BRITISH COLUMBIA – The BC Ministry of Energy, Mines & Petroleum Resources has awarded the permit for an underground mine and on-site concentrator for the MAX molybdenum project 60 km southeast of Revelstoke. Owner ROCA MINES of Vancouver plans to fast-track a high-grade 500 t/d mine, thus minimizing the lead time to production and reducing initial capital costs, expected to be US$12.5 million. The use of existing production-sized underground access to the deposit will be maximized. Expansion of the proposed mine and mill will be guided by prevailing molybdenum prices and an assessment of ongoing operating costs in late 2006 and in 2007.
Initial production will focus on the HG zone, including an estimated 260,000 tonnes of measured resources grading 1.95% MoS2 hosted within the larger MAX deposit comprising 42.9 million tonnes of measured and indicated resources grading 0.20% MoS2. Production may be as much as 72,000 tonnes of molybdenum per year on a campaigned basis.
Roca eventually hopes to expand the mine and mill to 2,500 t/d, based on preliminary engineering studies completed by HATCH ASSOCIATES. Visit www.RocaMines.com to view photos of the people working on the MAX project.