604) 687 - 4212
Toll-Free: (888) 267 - 1400
website: |
