|
 |
The Company is reviewing available data on the Caladay exploration property. The Caladay adjoins the producing Galena Mine to the east. The Caladay shaft lies approximately 7,300 feet southeast of the Galena mine's No.3 Shaft. The two mines are interconnected on the 4900 foot level of the Galena mine
In the early 1980's, a joint venture between Day Mines, Callahan Mining, and ASARCO spent approximately $32.5 million (about $80.0 million in 2009 dollars) on the Caladay property to construct surface facilities, a 5,100 foot deep shaft, and limited underground workings to explore the property.
The historical underground exploration program undertaken in the late 1980's included 94 drill holes and identified silver-copper and silver-lead mineralization. There is a significant historical resource in this zone based on the 94 drill holes which is not currently 43-101 compliant. This historical drill program was designed to extend the "Silver Belt" of the Coeur d'Alene District further east by delineating the down plunge extensions from the Galena mine. Exploration was curtailed in 1989 due to the softening of the metals markets. As a result, exploration on the property remains incomplete. The Company's review of the historic data has identified a large zone of apparent mineralization. This zone may extend into the Galena mine, as evidenced by historic drilling within the Galena mine. As budgets allow, additional drilling will be done to test the zone of apparent mineralization.
The Caladay facilities benefit the Galena mine operations through improved ventilation, possible additional ore and waste hoisting capacity, and as a potential secondary escape way. The Company has maintained the hoist and with installation of new hoist ropes, which have been purchased, the shaft would be fully functional.
|
