NOVA SCOTIA - ACADIAN MINING of Halifax says its Scotia base metal mine at Gays River is generating revenue. Although the mine supplied $9.7 million from the sale of zinc and lead, the company suffered a net loss of nearly $5.4 million during 2007. The revenue marks Acadian's move from exploration company to metal producer.
The Scotia open pit mine and mill were built by Esso Minerals in the 1970s. Acadian acquired the project in July 2006 and set about refurbishing the mill, which now treats about 2,000 t/d. The mine and mill were restarted in May 2007.
Acadian blames its operating loss on the falling price of zinc and rising operating costs. Head grades were lower than projected, so zinc and lead production fell short of targets. As well, the project experienced normal startup issues. The company plans to mine 800,000 tonnes of ore with an average head grade of 3.1% Zn and 1.3% Pb in 2008.
Additional information is available at www.AcadianMining.com.
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