Resource World Magazine

j u n e / j u l y 2 0 1 5 www.resourceworld.com 13 NEwS b r i e f S MaG silver rePorts widest iNterCePts to date MAG Silver Corp. [MAG-TSX; MVG- NYSE MKT] reports new exploration results from the Valdecañas Vein on the Minera Juanicipio J/V property (44% MAG/56% Fresnillo plc), Zacatecas State, Mexico. Four new, step-out holes were tar- geted approximately 100 metres below the existing Deep Zone indicated and inferred resources. Highlights include 405 g/t (11.8 opt) silver – capped; 2.7 g/t gold – capped, 3.2% lead, 4.1% zinc, 0.37% copper, over 34.35 m (true width of 26.45 m), including: 919 g/t (26.8 opt) silver – capped; 4.94 g/t gold – capped, 5.25% lead, 4.87% zinc, 0.62% copper over 13.25 m (true width of 10.20 m). HiGHbaNK resourCes CoMMissioNs aGGreGate PlaNt Highbank Resources Ltd. [HBK-TSXV] has commissioned its Swamp Point aggre- gate processing plant on Portland Canal, south of Stewart, on tidewater, Northwest British Columbia. The deposit has an NI 43-101 compliant, measured and indicated 71,712,043-ton construction aggregate (sand and gravel) resource. Jim Place, P.Geo., director, was on site for the commissioning of the wash plant, cone crusher, jaw crusher and stacking con- veyor systems. "Currently the plant is being used to produce crushed gravel for onsite haulage road and stockpile site upgrades. Once these improvements are completed SPN will move into full plant production mode and begin preparing aggregate stock- piles for shipments," said Place. Highbank has released a positive Preliminary Economic Assessment (PEA) of its Swamp Point North aggregate proj- ect. Revenue forecasts are based on sales of 2,785,000 tonnes of aggregate at an average price of $34/00/tonne FOB Prince Rupert and 285,000 tonnes of coarse material at an average of $21.45/tonne. Total cash operat- ing costs are $16.71/tonne and royalties of $2.35/tonne. The production forecast pro- vides an operating margin of about 44%. At an annual discount rate of 8%, the base case cash flow for the three operating years evaluates to an NPV of $24.3-million. The mining production schedule assumes Highbank's application to increase its existing permit will succeed. PreMier Gold MiNes aCquiriNG GoldCorP iNterest Premier Gold Mines Ltd. [PG-TSX] agreed to acquire Goldcorp Inc.'s [G-TSX- GG-NYSE] 40% interest in the South Arturo Mine Project 8 km northwest and along strike from Barrick Gold's Goldstrike Operation in the Carlin Trend, Nevada. Premier will pay Goldcorp US $20 million at closing and transfer to Goldcorp 5% of its interest in the Rahill-Bonanza Joint Venture in Red Lake, subject to Barrick not exercising its right of first refusal in respect of the project. Concurrently, Goldcorp will complete a private placement with Premier for C $12.5 million, subject to TSX approval. PretiuM resourCes reCeives bruCejaCK eNviroNMeNtal aPProval Pretium Resources Inc. [PVG-TSX, NYSE] has been issued an environmen- tal assessment certificate for its Brucejack gold project in northwest British Columbia by the BC Minister of the Environment and Minister of Energy and Mines. The ministers concluded the project will be constructed, operated and decommis- sioned in a way that ensures no significant adverse effects are likely to occur. Pretium will address these conditions in advance of the start of mine construction, which it expects to begin this summer. The federal review of the Brucejack Project by the Canadian Environmental Assessment Agency is nearing completion, with an expected referral to the Minister of the Environment later this spring. Commercial production is scheduled for 1017. ÉlÉoNore MiNe aCHieves CoMMerCial ProduCtioN Goldcorp Inc. [G-TSX; GG-NYSE] has announced the start of commercial produc- tion as of April 1, 2015 at its Éléonore gold mine, located in the James Bay region of Québec. "We look forward to Éléonore's strong contribution to our growth profile as it ramps-up to full production between now and the first half of 2018," said Chuck Jeannes, President and CEO. "The mine is expected to be a significant contribu- tor for many years to come. Éléonore has strong reserve growth opportunities as the deposit remains open at depth and we are just beginning to test the district explora- tion potential." First gold production was achieved on October 1, 2014 and Éléonore is expected to produce between 290,000 and 330,000 ounces of gold in 2015, with production weighted towards the second half of the year. iroNsides resourCes starts tradiNG oN tsXv Ironside Resources Inc. [IRC-TSXV] has begun trading on the TSX Venture Exchange as of April 21, 2015. Its prede- cessor company announced on April 6, 2015, the formation of a joint venture with Juniper Capital Partners Limited to acquire a 25% carried interest in the Wadi Sawawin Iron Ore project in Saudi Arabia. The open pit mining project is close to the Red Sea port of Duba. With low trans- portation costs, the project can become one of the few regional sources of Direct Reduction pellets for DRI steel plants, which provide 90% of steel production in the Middle East and North African region. CroCodile Gold aNd NewMarKet Gold to MerGe Crocodile Gold Corp. [CRK-TSX] and Newmarket Gold Inc. [NGN-TSXV] have announced plans to merge. The surviv- ing entity, to be named Newmarket Gold Inc., will benefit from Crocodile Gold's strong asset base, established gold pro- duction of over 200,000 oz/year and cash flow generation from the Fosterville, Stawell, and Cosmo underground gold mines in Australia. Based on the closing price of Newmarket shares of $0.30 on May 8, 2015, the Crocodile Gold consid- eration represents an offer price of $0.37 per Crocodile Gold share, a premium of 37% to the closing price of Crocodile Gold shares of $0.27 on May 8, 2015. n

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