Imperial puts Mount Polley up for auction

Another copper-gold deposit has been put on the block in British Columbia. Imperial Metals (TSE) recently announced it is considering outright vending of 100% of the Mount Polley project northeast of Williams Lake.

The company has been experiencing difficulties in arranging financing for the advanced project, despite being in receipt of a bankable feasibility study completed by Wright Engineers.

Mount Polley hosts preliminary reserves of 323 million tons grading 0.23% copper and 0.008 oz. gold per ton, based on a 0.2% copper equivalent cutoff grade. Minable reserves at the same cutoff grade are reported as 268 million tons grading 0.24% copper and 0.009 oz. gold, with a strip ratio of 0.7-to-1. The company said potential exists to expand reserves in the immediate vicinity of the pit, as well as in exploration targets identified elsewhere on the property.

Imperial also holds a 31% interest in Anglesey Mining, a British company which is developing the Parys Mountain mine project in North Wales. Funding has been arranged for the construction of an 850-tonne-per-day concentrator and additional underground development prior to full-scale production. Construction of the polymetallic mine is expected to begin in early 1992. Imperial also holds an interest in the Crow Butte uranium mine project in Nebraska — a joint venture. The company said grades are continuing to improve, and the operation has now reached production levels which make it self-sustainable despite low uranium spot prices.

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