Omai Gold Mines Limited has abandoned exploration for gold in the Quartz Hill area and will be moving to the Eagle Mountain property once it can make arrangements with the Guyana Defence Force helicopter to get to the top of that mountain.
"We have seen nothing of significance in the exploration (at Quartz Hill). What we have drilled and trenched, the meters haven't come up with anything," Omai Human Resource Manager, Norman McLean said last week. Omai will now look at the availability of the GDF chopper to go to the top of Eagle Mountain and drill through.
Omai's current mine life comes to an end around August 2005 and it has spent about US$3M, at an average of US$1M annually, exploring for new gold deposits. It will continue exploration until the end of this mine life or maybe beyond, McLean indicates.
He says that the company has almost completed payment for its equipment and if it can find a new ore body it can start making a profit and pay taxes. He notes that now that gold prices are going to hit US$400 an ounce, Omai's production is on the decline whereas during the period of peak production, prices had been low.
"We are looking like mad to see if we can find any new sources of gold...we are three years into the exploration programme and have found nothing significant." He says sufficient reserves have to be found to allow for the company to make something of the drilling once it takes the waste off. "I am keeping my toes and fingers crossed (on the exploration) Mc Lean says."