via Northern Miner - The Star Lake Mine

Very little in the way of cogent information is available about the Star Lake Mine. But from all indications in the Norhern Miner's archived article, an extensive underground exploration programme was initiated. Apparently, there is little in the way of outcropping to establish the extent of the deposit(s) along the northeast trending shear from the Star Lake lens outward.

But the article mentions the numerous gold showings available for testing. The underground exploration programme would have been far more ambitious than indicated in the article, in fact the same type of secrecy employed for just about everything that GBN.V has done in prior years has been employed here.

The amount spent on underground exploration on Star Lake is equivalent to $23m. today on an inflation-adjusted basis, far more than is required to define a small 80m. Lens. In fact, this means a major, warranted underground exploration programme and mine construction is being undertaken and continued where SMDC/Uranerz/Starrex have left off.

Construction of the mill and the underground exploration Star Lake, as well as refurbishments of the Jolu mill and construction of the Jolu Mine can account for the missing money, the deficit accumulation over the years, maybe as much as $35m. Dollars apiece into both mines. This is an immense CAPEX to spend on 'nothing there.'

You have a large size mine equivalent to the Sigma-Lamaque with Jolu/Star. See photo library.

Conclusion - The focus of The La Ronge Gold Project Expansion will be Jolu/Star Lake. This is the priority.

The Graduating Class 1987 GOLD REPORT STAR LAKE

By: David Duval
1987-02-02

The first "baby" of the Canadian gold mining year was born in north ern Saskatchewan. Located 115 km northeast of La Ronge, the Star Lake mine poured its first gold on Jan 2. In fact the gold pour is the first such event in more than 40 years in Saskatchewan -- a province better known for its vast stores of uranium. During its proposed 3-year operating life, the mine will yield about 36,000 oz of gold per year.

Operated by the Saskatchewan Mining Development Corp., with partners Uranerz Exploration and Mining (15%) and Starrex Mining Corp. (35%), the small, 220-ton-p er-day mining operation is characterized by its simplicity. Blessed with a unifo rm gold deposit consisting of a quartz-filled fracture called the 21 zone, smdc will be using low-cost, longhole mining techniques.

Hosting reserves of 230,000 tons grading 0.5 oz gold per ton, the deposit is also characterized by minimal dilution problems, competent wall rock and simple m etallurgy. Gold occurs in the free state in a pyrite-rich quartz vein striking for 260 ft and dipping vertically.

Initial mill feed is coming from a 20,000-ton surface stockpile, accumulated during the development stage of the mine. The zone is accessible via a 3,800-ft decline ramp with levels established at 60 ft, 160 ft, 260 ft and 360 ft. The dec line reachs a depth of 426 ft with ore draw points at 420 ft.

The development and start-up appear to have gone smoothly. According to Starrex, at the end of October, 1986, capital expenditures totalled $12.6 million -- $400,000 under budget. Underground exploration during the year will include drilling which will test the 21 zone at depths of 750 ft and 1,000 ft. Testing of parallel and en echelon gold zones will also be conducted from the underground workings.

A $1-million surface exploration program is also planned for the property this year. At least 10 showings and geophysical anomalies will be tested by 9,300 ft of diamond drilling. An important exploration area is the ground adjacent to Mahogany Minerals' Jolu gold property, to the north. The Jolu ground hosts reserve s of 966,000 tons grading 0.5 oz gold per ton in two zones: the Rod and Mallard.

0 0 0 0 - See more at: http://www.northernminer.com/news/the-graduating-class-1987-gold-report-star-lake/1000171536/#sthash.ONSaa5oS.dpuf

http://www.ir.gov.sk.ca/dbsearch/MinDepositQuery/default.aspx?ID=0889b

- F6