Canadian Mining Journal

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GOLD DEVELOPMENT – Agreements pave way for New Afton and Ajax projects

BRITISH COLUMBIA - ABACUS MINING & EXPLORATION has signed definitive agreements with NEW GOLD and TECK COMINCO (all...



BRITISH COLUMBIA – ABACUS MINING & EXPLORATION has signed definitive agreements with NEW GOLD and TECK COMINCO (all of Vancouver) that cover issues related to land access, and surface and mineral rights on Abacus’s Ajax project and New Gold’s adjacent New Afton project near Kamloops.

Abacus plans to develop a large-scale open pit that will begin producing copper and gold in 2010. The company is preparing a preliminary economic analysis of the project by mid-2008, and a feasibility study is anticipated in 2009. A new NI-43-101-compliant resource estimate is expected in June 2008. Go to www.AMEMining.com, click on the “Afton Camp” button and play the fly-over video of the project.

The agreements state that New Gold will be provided access from the Trans-Canada Highway to its New Afton operations over a small portion of the land that Abacus is purchasing from Teck around the old Afton mill building.

The Abacus – New Gold agreement is intended to ensure that any economic mineralization within and surrounding the past-producing Ajax pits is explored, delineated and developed in the most effective manner.

Also this week, New Gold signed a participation agreement relating to the New Afton project with the Kamloops Division of the SECWEPEMC NATION, comprising the Kamloops Indian Band and the Skeetchestn Indian Band. The agreement establishes a co-operative and mutually beneficial relationship between the First Nations and the company, providing a long-term framework for communication, collaboration and co-operation. It will provide the Kamloops Division with economic opportunities and social and financial benefits, including employment, education, training and business opportunities. For more information see www.newgoldinc.com or call Chief Shane Gottfriedson of the Kamloops Indian Band at (250) 318-8527, or Chief Ron Ignace of the Skeetchestn Indian Band at (250) 851-6757.