GEODOME &lt;GOEDF> TO START MINE CONSTRUCTION

  Geodome Resources Ltd said
  following receipt of a feasibility study from Raytheon Co's
  &lt;RTN> Stearns Catalytic unit, it will proceed with construction
  and pre-production stripping at its Sunbeam Mine in Custer
  County, Idaho, as quickly as possible.
      The company said the study found proven ore reserves of
  3,302,000 short tons grading 0.077 ounce of gold per ton.  It
  said the mine will operate at a rate of 626,000 tons of ore per
  year, with higher-grade ore being mined in the first three
  years for a rapid payback of capital costs.
      The company said the feasibility study calls for gold
  production averaging 41,000 ounces a year for the life of the
  mine and 50,000 ounces a year over the first three years, with
  99,000 ounces of silver per year being produced over the miune
  life.
      Capital costs would be 22.3 mln dlrs with all-new equipment
  and 500,000 to one mln dlrs less with used equipment, it said. 
  It said the mine would be operated by a contract miner but the
  associated mill by Geodome.
      Geodome said a new ore zone discovered last summer is not
  included in reserve calculations. It said eight of the nine
  holes drilled there have an average grade of 0.046 ounce of
  gold and 2.1 ounces of silver per ton. Also excluded are
  reserves of 1,400,000 tons of low-grade material that could be
  milled profitably at 425 dlrs a ton for gold. The feasibility
  study used a 350 dlr gold price.
      Geodome said operating costs of the mine will average 201
  dlr per ounce of gold for the mine life and 171 dlrs for the
  first three years, in constant dollars.
  

