Doug Ashbury
Northern News Services

NNSL (Mar 15/99) - Vancouver-based junior Cumberland Resources is now estimating a big increase in the size of the Meliadine West gold resource.

The expanded resource -- now estimated at 6.5 million ounces of gold -- suggests Meliadine could become Nunavut's next operating mine, possibly within four years.

"They (Meliadine owners) are confident, even with current gold prices, this is an economic ore body," Gordon MacKay, Nunavut's minerals, oil and gas director-designate, said.

As to the possibility Meliadine could one day become an operating mine, MacKay said it looks promising.

Cumberland and Calgary junior Comaplex Minerals each own 22 per cent of the Meliadine project. Australian mining company WMC International owns the remaining 56 per cent.

The 6.5 million ounces is based on 393 drill holes on five deposits with the Tiriruniak deposit containing the largest resource estimated at 4.3 million ounces.

Total inferred resource is 23.7 million tonnes grading 8.5 grams per tonne using a three gram per tonne cutoff for the total of 6.5 million ounces of gold.

Cumberland also owns 100 per cent of the 1.7- million ounce Meadowbank gold project near Baker Lake. The company also holds a 50 per cent stake in the 400,000 ounce Meliadine East gold project.