Star Mountain Resources
(US-OTC: SMRS) is acquiring a past-producing zinc mine and concentrator in New York state that the company says will catapult it from explorer to producer in less than a year.
The Balmat mine, owned by Hudbay Minerals
(TSX: HBM; NYSE: HBM), has been on care and maintenance since 2008, primarily due to poor market conditions, low commodity prices, high operating costs associated with the geology of the deposit, and changing business priorities.
Last year, privately held Northern Zinc negotiated an exclusive purchase option with Hudbay to acquire 100% of Balmat, but like many companies in the mining sector, it has struggled to follow through with its plans in the current downturn.
Read the complete article at NorthernMiner.com/news/star-mountain