|November 28, 1997||Trading Symbol: TSE - HGM|
HOLMER GOLD MINES LIMITED announced today that it has ended its third quarter of fiscal 1997 with $3.3 million in working capital that will allow it to continue its exploration programs in Timmins, Ontario and Cuba for the rest of this year and into 1998.
"We end this quarter in good financial position that will allow us to continue with our exploration projects in spite of the current low price of gold bullion," said Dr. Sethu Raman, President of Holmer.
Holmer will begin diamond drilling next week on the Mango sulphide deposit in Central Cuba as a followup to the encouraging results of drilling this summer. The last drill hole at the east end of the massive sulphide discovery zone intersected 5.1 percent copper, 4 percent zinc, 91 gram/tonne silver, and .5 gram/tonne gold over 17 metres.
Dr. Raman said current drilling on Holmer's 100 percent owned property in Timmins West gold camp is continuing to add to the known gold reserves. Watts, Griffis and McOuat Limited, the company's independent geological and mining consultants, will be updating the resources at the end of the year. As well, the property has recently attracted the attention of several mining companies and analysts.
Assays from bulk and continuous channel samples at the Loma Hierro silver deposit in Cuba have indicated that the average silver grade of the deposit may have been underestimated, due to drill core losses that are typical of lateritic deposits. The pitting and bulk sampling program has been completed on schedule.
The company now is concentrating on acquiring detailed information necessary for completion of a feasibility study next year.
Holmer Gold Mines Limited is a Canadian mining exploration and development company. Holmer is committed to achieving corporate growth and shareholder value through diversification, and is currently developing gold, silver, copper and zinc projects in Canada and internationally.
For further information please contact:
|K. Sethu Raman
Tel: (604) 929-9694
Web Page: www.holmergold.com