TORONTO, Nov. 15, 2017 (GLOBE NEWSWIRE) — Liberty Silver Corp. (CSE:LSL) (“Liberty” or the “Company”) is pleased to provide an update on its progress regarding the Bunker Hill Zinc, Lead, and Silver Mine (“Bunker Hill”). The Bunker Hill Mine was the largest producing mine in the Coeur D’Alene zinc, lead and silver mining district in northern Idaho. Historically, the mine produced over 35M tonnes of ore grading on average 8.76% lead, 3.67% zinc, and 155 g/t silver (Bunker Hill Mines Annual Report 1980).
President and CEO, Bruce Reid, stated: “I am pleased with our progress in undertaking Bunker Hill Mine development activities. The size and scope of this endeavour necessitates a slow and systematic process.”
Highlights of Progress at Bunker Hill:
- Ongoing Development Activities: The groundwork is being laid for completion of a NI 43-101 resource estimate in Q2 2018.
- EPA: The Company and the EPA are currently in the final stages of documenting an agreement to pay for and operate a water treatment facility, and to indemnify the Company for all environmental liability related to activities by previous owners.
- Lease and Option to Purchase: Certain lease repayment terms have been re-negotiated.
Ongoing Development Activities at Bunker Hill
- Resource Estimate: The Company is currently digitizing existing data including level plans, drill hole and sampling assays. Discussions have begun with an independent engineering consultant regarding additional data requirements for a NI 43-101 resource estimate. Liberty expects to complete required drilling and channel sampling and to prepare a resource estimate during the second quarter of 2018.
- Processing Plant: Additionally, the Company has started identifying appropriate plants for both toll milling and owner-operated scenarios. Several possibilities are currently being evaluated.
- Smelters: The Company has been fielding numerous enquiries from both North American and internationally located smelters regarding the availability of future Bunker Hill concentrate for feed in their plants. Historically, the concentrate produced at Bunker Hill has been of high quality (good grades, no deleterious elements), and that is reflected in the amount of interest shown to-date from various parties.
The Company and the EPA are working together to document a previously agreed to arrangement whereby the EPA is compensated for past and future operation of the water treatment facility existing at the Bunker Hill Mine. In return for these payments by the Company to the EPA, the EPA will (a) provide the Company with a water use permit, the only permit required to initiate a mine re-start, and (b) A Consent Decree that will indemnify the Company for all historical environmental liability relating to past operating activities by previous owners.
The Company and the EPA are in advanced negotiations, and the general tone of the process has been exceedingly positive and cooperative. The Company looks forward to executing the final documents in the next several months, and to working together with the EPA as the Company re-starts and operates the Bunker Hill mine in an environmentally sensitive manner.
Lease and Option to Purchase
The vendor of Bunker Hill has been very supportive of the Company’s endeavours, and has agreed to a re-scheduling of certain upfront lease and acquisition payments, reflecting the conclusion of financing activities currently underway by the Company (see press release dated October 25, 2017).
Status of Name Change
The Company has recently taken all necessary corporate law steps to complete a name change of the Company to Bunker Hill Mining Corp. The remaining step is to obtain electronic eligibility for trading settlement under the new name which is expected in early 2018.
The technical information in this press release has been reviewed and approved by Peter Karelse P.Geo., a consultant to the Company, who is a Qualified Person as defined by NI 43-101. Mr. Karelse has more than 30 years of experience in exploration and development.
About Liberty Silver Corp.
Liberty has entered into a lease and option agreement to acquire the Bunker Hill Mine Complex. Information about Liberty is available on its website, www.libertysilvercorp.com, or in the SEDAR and EDGAR databases.
For additional information contact:
Bruce Reid, Chief Executive Officer
Nicholas Konkin, Marketing & Communications
Certain statements in this news release are forward-looking and involve a number of risks and uncertainties. Such forward-looking statements are within the meaning of that term in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, as well as within the meaning of the phrase ‘forward-looking information’ in the Canadian Securities Administrators’ National Instrument 51-102 – Continuous Disclosure Obligations. The forward looking statements made herein are based on information currently available to the Company and the Company provides no assurance that actual results will meet management’s expectations or assumptions with respect to, among other things, the ability of Liberty to successfully complete the acquisition of the Bunker Hill Mine Complex on the terms as announced or other satisfactory terms or at all, and fund the initial payments for which Liberty does not have funds at this time, the ability of Liberty to preserve its interests in the Trinity Silver Project which is dependent on the completion of a feasibility study, the Company’s present and future financial condition, the Company’s ability to secure financing, and the state of financial markets. Forward-looking statements include estimates and statements that describe the Company’s future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”, and may include statements regarding, among other things, the terms of the Bunker Hill Mine Complex acquisition and funding of the acquisition. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, results of exploration, project development, and the Company’s financial condition and prospects, could differ materially from those currently anticipated in such statements for many reasons such as: the inability of Liberty to successfully acquire the Bunker Hill Mine Complex on the terms as announced or other satisfactory terms or at all, and fund the payments for which Liberty does not have funds at this time; the inability of Liberty to complete a feasibility study pursuant to the terms of the Trinity Silver Project earn-in agreement; the inability of the Company to budget and manage its liquidity in light of the failure to obtain additional financing; the inability of the Company to develop or sustain an active public market for its securities; development of changes in general economic conditions and conditions in the financial markets; changes in demand and prices for precious metals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; operational difficulties encountered in connection with the activities of the Company; and other matters discussed in this news release. This list is not exhaustive of the factors that may affect any of the Company’s forward-looking statements. These and other factors made in public disclosures and filings by the Company should be considered carefully and readers should not place undue reliance on the Company’s forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.