Sherrgold MacLellan Mill Design and Operation

"SherrGold's MacLellan V ne is located about five miles south east of Lynn Lake immediately to the east of the Keewatin River. (Figure # 1)The property is accessible by an all weather road, leading north from the provincial highway 391, which links Lynn Lake with the Town of. Leaf Rapids and the city of Thompson to the south.The MacLellan Mine (formerly the Agassiz property) was discovered in the early 1950's and optioned from Comiesa Corporation in 1979 by Sherritt. SherrGold Inc. was formed in September 1985. Sherritt then transferred the MacLellan Mine, 15 other gold prospects in the Lynn Lake area and the old Lynn Lake nickel-copper mill to SherrGold. At the same time Sherrgold entered into a management agreement with Sherritt whereby Sherritt would develop and operate the MacLellan Mine and conduct SherrGold's exploration activities.The ore body as outlined in the original feasibility study is expected to produce in excess of 300,000 ounces of gold and 450,000 ounces of silver over the next 5 years. However the deposit is open to depth and exploration is continuing on and around the main zone and the many satellite deposits.The start of construction of the MacLellan mine and mill was scheduled to phase in with the closure of the Fox copper-zinc mine located 30 miles west of Lynn Lake. The majority of the employees from the Fox Operation were either employed at the MacLellan mine or relocated to Sherritt's Ruttan Operation."