Highlights of the Taivaljärvi Silver Mine Project
| Location |
In the municipality of Sotkamo in eastern Finland, 475 kilometres from Helsinki |
| Geology |
Siliceous quartz porphyritic rocks interpreted as felsic volcanic rocks. Metamorphosed to felsic volcaniclastic rocks, including volcanic breccias; banded quartz-sericite-biotite schist and quartz-phyric crystal tuffs |
| Claim Area |
530 hectares, mining concession and environmental permit process started in March 2009 |
| Discovered |
1980 |
| Drilling |
Approx. 51 000 metres surface and underground drilling |
Mineral Resource Estimate for the Taivaljärvi Ag-Zn-Pb-Au Deposit as at 14/12/11
(in accordance with the Guidelines of the JORC Code [2004]) (50g/t Ageq COG Applied)
| Classification |
Tonnes |
AgEq
g/t |
Silver
g/t |
Zinc
% |
Lead
% |
Au
g/t |
| Measure Resources |
1 374 000 |
133 |
96 |
0,70 |
0,36 |
0,30 |
Indicated Resource
|
2 148 000 |
123 |
87 |
0.73 |
0.34 |
0,25 |
| Inferred Resource |
1 481 000 |
127 |
96 |
0.70 |
0.26 |
0,25 |
|
Modelling of the mineralisation has been carried out based on a silver metal equivalent (Ageq). The parameters used to derive the Ageq are shown in the table below with the equivalent factors derived using the formula:
eq Factor= (metal unit price*(metal recovery/100))/(Ag unit price*(Ag recovery/100))
The actual Ageq values were calculated into the drill hole database and the subsequent block model based on the formula:
Ageq=Ag+(Au*Au factor)+(Pb*Pb factor)+(Zn*Zn factor) (see page: Resource_estimate)
Classification based on the average anisotropic distance measured for each block during
the first constrained interpolation with 100 m max search axis range. Blocks were then
classified by the number of samples available and by the average anisotropic distance to
the samples. All blocks with the maximum amount (15) of samples and with the average
anisotropic distance =/< 20 m belong to class 1. All blocks with the maximum amount of
samples and with the average anisotropic distance 20-30 m belong to class 2. All other
blocks inside resource solids belong to class 3.
Mineral Resources and Ore Reserves Reports »
Earlier works
-
Extensive exploration and mine technical planning were already completed by the previous operators (Outokumpu Oy and Kajaani Oy)
-
Approximately 15-20 million Euros has been spent on project development
-
Underground mine access and ventilation shaft are completed
-
Total surface and underground drilling ca. 51 000 m
-
NI 43-101-compliant mineral resource estimate completed
-
Resources could be significantly increased with an additional drilling progamme
-
Environmental baseline study is completed
-
No environmental risks that would prevent or slow down the construction of the mine were found
-
Excellent infrastructure in the area (good road network and access to electricity)
-
Production could start within three years
-
Good quality concentrates attainable via standard flotation method
-
Production of 4 metals: Ag, Au, Zn and Pb provide additional security against metal price fluctuations
2010-2011 WORKS COMPLETED
-
20 kV power line, about 1 500 m
-
Dewatering, maintenance and ventilation of the mine tunnel
-
Latetst Jorc -compliant mineral resource estimate completed in December 2011
-
Pilot processing test completed, excellent results; recovery of silver and
gold into silver- and zinc-concentrates > 86%
-
Mining Concession process completed, license granted in 2011
-
Preliminary capex, opex, cash-flow and NPV-calculations were completed in 2007-2008
-
Surface and underground drilling, in 2010 11 holes and in 54 holes in
2011, totalling to 6200 meters, Yotal amount of drilling 51 000 meter
-
Increase quantity and improve quality of mineral resources
TO BE COMPLETED
Sotkamo Silver AB
