Proposed Blue River mine gets encouraging results

AMEC Americas Limited (AMEC) supports the findings of a mineral resource update

A recent report from consultants has allowed Commerce Resources to further delineate its tantalum and niobium deposit about 25 km north of Blue River.

“We are again extremely pleased with the results of this study, which represents a major milestone in the progress to develop the Upper Fir,‚Äù said Dave Hodge, Commerce’s president.

ÄúThe resource reported today is further confirmation of Commerce’s belief that we are in the process of building a very important long-term source of conflict-free and ethical tantalum which could potentially supply 10 per cent of the current world’s market for the long term.” Hodge said.

“Results of all the technical work completed to date give solid evidence of the quality of the mineral resource. Commerce continues to be active in its search for a strategic partner who will work with us to define appropriate project financing options to support the recommended pre-feasibility studies.”

The technical report prepared by independent consultants, AMEC Americas Limited (AMEC) supports the findings of a mineral resource update and also includes summaries from a preliminary economic assessment (PEA) completed in 2011.

The 2011 PEA proposed an underground mine with a processing rate of 7,500 tonnes/day. The concentrate would be processed to produce oxides of tantalum and niobium.

These products are generally sold under contract and the prices are typically kept confidential between buyer and seller.

Assumptions in the PEA included commodity prices of US$381/kg for Tantalum and US$46/kg for Niobium.

Overall, AMEC concluded the 2011 PEA outcomes remain reasonable and valid in 2013.

Capital and operating costs likely have increased since 2011 but AMEC is assuming that any increase in costs have been offset by the increase in the Tantalum price over the same period.

According to the 2011 PEA, total estimated capital cost to design and build the mine would be CAD$379 million.

Estimated payback would be 6.3 years while the conceptual mine life would be 9.3 years.

The 2013 mineral resource estimate is larger than the 2011 mineral resource used to prepare the plan. This shows potential to extend the life-of-mine, though its impact on the economics of the Upper Fir deposit has not yet been examined.

AMEC’s recommended work program is expected to take two years to complete. Total cost of the pre-feasibility study would be $13.9 million, of which $5.46 million would be spent on drilling.

Commerce notes that power transmission lines, rail, and paved and gravel roads are all adjacent to, or within its property boundaries. Transalta’s 18 MW Bone Creek run-of-river hydroelectricity project near the project was commissioned in June 2011.

According to Wikipedia, Tantalum is a rare metal that is mainly used to make capacitors for such things as mobile phones and DVD players.

Niobium is a soft, grey metal that is mostly used in making special alloys, such as those used in gas pipelines.

 

Just Posted

224 members attend 4-H Rally at Agriplex

Annual 4-H Rally at the North Thompson Agriplex welcomed both junior and… Continue reading

North Thompson Spartans win Zones

By Jill Hayward Congratulations to the North Thompson Spartans Senior 7s Rugby… Continue reading

Barriere Babies of 2018 Party happening June 7

If you live in the area and your baby was born in 2018, you’re invited

No public input received on proposed rezoning for McLure cannabis store

Board votes water meters to be installed in all TNRD Community Water Systems over the next couple of years

Martha Matthew newest councillor for Simpcw First Nation

Martha Matthew was sworn in as a Simpcw First Nation Councilor at… Continue reading

Kelowna toddler suffers cracked skull after fall from balcony

Neighbour who found the two-year-old boy said he has a bump the size of a golf ball on his head

RCMP probe if teen was intentionally hit with ski pole by mystery skier on B.C. mountain

The incident happened on March 20 on Grouse Mountain. Police are urging witnesses to come forward

Support growing for orphaned Okanagan child after father dies in highway crash

Family thanks emergency crews for assistance in traumatic incident

Pipeline protester chimes in on Justin Trudeau’s B.C. fundraising speech

The government purchased the Trans Mountain pipeline and expansion project for $4.5 billion

Baby boom seniors putting pressure on B.C. long-term care: report

B.C. leads Canada in growth of dementia, dependence on care

UPDATED: B.C. man says he’ll take People’s Party lawsuit as far as he can

Federal judge shut down Satinder Dhillon’s ‘nonsensical’ motion to bar use of PPC name in byelection

Canada stripping citizenship from Chinese man over alleged marriage fraud

The move comes amid severely strained relations between Ottawa and Beijing

Nevada court orders former Vancouver man to pay back $21.7M to investors

The commission says Michael Lathigee committed fraud over a decade ago

Most Read