Black Mountain settles lease over strategic ore mill

Black Mountain Resources, the silver-focused development company with interests in the US, has settled a 45-year lease over Lakeview Mill and completed its acquisition of the Weber Silver Mine and Keep Cool Silver Mine claims.

Black Mountain Resources, the silver-focused development company with interests in the US, has settled a 45-year lease over Lakeview Mill and completed its acquisition of the Weber Silver Mine and Keep Cool Silver Mine claims.

The company recently upgraded the facilities at the Lakeview Mill and its key items, including an additional ball crusher and floatation circuit, and the mill is now capable of processing over 300 tonnes of ore per day.

The mill will be used to process ore mined from the company's Conjecture Silver Mine in Idaho following targeted first production in the second quarter of 2013.

Black Mountain reported that it intended to use the Weber pit for waste disposal from the Conjecture Silver Mine.

In addition, the company said it was planning to undertake initial geological and geophysical work over the two historic assets acquired, in particular targeting the intersection of the Conjecture and Weber shear zones to identify further drill targets as part of the exploration programme planned for the second or third quarters of 2013.

Peter Landau, Executive Chairman of Black Mountain, reported: "Having completed the acquisition of the Lakeview Mill, which would cost over $8.0m to replace and a minimum of two years to permit, Black Mountain is ideally positioned to commence high grade silver production from the historic Conjecture Silver Mine in Idaho in the second quarter of 2013.

"As the only permitted mill in the region, and with a processing capacity of 300 tonnes per day, this is a highly strategic addition to our portfolio and will meet our production requirements going forward. Also, the addition of further mining claims provides the company with exposure to exploration upside potential and a waste alternative for our Conjecture project."

Black Mountain's share price was up 2.97% to 13p at 08:49 on Tuesday.

MF

Recommended

Royal Mail will deliver for investors – here's how to play it
Trading

Royal Mail will deliver for investors – here's how to play it

Royal Mail Group has found its feet in the past 18 months and looks cheap. Matthew Partridge looks at how to trade the shares.
14 Sep 2021
The times may be changing, but don’t change how you invest
Small cap stocks

The times may be changing, but don’t change how you invest

We are living in strange times. But the basics of investing remain the same: buy fairly-priced stocks that can provide an income. And there are few be…
13 Sep 2021
Three hidden gems from Japan’s overlooked stockmarket
Share tips

Three hidden gems from Japan’s overlooked stockmarket

Professional investor Eiji Saito of JPMorgan’s Japan Small Cap Growth & Income fund picks three promising stocks from Japan's vibrant but under-resear…
13 Sep 2021
Share tips of the week – 10 September
Share tips

Share tips of the week – 10 September

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
10 Sep 2021

Most Popular

Two shipping funds to buy for steady income
Investment trusts

Two shipping funds to buy for steady income

Returns from owning ships are volatile, but these two investment trusts are trying to make the sector less risky.
7 Sep 2021
Should investors be worried about stagflation?
US Economy

Should investors be worried about stagflation?

The latest US employment data has raised the ugly spectre of “stagflation” – weak growth and high inflation. John Stepek looks at what’s going on and …
6 Sep 2021
How you can profit from the power of the grey pound
Share tips

How you can profit from the power of the grey pound

Higher life expectancy and surging asset prices have proved a boon for the baby-boomer generation, which has accumulated vast wealth. Younger generati…
10 Sep 2021