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

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020

Most Popular

Bitcoin: fool’s gold or the new gold?
Bitcoin

Bitcoin: fool’s gold or the new gold?

With bitcoin hitting new highs last week, and close to becoming a mainstream investment, is it really gold for the 21st century?
15 Jan 2021
Forget austerity – governments and central banks have no intention of cutting back
Global Economy

Forget austerity – governments and central banks have no intention of cutting back

Once the pandemic is over will we return to an era of austerity to pay for all the stimulus? Not likely, says John Stepek. The money will continue to …
15 Jan 2021
The MoneyWeek Podcast: bitcoin special
Bitcoin

The MoneyWeek Podcast: bitcoin special

Merryn talks to bitcoin experts Dominic Frisby and Charlie Morris to get the lowdown on the cryptocurrency to find out why it's such a huge global phe…
15 Jan 2021
Free 6 issue trial then continue to