HOPE BAY, Nunavut There is great news from MIRAMAR MINING'S Hope Bay gold project in Nunavut: the resource estimates have been boosted by 25% following results of last year's exploration program at the property. The increase was underpinned by the Madrid area, where measured and indicated resources increased by 55% to 565,000 oz of gold and the additional inferred resource increased 87% to 1,886,000 oz. Madrid now ranks as the largest of the three mineralized areas, the others being Boston and Doris.
Measured and indicated resources for the three zones total 5.76 million tonnes grading 9.9 g/t Au. There are additional inferred resources of 16.17 million tonnes at 6.9 g/t Au.
Miramar has announced plans for its 2004 program at Hope Bay. They include 40,000 metres of core drilling and 5,000 metres of reverse circulation drilling. Work will concentrate on the Boston zone at depth, along the deformation zone trend in the Madrid area, and targets outside the known areas of mineralization.
As contemplated in the feasibility study released in January 2003, Miramar believes that it can generate significant, low-cost gold production from Doris North that could then be expanded through the development of additional resources in the Doris deposit and mining the ramp-accessible upper portions of the Boston deposit. Longer term, Miramar believes the large tonnage, lower grade Madrid mineralization has the potential to drive the development of a large scale, lower grade, bulk mining operation involving a combination of open pit and underground mining with centralized processing facilities that could treat all resources developed on the Hope Bay Belt. Further details are posted at www.miramarmining.com.