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TERRACE — After two years
in operation, Skyline Gold Cor-
poration is closing . its Johnny
Mountain gold mine in the Iskut
Valley this fall: The closure will
affect approximately - 100 peo-
pies -

Company chairman. Ron -

Shon: sald last:week there aren’t
enough ore*“reserves: of: suffi-
cient grade at the current price
of gold. to. justify continuing
operations, bye

Shon added that the: compariy
will continue to search for gold

College
lays off

TERRACE — Six Northwest
Community College: workers
lost their jobs last week as the
facility brought spending within
provincial guidelines, —

The‘ six' were given the word
June:29 and received two mon-
ths pay in lieu of notice in an ef-
fort by-the college to trim spen-
ding by $600,000.

~ That's the difference between
what the college's original $9
million spending plan and the
final budget allocation it receiv.
ed from the provincial govern-
mint,

. The cuts to make up the
shortfall include chopping three
Programs here and in Prince
Rupert, - :

All told, the college will have
18 fewer positions, the majority
of which are in Terrace, because
it won't : ‘be’ Teplacing people
who. are taking early retirement
or those who. are resigning, ~

The cuts should balance this

..presented:,to..the college ‘board
for approval lster this month,
NWCC vice-president ‘Geoffrey
Harris said last week.

The college. had been coun-
ting on the province to. deliver
on its promises for more money
for post-secondary education.

Three programs’ are being
‘cut: the electronic technician
program and community service
worker program, both offered
in Terrace, and the marine
engine repair program, offered
in Prince Rupert. ;

Harris said an average of only
four students enrolled in each of
the three programs last year.

“We just couldn’t continue
to support them at that level of
enrollment,” he said. ‘Not
when we have waiting lists for
other programs, It was the best
way to. balance the budget
without impacting significantly
on the educational programm-
i had

“Hopefully within the next
few years we'd like to see those
programs reappear,’’ Harris ad-

Much of the planned expan-
sion to programs at the college
has been put on hold, he added,
although some program expan-
sions will go ahead. “We're not
going into a trench and pulling
the .cover. down over our
heads." m

TERRACE. om. Federal pro-
secutors are planning to drop il-
legal fishing charges against
natives following. a precedent-
setting Supreme . Court of
Canada ruling.

Justices hearing the case of
Vancouver-area native fisher-:
man Ron’ Sparrow last month’

unanimously found. native.

fishing rights must take priority

over all’ other groups, and.that
conservation is. the’ only.reagon

tor prevent ‘natives from fishing.
The. Sparrow decision: is A
laridmatk” case: in: our ‘view,’
justice:
Getald’ Donegan said: Friday.
Pie be reviewing individual
cages on a case-by-case basis in
‘der. 0 determine whether the

“ (DFO): internal

ission:. ‘pap r outlines its

aan to'thé court ruling, and

seth out ‘the department's plan

department ‘director ;

on its property with a program ‘

this year and one next,

ings (of gold)," he said, :
Johnny Mountain: now: is the
only ‘operating gold mine in the

‘Iskut,-an area that vig: ‘heavily

staked and one which: contains
significant gold showings 7
Since: beginning. operations in

duced’ 75,000 ounces of gold

“423,000 ounces of stiver and
. A 96 million pounds: ‘Of copper.

It's atemporary suspension; a
We're ‘mounting a’ fairly.
sizeable exploration effort: We
have indications, of good show:

-At.one time it was estimated

“the: mine’ could produce up to
“410,000 ounces of gold-a year.

: The. ‘closure ‘announcement

follows.” -previous © statements
-‘comipany. spokesmen. ‘made in

April in which they: ‘said it was -

unable ‘to’ find” enough “gold -
-Feserves: to. replace: ‘that, ‘which

“Also t in April, Skyline volun-
Aug..1988, the company ‘pro- © ‘tarily withdrew its stock from

’, trading on the Vancouver Stock

Exchange for a short period to.
Stabilize the price after rumours ©

circulated it might close. ‘
The company has. been look-

ing for additional shareholders _
through flow-through financing.

which permits tax write offs and

"a partner,

‘Shon,-: ‘speaking. last week,
said both will:give the company

‘added capital and in the case of
"the partner, mining expertise.

He acknowledged ‘the mine

-had experienced difficulty from

the day it first opened because

d,” Flynn says. “That was dui
paz @ and the landstapi

ore reserves were not what it
had expected.

