MOLYBDENUM: Alloycorp tightens controls at Kitsault project

BRITISH COLUMBIA – Alloycorp Mining of Toronto is making changes to the engineering and construction of its Avanti Kitsault molybdenum project in order to control capital costs and improve project efficiencies. The project, operated by subsidiary Avanti Kitsault Mine Ltd., is located 120 km north of Terrace at the site of the former Kitsault mine.

AKML will transition all engineering services to DRA Taggart from AMEC Americas. DRA will conduct a front end engineering design study to confirm engineering and procurement work already done. After completion of the FEED study, DRA will present alternatives for project development, including engineering, procurement and construction, lump sum turnkey, build/own/operate and transfer, and variations of these models.

Site preparation, preliminary earthworks, the Nass River bridge, access to the site, and the camp expansion at Avanti Kitsault are complete. AKML personnel are taking over site management from the contractors. Construction at the site will be suspended until the FEED study is completed.

Avanti Kitsault is fully permitted for construction. A co-operation and benefits agreement has been written between the mine and the Nisga'a Lisims government in 2014.

Read the most recent corporate presentation at Alloycorp.com.