Cheni construction nearing completion

Surface construction at Cheni Gold Mine’s (TSE) Lawyers project north of Smithers, B.C., is almost complete, says Paul Girard, president. Equipment testing and commissioning for the company’s 550-ton-per-day mill should begin by mid-November and be completed in early December, he estimates.

Girard says that underground development has proceeded normally, adding that the AGB orebody is being prepared to supply the mill with feed initially. To date, 31,318 tons of ore have been stockpiled on surface averaging 0.34 oz gold and 10.5 oz silver.

The company has arranged a gold/silver loan worth about $6 million(US) to complete the construction work. Additional funding for on-going operations is being arranged and a contract covering metal sales to the end of 1989 has been negotiated, he confirms.


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