Prefeasibility Study On Bellavista Project, Costa Rica Indicates
Mine Should Generate Strong Profits; Wheaton River To Commence Infill
Drilling Program In June
April 29, 1998
Vancouver, British Columbia, Canada, April 29, 1998....Canarc
Resource Corp. is pleased to announce that a prefeasibility study completed
by partner Wheaton River Minerals Ltd. on the Bellavista project in Costa
Rica indicates that the mine should generate strong profits over its 8.7
year minimum minelife.
Canarc owns an 18.3% carried interest in Bellavista, and receives annual
pre-production payments of US $117,000 from Wheaton River.
The study indicates that a profitable open pit and underground gold
mine can produce gold, utilizing heap leach processing, at a total cash
cost of US$168 per ounce, generating an attractive 28% rate of return on
capital. Total gold production will exceed 550,000 oz. at an annual
output of 64,000 oz. per year. Proven and probable mineable resources
are estimated to be 780,000 oz. and heap leach recoveries should
Wheaton River, the Operator, will commence a 7600 meter underground
infill drilling program in June in order to move underground resources
into the mineable reserve category. A final feasibility study should
be completed in the 1st Quarter of 1999.
Canarc Resource Corp. is a growth-oriented, international gold
exploration and mining company. Production increased over 300% last year
to 7000 oz. at the Company's Sara Kreek (80%) mine . Reserves and
resources now total 2.4 million oz. at the New Polaris (100%) and Bellavista
(18%) projects. Our large exploration portfolio includes joint ventures
with Placer Dome and Homestake/Prime. Major shareholders include
Barrick Gold and Echo Bay Mines. The Company's common shares trade
under the symbol "CCM" on the Toronto Stock Exchange.
ON BEHALF OF THE BOARD OF DIRECTORS
CANARC RESOURCE CORP.
Bradford J. Cooke
For further information, contact:
Manager of Investor Relations
Tel: (604) 685-9700