Trevali exploration uncovers ‘tangible’ near-term value at Santander

TORONTO (miningweekly.com) – Canadian base metals miner Trevali Mining has expanded the Magistral zones at its flagship Santander zinc mine, in Peru, after the results of outstanding exploration drill holes from its 2015 exploration programme returned multiple high-grade zinc/lead/silver drill intercepts.

“Results from our 2015 exploration drill programme added very tangible, near-term value to our Santander operations. The modest planned 2016 exploration drill programme will seek to expand on these successes in addition to testing the deeper extents of the Magistral Central-Fatima zones,” stated president and CEO Dr Mark Cruise on Tuesday.

TSX- and Lima-listed Trevali’s 2015 exploration programme tested the deeper levels below the currently defined resources of the Magistral deposits, and the majority of the drill holes intersected zinc grades materially higher than those in current mining operations.

Exploration highlights included 11.2 m of 9.2% zinc and 1.4 oz/t silver at Magistral South-Central; 31 m of 6.5% zinc at Magistral South; and 19.3 m of 4.3% zinc, 1.99% lead and 3.5 oz/t silver at Magistral North.

The three Magistral deposits all remained open for expansion and the company believed that there was “very significant” resource potential remaining in all three zones where limited down-dip drilling had occurred.

Meanwhile, Trevali was focused on the ongoing commissioning and ramp-up of its Caribou zinc mine, in New Brunswick. Just last week the company had closed a C$14.95-million public offering to fund working capital for the project and to cover general corporate expenses.

Trevali had recently reported that, following zinc circuit modifications undertaken late-December and early January to the Caribou mill, year-to-date performance was exhibiting improved availability, utilisation, throughput and stability on a daily basis to achieve an average throughput of about 2 707 t/d in February. Importantly, the overall process inconsistency continued to decrease on a month-to-month basis.

Trevali planned to report its full-year 2015 financial results after market close on March 30.