Yellowknife (July 09/01) - Mining partners Miramar Mining Corporation and Hope Bay Gold Corporation are continuing a joint venture project near Nunavut's Coronation Gulf, despite the price of gold.

"They would have to be extremely good deposits in order to be economical in this environment," said chairman and CEO of Hope Bay Gold, David Fennell.

"We've been extremely pleased on the campaign to date."

About 50 geologists, pilots, mechanics and other support staff will be working on the project, purchased from BHP just over two years ago.

The joint venture reported last week a total of 18,902 metres of drilling in 95 holes completed in the Madrid area during 2001, completing the approved phase one and two programs.

Miramar and Hope Bay Gold, the joint venture, have focused most of their attention this year on Madrid.

"In the Madrid area of the Hope Bay project, the joint venture has identified high-grade gold mineralization in the Naartok and Soluk areas," the joint venture relayed in a prepared statement.

Fennell said more than 30 occurrences, which could mean gold, were located.