ST. JOE GOLD TO DEVELOP ONTARIO MINE St. Joe Gold Corp said it plans to proceed with development of its Golden Patricia gold property in northwestern Ontario. It said about five mln dlrs will be spent to continue underground development and obtain operating permits and another 10.2 mln dlrs is expected to be required to complete underground development, construct a mill and provide the infrastructure needed to put the mine into commercial production. St. Joe Gold said if the necessary operating permits were granted in time, it would start gold production in the second half of the year ending October 31, 1988 at an annual rate of about 40,000 troy ounces. The company said the property is estimated to contain over 500,000 troy ounces of gold, and the initial mining project covers only seven of 192 claims, with drill-indicated reserves of 293,000 short tons grading 0.88 troy ounce of gold per ton. It said initial mine output is expected to be about 150 tons of ore daily. St. Joe Gold said the Golden Patricia vein has not been tested at depth or along strike to the east and west and exploration is continuing on the Golden Patricia property and the adjacent wholly-owned Muskeg Lake property. The company also said its Richmond Hill gold and silver deposit in the Carbonate district of western South Dakota has been shown by drilling to contain about 3,900,000 tons grading 0.055 troy ounce of gold and 0.23 troy ounce of silver per ton. It said preliminary results are encouraging and a feasibility study is nearing completion.