Wallbridge Mining announced March 24 that it has reached a definitive custom milling agreement with Northern Sun Mining.
The agreement is for one year based on a minimum of 800 tonnes per day and milling is expected to begin June 30.
Broken Hammer is a copper, nickel and platinum group elements open-pit operation with an in-pit resource of 195,000 tonnes. Wallbridge’s board of directors green-lighted the project on March 18.
Wallbridge reports it has now drawn the remaining $1.24 million of its $2 million of credit facility with Callinan and is earmarking those proceeds for the mine’s initial capital requirements.
William Day Construction, Wallbridge’s contractor, will be mobilizing within the next two weeks with mine construction expected shortly thereafter.
Northern Sun’s Redstone mill will generate both a gravity concentrate and a floatation concentrate which will then be conveyed to copper smelters or refinery for further treatment.
The mining operation is expected to last 244 days, but the company is aggressively exploring its Wisner properties surrounding the Broken Hammer Mine. Geophysics and drilling have already been initiated on those sites.
Broken Hammer has an indicated reserve of 259,500 tonnes, grading 0.88 per cent copper, 0.1 per cent nickel, 2.32 grams per tonne (g/t) platinum, 2.1 g/t palladium, 0.77 g/t gold and 6.95 g/t silver.