MOLYBDENUM: Avanti begins construction on Kitsault mine

BRITISH COLUMBIA – Vancouver's Avanti Mining began construction activities on June 23, 2014, at the Kitsault molybdenum mine and mill 140 km northeast of Prince Rupert. The announcement follows the receipt of a logging licence and other secondary construction related approvals. The amended mining permit was issued 10 days earlier.

Contactors have now started road work and will soon begin camp building. The cost of reopening the mine, that produced from 1968 to 19972 and again from 1980 to 1982, and rehabilitation of the mill facilities is estimated at $936 million. The plans call for an open pit mine and 40,000-t/d SAG mill with a conventional flotation circuit and five stages of cleaning. Another $106 million will be needed for sustaining capital.

The Kitsault property includes three deposits – Kitsault, Bell Moly and Roundy Creek. Proven and probable reserves include 228.2 million tonnes grading 0.083% Mo (415.5 million lb) and 5.0 g/t Ag (36.6 million oz).

The May 2014 corporate presentation, available at AvantiMining.com, contains more details about the Kitsault project.