Show Continental Uranium Steps Up Work Plans in This Area A huge stripping operation continuous con con- continuous addition to Its ore reserves reserve negotiations with the for 01 constructing a uranium ore pro pro- ceasing mill and diversification o of Its ts activities by possible expansion slon sion Into the silica business are lire Included In the current dynamic program gram of Continental Uranium nc Continental currently operates operate two Iwo wo mines Rattlesnake and Continental Con Con- Number One both In San SanJuan SanJuan Juan luan County The Deep North Ore Orex body x dy at Rattlesnake Rattlesnake Is being stripped strip strip- pod peel of approximately two and one one- hall half million yards of overburden he the only lar scale large escale uranium stripping stripling strip strip- I ping ling operation In Utah I By ny this program says Gerald Ger aId ald Gidwitz Continental chairman we expect to net at least O 00 more than could be gained by bythe bythe the he Incomplete extraction provided I by iy underground mining The Deep North Ore Body nody has hns been proven to contain tons of f 30 ore Surrounding ore which will vill be mined from the pU it bottom presently drilled out totals totals another tons When excavation is completed he the hole of approximately COO feet feel by y feet with an average depth of if feet would be large enough to 10 o accommodate twelve average sixteen story office buildings cov cov- covering ring almost a square city block The most recent discovery at Rattlesnake Is the Far North Ore Jody Body lying some 1200 feet northeast northeast northeast north north- east of the Deep North Ore Body drilling is continuing to find ore at it this new location and as of August 15 15 Continental had discovered dis- dis covered about tons of ore At it fh the It site Systematic drilling of the Rattlesnake Rattlesnake Rattlesnake Rattle Rattle- 1 snake area which has discovered a total of approximately tons has occurred over less than 10 per cent of the acres of the Rattlesnake area noted Work has progressed steadily In Inthe Inthe inthe the development of the Continental No 1 mine From September 1 I 1954 the date on which which Continental Continental Contin Contin- Uranium took over this property property pro pro- perty through June 30 30 1955 16 16 wet tons tOils were produced which brought The Te development which produced this tonnage proved proved proved ed out the company's original estimates estimates estimates esti esti- mates on the A ore body An access drive of approximately approximate approximate- ly feet teet has been put in to tap the B block ore ore This drive has been completed and ore is now being shipped from the B area The A block tonnage which had been curtailed pending completion of the drive is now being expanded expand expand- ed and blended with the B block to produce about 2000 tons a month Continental has also started drilling activity on several acres acre of property in Section 2 which lies lie between the te Steen mine and th the Lisbon Uranium claims The latter latte company is reported to have found foun substantial ore reserves on it its claims bordering Continental property property property pro pro- perty opposite the point where Continental has found ore Initial exploration shows that tha we have ore of at least commercial commercial com corn mercial grade comment comment- ed However the majority of our acreage at this site is as yet un un- drilled drilled Until the drilling program programs Is s further advanced we will not know the full tull extent of the reserves reserves re re- re- re serves erves in this area As of July 29 Continental also acquired a group of 12 claims lunder under a working agreement with the he Uranium Corporation These properties located in the Front Range Division about 50 miles northwest of Denver Include Include in In- clude elude one patented and 11 anted claims The h arrangement provides for forthe forthe forthe the exploration and mining of the property by Continental for a sub sub- percentage of the net pro pro- fit Continuing exploration Is under unde underway underway way by Continental personnel Work thus far indicates that there ther exists commercial grade ore o oan of I an as yet undetermined mount amount on these properties I IThe The patented claim is Baltimore Belle The claims ar are known as Pauline Mac Colow and No 1 1 Glory No 1 and Glory No 2 2 Sampson ampson FairDay FairDay Fair Fal Day and Fair Day No 3 Maybe and Eureka Other recent Continental acquIsItions acquis acquisitions are three school leases totaling totaling total total- In ing res in the Deer Flat Fla Division of San Juan County anc and three sets of claims totaling about acres in the Blue Notch Division Divi- Divi slon sion of San Juan County The Deer Flat Division school leases upon which Continental Continents will pay a 1214 per cent royalty t to the State of ot Utah are