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Bunker Hill Mining
Re-commissioning One of the World’s Largest Lead-Silver-Zinc Mines
Bunker Hill Mining (CSE:BNKR) is implementing an ambitious plan to re-commission one of the largest silver-lead-zinc mines in the Americas not in production. The Bunker Hill Mine is located in one of the most storied silver mining belts in North America, the Coeur d’Alene Mining District in Idaho’s Silver Valley. Coeur d’Alene contains a number of past-producing mines including Lucky Friday, Galena, Sunshine and Crescent. The district has a 115-year history of lead, zinc, silver and copper production, much of it taking place in shafts several thousand feet deep.
The jewel in the Coeur d’Alene crown is the Bunker Hill Mine—the oldest and largest producer in the valley. The mine is the largest lead-silver zinc advanced development project in the Americas not currently in production. Between 1887 and 1981 the mine produced 35,944,000 tonnes of ore, with lead grades of 8.76 percent, 3.76 percent zinc, and 4.53 ounces per tonne silver.
Bunker Hill Mining has a definitive agreement with Placer Mining Corp to acquire the Bunker Hill Mine Complex, including all mining rights and claims, underground equipment and infrastructure, and most machinery and buildings.
In March 2018, Bunker Hill announced that it had signed an agreement with the United States Environmental Protection Agency (EPA) and the Department of Justice, under which Bunker Hill was provided with full rights of operatorship on the project. The granted rights also remove all liability with regards to hazardous substances, pollutants or contaminants that migrated from the mine in the past. Under the agreement, the company will pay the EPA $20 million over a seven year period as well as semi-annual payments of $480,000 for ongoing water treatment costs incurred at the EPA’s central treatment plant.
“This agreement with the United States EPA and Department of Justice provides Bunker Hill or a subsidiary with the ability to operate the Bunker Hill Mine,” said Bunker Hill President and CEO Bruce Reid. “We can now accelerate the work required to re-open the mine. We will work together with the EPA to operate the mine in a way that will provide economic benefits for the local community in an environmentally prudent fashion.”
The company is planning a drill program to confirm the historical grades with intent to produce a NI 43-101 complaint resource estimate on the Bunker Hill Mine project by the mid 2018. The company is also in the process of identifying the appropriate processing plant for both toll milling and owner-operated scenarios.
Bunker Hill Mining is led by Bruce Reid, who has deep experience as a mine developer, including in the Silver Valley. Other members of the management team who have worked in the Coeur d’Alene Mining District include Chief Geologist Arthur Campo, Chief Financial Officer Julio DiGorolamo and Director John Ryan.
- SEC compliant Proven & Probable Reserves*: 9.1M tons @ 5.08% Zn, 2.35% Pb, 1.29 opt Ag.
- Past Producer – Proven Metallurgy: The Bunker Hill Mine produced over 35M tons of ore grading 8.76% lead, 3.67% zinc, and 155 g/t silver. Zinc and lead concentrates are very clean with no deleterious elements.
- Fully Permitted: Patented ground and EPA agreement.
- Developed: Near term access to +5 years of mineable material at 1,500 tpd.
- High grade zones: > 20% combined Pb/Zn.
- Experienced Management: operated the nearby Galena Mine.
- Excellent Infrastructure/Geopolitical Risk: paved road access, low cost power, water, skilled labour, mining services, Idaho is mining friendly and a “Right to Work” state.
- Virtually Unexplored: Historically no systematic drill programs based on understanding of structural/stratigraphic control of mineralization.
*SEC Compliant Resource not to be considered NI 43-101 compliant
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