VANCOUVER, March 25 /CNW/ - CMC Metals Ltd. (the "Company") is pleased to
announce that it has submitted the Project Description to the Yukon
Territorial Government (YTG) for review and approval for a Development and an
Operating License. Currently the Yukon Environmental and Socio-economic
Assessment Board (YESAB) is prescreening the project and anticipate the
project to be deemed complete in the next few weeks. The Development permit
will allow the Company to proceed with the site construction in preparing the
mine and mill for production. Based on discussions with the YTG, it is
anticipated that the Development permit could be in place by the summer this
year. Once the Company has received their Class B Water License, an Operating
license will be issued to allow the Company to commission a mill. It is
anticipated this will happen by the end of 2008.
CMC's 100% owned Silver Hart Mine (click here to view location map
http://files.newswire.ca/696/maponly-2.JPG) project is for a 20,000 tonne per
year mine and an 80 tonne per day mill facility to concentrate the run-of-mine
ore. Mining of the TM and S zone will be on a seasonal basis (June to October)
and milling will be on a year round basis. The first two years will be surface
mined then continued by underground methods. There has been substantial
exploration on the property since the mid-80's. Additional drilling by the
Company occurred in 2005, 2006, and 2007 to confirm past drill results and to
provide the confidence in the substantial amount of historical data. A
historic resource estimate (F. Smith, 1988) was determined at the end of 1987
for the TM zone. An estimate for proven and probable reserves of 72,345 tonnes
(79,713 tons) with an average grade of 2,023 grams/tonne (59.0 oz/ton) silver,
totaling 146,340 kg (4,705,463 ounces) of silver was concluded from the work
conducted. Not included in the total was an inferred resource of 33,225 tonnes
(36,609 tons) with an average grade of 1,755 grams/tonne (51.2 oz/ton) silver,
totaling 58,310 kg (1,874,937 ounces) of silver. Average base metal values
include 4.97 percent lead and 8.59 percent zinc for the TM zone. These
historic resource estimates were based on 50 diamond drill holes (3658m,
12,000 feet) and 673m (2208 feet) of underground workings. The Company
performed infill drilling and hole twinning as a due diligence to confirm the
historical data. An updated detailed mining approach and review of the
geological data provided input for the economic model to assess mine dilution,
cut-off grades, run-of-mine head grades, and minimum mining widths. For
further understanding of the property, the Company had SGS Lakefield
Laboratories Ltd. conduct a detailed metallurgical study to define the mineral
recoveries, mill flow diagram, and rate of consumption mill reagents need to
concentrate the ore. Based on the SGS Lakefield Laboratories Ltd.
metallurgical test results, metal recoveries from the raw ore are 96.9%
silver, 97.0% lead, and 80.0% zinc by flotation methods. For additional
information on the Silver Hart Project, please visit www.cmcmetals.ca.
The Company has not completed an independent feasibility study and there
is no certainty that the proposed operations will be economically viable. A
qualified person has not done sufficient work to classify the historical
estimate as current mineral resource and the issuer is not treating the
historical estimate as current mineral resources and the historical estimate
should not be relied upon. Statements in the release that are "forward-looking
statements" are based on current expectations and assumptions that are subject
to risks and uncertainties. Actual results could differ materially. We
undertake no duty to update any forward-looking statement to conform the
statements to actual results or changes in our expectations.
This news release was prepared on behalf of the Board of Directors, which
accepts full responsibility for its contents. The technical information herein
has been prepared in accordance with the Canadian regulatory requirements set
out in National Instrument 43-101 and reviewed by Donald Wedman, P.Eng.,
President and Chief Executive Officer for CMC Metals Ltd., a qualified person
under National Instrument 43-101.
On behalf of the Board:
Don Wedman, P.Eng.
CMC METALS LTD.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.
For further information:
For further information: Mr. David Fry, Manager, Corporate
Communications at (604) 605-0166, local 105 or click on firstname.lastname@example.org