Preview blossoms into notable gold deposit in just one year

Discovered in January, 1989, the Bakos find has blossomed into a 1.2-million-ton deposit grading 0.29 oz gold per ton. According to Cameco, the world’s largest uranium producer, a preliminary evaluation suggests the Bakos deposit could support a 750-ton-per-day mining and milling operation. Capital costs would exceed $35 million.

“We’re quite pleased with it,” Gerry Pollock, vice-president of exploration with Cameco told The Northern Miner. “The deposit is very continuous between holes and is a simple structure,” he explained. Although the reserve estimate by Cameco is defined as geological, Pollock explained that the reserve designation will change once the partners approve a mine plan. “Our mineable reserves will be very similar to the geological reserves,” Pollock said.

The discovery was made after Cameco, the project operator, returned to the area to follow up several encouraging but erratic results encountered by previous drilling in a shear zone. “We had drilled the structure before,” but failed to make any sense of it, Pollock added. A part of the partnership’s Preview Lake property, the Bakos is just one of several gold- bearing zones on the property. The Pap deposit was the primary exploration target prior to the discovery of the Bakos deposit this year.

Wide open long strike and at depth, the Bakos displays good potential for additional reserves, Pollock said. He plans to continue with exploration drilling along more than two kilometres of untested strike. “One of our best holes was also the deepest.” The zone has been defined along strike for 500 m and to a depth of 250 m. The average width is a relatively wide five metres.

Delays in building a mining facility are possible as a result of the project’s location — in the Lac La Ronge Provincial Park. However, Pollock notes that Park’s officials are cooperating with Cameco to help the company meet strict environmental regulations. “It’s a question not of whether we can mine it, but under what conditions can we mine,” Pollock said. A range of environmental studies are in progress, Cameco notes.

At a rate of 750 tons per day and assuming a 95% recovery, the Bakos mine would be capable of producing more than 70,000 oz of gold per year, The Northern Miner estimates.

Only one other gold mine is in operation in the La Ronge area. That’s the Jolu, which began operations in late 1988. The Star Lake gold mine, built and operated by Cameco, is also in the area. Star Lake closed earlier this year after a successful 2.5-year life.

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