known as Ithe the Burrows leases containing about acres the lease of about acres and the Warren lease totaling about acres Continental Is also alAI considering various proposals by an Investment investment invest Invest- ment syndicate certain individual investors and an old-line old mining organization to take over the financial responsibility for Continentals Continental's Continentals Continental's Continentals Continental's Con Con- exploration exploration pro program ram for fora fora a percentage of the profit on any ore found The financial risks would be shared by Continental with these Investors At the same time said the plan would assure ample participation by Continental In any resulting profits Contract negotiations with the for a contract under which Continental would construct a day a ay uranium ore processing mill near LaSal Utah DTP are expected expect expect- ed to be completed in the near future said Continental would become the first company licensed to use the Burwell process of treating uranium uranium ura ura- ores developed at the Grand Junction plant of Uranium Pro Pro- The Burwell process requires only approximately 25 per cent of the water that other existing processes processes processes pro pro- require and will result in inconsiderable Inconsiderable inconsiderable considerable economies in production production tion over present installations The new ew niI milling f technique was s developed by Blair Burwell pioneer pioneer pioneer pio pio- neer in the uranium mining field feld and who has been an important consultant to Continental The process process process pro pro- cess is especially well adapted to operations in the field close to the sources of ore ore Gidwitz said The would purchase all of the uranium concentrate produced by the mill It is expected that If contract negotiations are satisfactorily satisfactorily satisfactorily satis satis- completed Continental would ship much of its ts own ore to this mill and would also buy ore from other producers for milling Continental recently acquired an option from Charles Redd and his associates for a acre 40 site for forthe forthe forthe the mill The company deems this location ideal for a plant using the new process It is about eight miles from Rattlesnake mine and 18 miles from the Continental No 1 mine As a result the company expects to eliminate a large par part of the usual haulage charges incurred incurred in in- in shipping its ore longer distances The mill site is In one of the few areas that has water available avail avail- able The option includes rights to water deemed sufficient for operating the ton mill Bids for construction of the mill are being received now and construction construe tion would begin shortly following the signing of the contract with with the Continental has turned to another area both geographically and wise mineral with the acquisition acquisition ac ac- ac of an option to purchase the Marion Marlon Silica Company at Marion Marlon Kentucky The Marlon Marion Silica Company has one of the major sandstone deposits deposits de de- de posits In the silica production field and ony oay last year completed a anew anew anew new plant costing Lamp bulb manufacturers including such companies as General Electric Electric Elec Elec- are major customers The Marion Marlon Company operation represents the first commercial attempt attempt attempt at at- tempt to exploit a deposit of high hIgh- I I ly Iy siliceous sandstone that has long been known to geologists as asa asa asa a potential source of high grade silica for glass manufacture On the basis of a core drilling program undertaken by the prospective prospective prospective pro pro- sellers there are in excess excess excess ex ex- ex- ex cess of 30 million tons of almos pure Hardinsburg sandstone avail avail- able The option if exercised would woul involve the exchange of Contin Contin- stock and cash cash Continents Is conducting engineering an and market studies to guide it in Its IU decision Our plan said G I d w wit i t z would be to expand production much greater than that at which lie Jie Marlon Marion Company has produced Even at the 1000 ton rate the reserves are Inexhaustible In this connection Continents plan to increase the plant and to install classifying equipment to separate the siller shier lour and foundry and other sizer reduced in the crushing opera Ion Commenting on Continental all ver-all operations its boar boan said We are concer d with building a sound minim which will obtain th rea test possible yield from ou over the years One of the major problems ol 01 lining companies Is that of de letlon To provide for productive for the future a mining must continuously ac wire new reserves of ore to re relace relace relace lace the ore mined Continents las IBS an active program of a o its Us reserves which should make makl continued production foi foe ears to come Gidwitz d d. |