Cassiar Asbestos Corporation Limited

Report of the Manager

Mr. F. M. Connell, President,

Cassiar Asbestos Corporation Limited,
1001-85 Richmond Street West,
Toronto 1, Ontario, Canada.

Dear Sir:
I submit herewith my report on operations during the fiscal year ended September
30, 1955.

Mine

Mining operations commenced in the cirque at a point 1,000 feet north and 350 feet
below the mine workings on June 6, 1955 and at the mine on June 22, 1955. By September
30, 1955 29,325 tons of cirque development ore and 147,534 tons of mine ore had been
delivered to the mill. The main chute was closed down due to weather October 5, 1955
but production from the mine was continued to November 4, 1995 by using a short chute
into the cirque valley. Since the fiscal year end 662 tons of cirque ore and 35,903 tons

of mine ore were delivered making a total for the 1955 mining season of 213,424 tons.

To make this ore available, 220,435 tons of rock were removed from the hanging
wall above the orebody. An additional 91,300 tons of talus and overburden were moved as

waste from the cirque valley.

Four additional ore haul trucks, seven RD-304 tanker-van combinations for the
fibre and oil haul, two TD-24 tractors, one 34 yard shovel, sixteen hundred cubic feet of
compressor capacity, two additional wagon drills and miscellaneous mining equipment were

purchased.

Ore Reserves
Development work was directed entirely to the preparation of the orebody for

mining and ore reserves are therefore unchanged at 6,766,087 tons.

Pace NINE