CMC Metals Ltd. - Canada's Newest Silver Producer Set to Come Online

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Mining Sector: Investment Advisory for CMC Metals Ltd. (TSX-V: CMB) • The risk-reward characteristics are highly advantageous for investors establishing a long position in CMB.V as the current market cap of CMB.V relative to the inherent value of their advanced stage high grade Yukon properties seem disproportionate. CMB.V appears undervalued with only ~30M shares outstanding and trading under CDN$0.25. CMC Metals Ltd. 100% owned Silver Hart mine and mill is set to come online in Q2 2010, making CMB.V Canada's newest long term debt free unhedged silver producer.

Mining MarketWatch Journal has published a review on CMC Metals Ltd. (TSX VENTURE: CMB). The review offers insight and opportunity afforded investors as the CMC Metals 100% owned Silver Hart mine and mill is set to come online in Q2 2010, making CMB.V Canada's newest long term debt free unhedged silver producer. Their prefabricated 80-tonne-per-day mill (upgradeable to 300TPD with additional permitting and nominal improvements) is at 75% completion with a delivery date expected this fall and in spring 2010 should begin processing ore from the TM zone where the above ground component is expected to yield 1100g/t of silver and 7.5% lead & zinc -- CMB.V has calculated a breakeven silver cost of USD$4.45/oz with base metals credited towards operating expenses. The current resource at Silver Hart is 9,000,000 oz of silver, 17.6M lb lead and 58.6M lb zinc in three zones, all of which are readily open for expansion. The mill will produce an estimated 1,000,000+ ounces of silver per annum and cash flow expansion of the resource and other nearby silver projects without further dilution to the share structure.

The full review and valuation commentary may be found at: http://miningmarketwatch.net/cmb.htm online.

Silver Hart Silver Mine and Mill, Yukon, Canada
100% owned • Production to commence in Q2 2010
The Silver Hart property is located in south central Yukon, Canada in an area that contains numerous epithermal silver-rich vein and replacement style deposits. Access to the property is by a 42 kilometer all weather access road, 132 kilometers west on the Alaska highway from the community of Watson Lake. The property is comprised of 126 claims, covering and area of 2142 hectares.

In the mid 1980s the Silver Hart property was significantly advanced, to the point where the former owners had began the permitting process to take it to production, but for matters unrelated to the merits of the property the project was put in abeyance until 2005. With the assistance of well-heeled principles of CMC Metals Ltd. the Silver Hart project was acquired for the benefit of shareholders according to the aforementioned plan and now after a few years of added exploration and development that plan is now at the point of fruition and ready for production.

Silver Hart is a high grade silver property averaging over 56.5 ounces silver per ton (1930g/t). The current resource at Silver Hart is 9 million oz of silver, 17.6 million lb's lead and 58.6 million lb's of zinc in the three zones and CMC Metals is now in the advanced permitting stage on the project. By early October 2009 the Yukon Environmental and Socio-economic Assessment Board (YESAB) is expected to give CMB.V their development permits. CMB.V has already performed improvements in support of development side including mill pads, pressure area pads, the pit is completely stripped open, and about 1500 tonnes of ore containing over an estimated USD$1,000,000 of metal is stockpiled. An eight module prefabricated 80-tonne-per-day (TPD) mill is being constructed in Nevada with a delivery date expected this fall and there is the potential to increase the mill rate to 300 TPD with additional permitting and nominal capex.

The mill is currently ~75% complete. There are several advantages to modular prefabrication in that it gives quick up time for commissioning the mill, taking only ~30 days to mobilize the mill, and at the end it also allows CMB.V to decommission the site quickly and reuse that capital asset on another project.

There are several rate determining steps in the process of gaining the operating permit. Logistically the water permit takes six months after which the operating license can be issued. For cost efficiency the final mobilization will take place once spring thaw goes through, thus by the end of Q2 CMB.V will be in full production.

The first zone to be surface mined will be the 'TM', which contains an estimated high grade silver resource of 6.5 million ounces, 11.5 pounds of lead and 19.9 million pounds of zinc. During the first two years 50,000 tons of ore will be mined by open pit methods prior to beginning operations below ground. The mill runs all year long however the actual mining season is ~150 days/year, sufficient ore is stockpiled in that period. The above ground component is expected to yield on average 1100gpt of silver and 7.5% lead and zinc. The company has calculated a breakeven silver cost of USD$4.45 per ounce with base metals credited towards operating expenses ($4.45/oz cash cost of silver produced is net of smelter costs, labour, materials, and supplies). Silver Hart is 100% owned and there is no royalty/NSR.

To date over $8.5 million has been spent on exploration and infrastructure development on the Silver Hart property - this includes over 8,834 m of drilling. The current resource at Silver Hart is 9 million oz of silver, 17.6 million lb's lead and 58.6 million lb's of zinc in the three zones (TM, S, and KL zones).

Strong Resource Expansion Potential
There is strong resource expansion potential as there are over 20 known mineralized trench showings with visible massive galena, with only three of the twenty zones having been drill developed so far. Even the TM zone is open for resource expansion as CMB.V does not know the depth of what the veins go; CMB.V will need to do some deep drilling and determine if it makes economic sense to ramp down when they go underground and start mining some of the deeper veins. Also the S zone is a stack fault that parallels the TM to the northeast and other trenches that have visible massive galena showings with some drilling plus surface trench sampling include the F, M, B, K, and KL zones. CMC has systematically drilled the F, M, some of the K, and the KL zones to confirm the historical data and to expand the strike length on the KL and M zones. All of the above zones are open in all directions. There are also several linear geochem anomalies that haven't been trenched or drilled to determine the extent of mineralization. The linear anomalies also coincide with the same azimuth as the other known mineralized fault zones. In the G-alpha zone which is ~1000 metres north of the TM zone a slightly different depositional type of vein system exists and there CMB.V management believes it too will offer several years worth of mining of high grade silver along with lead and zinc.

This release may contain forward-looking statements regarding future events that involve risk and uncertainties. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual events or results. The term investment advisory refers to the fact the reader is being advised there is a publication on an item that is also an investment, and not advice to buy or sell. Articles, excerpts, commentary and reviews herein are for information purposes and are not solicitations to buy or sell and of the securities mentioned. Readers are referred to the terms of use, disclaimer and disclosure located at the above referenced URLs.

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