Equinox buys 100% of Van Stone mine

The Van Stone zinc project in northeastern Washington is now owned 100% by Equinox Resources (TSE). The property is 25 miles south of Cominco’s zinc smelter at Trail, B.C. Equinox recently paid the final US$650,000 of the US$1.05-million purchase price for the property, which includes a former-producing mine and 1,100-ton-per-day mill and other assets.

The company is currently arranging financing to raise about US$9 million for all capital costs required to place the mine into commercial production. An undisclosed party, which advanced $700,000 to Equinox to make the final property payment, is reported to be willing to provide funds for capital costs to augment bank financing (which is also under discussion).

Subject to completing the financing, Equinox expects to start construction in August, with commercial production of 34,000 tons of zinc concentrate and 5,400 tons of lead concentrate annually beginning early next year.

The Van Stone property, which can be reached by road, is near power, water and other facilities.

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