ONTARIO – Stillwater Mining of Billings, MT, and Mitsubishi Corporation of Japan are teaming up for the development of the Marathon copper-PGM project 300 km east of Thunder Bay. The Japanese company has agreed to buy a 25% equity interest in the Marathon project for a total cash payment of US$94.6 million. It will also have an option to purchase up to 100% of the Marathon production. Stillwater acquired the property with the takeover of the Canadian explorer, Marathon PGM Corp., in November 2010.
Commenting on the Mitsubishi transaction, Stillwater chairman and CEO Frank McAllister observed, “The Marathon project promises to make a substantial contribution to the economy of Northern Ontario. Both the initial construction phase and subsequent mine operations should generate significant employment opportunities, critical investment, vibrant economic activity and new revenues for the peoples and the government of Ontario. We invite those who live in the region surrounding this project to approach us freely at any time with their concerns, so we can address them openly in a spirit of mutual consultation, he concluded.”
The project will include development of an open pit mine and mill with one primary pit and several smaller satellite pits. Concentrates produced at Marathon will be transported off site to a third-party smelter and refinery for final processing. The mine would produce about 200,000 oz of PGMs (mostly palladium) and 37 million lb of copper per year over a mine life of about 11.5 years.
More information is available at MarathonPGM.com.