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Kellogg, Idaho. New Jersey Mining Company (OTCBB:NJMC) has
started work at its Silver Strand mine which is a high-grade
gold and silver deposit located in the Panhandle National
Forest east of Coeur d’Alene, Idaho. Mining will focus on
the known reserve block which has a silver grade of 371 grams
per tonne (gpt) of silver and 5.5 gpt of gold, and exploration
will also be conducted on the property where the primary goal
is to increase the gold and silver resource.
Mining at the Silver Strand is the culmination of a three
year environmental permitting effort with the US Forest Service.
The Company’s operating plan employs several innovative environmental
practices such as the use of sedimentation tanks to capture
sediment from the site, land application of mine water and
paste backfill. Initial work at the site will include driving
a new adit, installing a water control system, and repairing
a raise. Current plans call for ore to be shipped, starting
in September, at a rate of 1,000 tonnes per month to the New
Jersey mill in Kellogg, Idaho.
At the Company’s mill, the new concentrate leach plant is
being commissioned. Leaching of gold-silver concentrate from
the Coleman and Golden Chest mines has commenced. The plant
will produce dore’ metal for sale to refiners. The dore’ will
range from primarily gold to primarily silver depending on
which concentrate is being processed.
At the Golden Chest mine a 600 meter ramp, known as the Idaho
ramp, is being driven to access reserves on the Idaho vein
outlined by surface drilling. Commissioning of a new hydraulic
percussion drill, which is intended to speed the development
of the ramp, is underway. The Idaho ramp is in the footwall
of the main mineralized zone and several stringers of gold
mineralization have been intercepted by the ramp. Recently,
the ramp cut a 10 cm thick quartz vein stringer that assayed
128.0 gpt gold. The stringer was mineralized with galena,
pyrite and scheelite. As the ramp advances, it should intercept
this stringer along strike further to the north for more sampling.
A new diamond (core) drill is due for delivery on June 11
and will be commissioned thereafter. Drilling will commence
at the Enterprise prospect at the New Jersey mine which is
a Sullivan-type lead-zinc-silver target. After operators are
trained, and the drill is operating properly, the drill will
be sent to the Golden Chest mine to conduct surface drilling
of targets defined by geological studies. Drilling at other
prospects in the Murray area will depend on permitting timetables,
and it is expected that drilling will be done later in the
season at the promising Gold Butte prospect and the Niagara
copper-silver deposit.
The exploration field season has commenced with geological
work being concentrated in the Murray area where the Company
is putting together a sizable land position that now totals
about 1,600 acres. Geophysical surveys using custom VLF receivers
designed by NJMC Director Ivan Linscott will be conducted.
Ground magnetic surveys and soil sampling are also planned
as part of the exploration program.
Company President Fred Brackebusch, commented, “We are in
the midst of a very active exploration and development program
and plan to report major findings as they occur throughout
the season.”
New Jersey Mining Company is involved in exploring for and
developing gold, silver and base metal ore resources in the
Coeur d'Alene Mining District of northern Idaho. The Company
has a portfolio of mineral properties in the Coeur d'Alene
Mining District including the Niagara copper-silver deposit,
the Golden Chest mine, the New Jersey mine, the Silver Strand
mine, and several other exciting exploration prospects.
This release contains certain forward-looking statements
within the meaning of the Federal Securities Laws. Such statements
are based on assumptions that the Company believes are reasonable
but which are subject to a wide range of uncertainties and
business risks. Factors that could cause actual results to
differ from those anticipated are discussed in the Company's
periodic filings with the Securities and Exchange Commission,
including its annual report on Form 10-KSB for the year ended
December 31, 2006.
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