Wallbridge Mining Company has signed a milling agreement with Northern Sun (formerly Liberty Mines).
Through the agreement, which takes effect Feb. 7, 2014, Wallbridge will truck ore taken from the company’s Broken Hammer project in Sudbury to Northern’s Redstone concentrator in Timmins for processing.
“We are excited to have completed another important step towards the development of the Broken Hammer deposit,” said Marz Kord, president and CEO of Wallbridge, in a news release. “Most permits are in place and negotiations with copper smelters and mining contractors are going well. Once these other facets of the project are in place, which is expected to be in early 2014, a production decision will be made to start construction in March 2014 with the expectation of ore delivery in May 2014, immediately after the half-load restrictions in Northern Ontario are lifted."
Kord said he expects the project to proceed late in the first quarter of 2014, and the company would start generating cash flow in the second quarter, which would be put towards exploration opportunities at Broken Hammer and other Sudbury projects.
The agreement with Northern came about when discussions with other milling facilities in Sudbury didn’t produce a result.
Broken Hammer is primarily a copper and platinum group elements deposit. The decision to use Northern Sun's Redstone Mill is based on positive preliminary results of a metallurgical study currently being completed at Xstrata Process Support. This study is expected to be completed before year’s end.