“The geological information
was flawed ... the kind of mill
was poorly designed,’ "said

Shon,

He said added capital from
share financing and fram. a
paviner will also help it pay off
bills he estimate amount to
several million dollars. ° -

Company accountant Len
Friesen said last week the mill
will be mothballed and looked
after by caretakers in anticipa-

said. nn
A press release issued ‘last

week also indicated the com-
pany would benefit by’ plans to
build a road into the “Iskut
because it would no longer have’
to rely on expensive © air
transport.

cont'd A2-

Ski loan —
coming ©

TERRACE — It has taken
nearly two years but the Shames
Mountain Ski corporation will
soon have a $505,000 federal-.
provincial loan first announced
in July 1988,

The loan will provide one-
quarter of the amount necessary
to construct a ski development
on Shames Mountain west of
Terrace,

Construction project
manager Mark Grabowski said
last week the loan will come
through following the signing
this Friday of a land-use agree-
ment between the corporation
and government officials for the
Shames Mountain area, *"

The agreement contains pro-
visions the corporation had to
mest -to qualify for the loan,
They include satisfying the pro-
vincial and federal governments
that the corporation had equity

quires the corporation to invest.

Pa _ any profits back into the opera-

for dealing with native fishing,

“Charges .will be laid only
where the activity severely af-
fects the department's ability to

meet conservation objectives, or...

to safeguard the food fishing -
rights. of. other natives," the’:

paper ‘indicates. ‘Charges. will
not he. laid without first ensur- |.

" ing that thie fac facts-of the case are.
ied. :

th e Department.

DFO ‘spokesman Pat: Chianti
said the paper is still, under
discussion and ‘due to be sént

“out to native groups. for their

comments this week: The policy,

Native communities to share
their ‘allocation, ..
The Paper ‘says fisheries of-

'ficers would. use generous and
liberal: -definitions of native.
Aishing vighta, in accordance

with the Sparrow decision,
“Regulations prohibiting the
sale of food fish will remain in
effect,’? the paper says.
“Fisheries officers will act with
sensitivity and restraint in their

‘tion for the first five years and
providing proof of insurance.
Meanwhile, crews were ex-
pected ta start work today on
dismantling lift equipment
bought from the regional
district at its now-closed Kit-
sumkalum ski hill. ‘

Teachers
leaving

TERRACE — Large numbers

of teachers in-the Nass Valley.

are resigning, according to a
Nishga Teachers’ Association
spokesman,

James Hogan last week said
between 10 and 15 teachers have
given notice.

“The turnover is about a
third of the staff,’ he said. “It
isn’t as high as last year — when
it was 60 per cent — but Jast
year was a strike year.”

Teachers and the Nisga’a
school board are in the middle

of contract talks for a new.

agreement to replace one that
ran out the end of June.

That contract was reached
last year after the longest

teachers’ strike in B.C, history, »

Native food fishery receives a boost

dealings with native food -
fishermen,”'

The Ki Hisumkolum band's .

Plans for a food fishery can be

found in a story on Page A3.

Grabowski ‘said the. lifts
would be flown off the moun-
tain as soon as a helicopter was
available.

He said clearing had been
completed on all but the two
Steepest trails on Shames and
that plans to open this year are
on schedule.

kiekkkk

In the meantime, at least one
of the options being examined
.by the provincial government
over @ proposed shares-for-debt
swap between the’ regional
district and the Shames Moun-
tain Ski Corporation could re-
quire a referendum, says a pro-
vincial official.

“It’s not a common request,
but it’s not unique either,’’ said
Al Tamblin of the municipal af-
fairs ministry which regulates
activities of regional districts,

The ski corporation wants to-

, equal. to,.the Joan-amount,..re._... convert $322,000.-it owes .the

Tegional district for equipment
bought in’ 1986 from. the
district’s now-closed Kit-
sumaklum ski operation into
shares. It has yet to make
payments on the debt and also.
wants $94,000 in interest it owes
to be forgiven.

It’s this option, to turn ail or
part of the principal and all or
part of the interest, into shares
that could require a referendum
of regional district voters,

And while the municipal af-
fairs ministry considers the pro-
posal, the regional district has
asked taxpayers for their opi-
nions, :

That was included in a press
release issued last week with
background material on the
district’s involvement with the
ski corporation.

The regional district would
become the. largest. single
Shareholder in- the ski corpora-
tion if the proposal went

of the paper. fs not ‘final, he - b
noted, adding he expects a lial E

version drawn up later this year.
‘The’. paper.

demonstraté. they’ traditionally.

' fished, Natives -flahing outside -;

“proposes. native f
-groups: be. granted’ food: fish.
‘ficentces in ‘dreas where they can”. |

their, traditional: : area would). E

receive’ perinesion ‘from. Jocal ES