Bear Creek to Further Optimize Corani Project, Peru

Bear Creek Mining Corp. (TSXV:BCM) reported that optimization studies at its Corani silver-lead-zinc deposit have found several design modifications that would enhance the performance of the project. These changes will be carried forward into the detailed engineering phase.

Highlights of the optimization study include:

The project optimizations are not expected to require a new Environmental and Social Impact study (‘ESIA’) and it is expected that the Corani project can be moved forward with modifications to the ESIA approved in September, 2013 (see News Release dated September 25, 2013). The modifications, targeting reductions in initial and sustaining CapEx while maintaining low OpEx (very low cash costs/ounce Ag on a by-product basis) and expected high annual silver output, include:

• In-pit tailings deposition beginning as early as year 5 of operations combined with dry-stacking filtered tailings at start-up, either eliminating the tailings dam requirement entirely or, at a minimum, reducing the footprint. This design, for which technology has advanced significantly over recent years, is expected to substantially reduce the CapEx while expected to only marginally increase OpEx. In addition to the economic benefits, permitting is expected to be facilitated by this design as the project footprint (impact area) will be reduced and mine-closure procedures and associated costs are expected to be reduced.
• Tailings pumping over the 22 year projected mine life are expected to be reduced or eliminated improving operating efficiencies and reducing OpEx, more than off-setting the expected increase in OpEx related to tailings filtration and dry stacking.
• Water demands will be reduced as opposed to conventional wet-tailings disposal, eliminating the need for a fresh-water storage dam, which is expected to reduce CapEx by as much as $30M.

Bear Creek Mining’s president and CEO, Andrew Swarthout, said:

The driving factor is that we can minimize, or even potentially eliminate, the tailings impoundment dam, which is the largest capital and sustaining cost item in the 2011 Feasibility Study. These opportunities are being verified by ongoing engineering test work and will be incorporated into the detailed engineering and revised mine plan immediately for preparation of an updated Feasibility Study, expected to be completed by year-end 2014. The improved project design, as well as enhancing the project economics, is also expected to facilitate permitting by defining a lower impact project.

Click here to read the Bear Creek Mining (TSXV:BCM) press release.