Canada Silver talks recent developments at Castle
Canada Silver Cobalt Works Inc. has provided an update on strategic developments using a proven business model in the Cobalt camp to achieve production that was employed by successful mining companies like Teck Corp., Noranda and Agnico-Eagle Mines, all of which had their roots in the Cobalt camp.
Highlights of Strategic Developments
- Discovered high-grade silver mineralized structures – the first and only major discovery in the Historic High-Grade Silver Cobalt Camp in the last 50 years. Ongoing 50,000-meter drilling program.
- Poured a silver bullion bar using the furnace at Temiskaming Testing Labs from the metallics screened from the high-grade silver-cobalt material of the Castle Silver Mine. Completed the purchase of former Provincial Government’s 20,000 square foot Temiskaming Test Labs (TTL) – a complete analytical lab facility and plant for processing high-grade silver into bullion silver bars.
- Used the Re-2Ox hydrometallurgical process to produce battery-grade cobalt sulfate. From the same high-grade silver-cobalt material as above, SGS Canada, a Top-tier global service provider to the mining industry, recovered 99 percent of the arsenic.
- Canada Silver Cobalt is the first company to produce battery-grade Cobalt-sulphate and to recover the arsenic – and the only company in the Cobalt Camp to have done so. Cobalt and Arsenic are 2 of the 35 minerals deemed critical to U.S. National Security and the Economy (www.usgs.gov).
Canada Silver Cobalt is the first Company to make a major high-grade silver discovery in Ontario’s 180-kilometer arcuate regional mining district stretching from Gowganda to Silver Centre in the past 50 years. Material from narrow, massive native silver veins was crushed and screened to produced 90 percent pure metallics silver and was then melted and poured using the furnace at TTL directly into a bullion bar. The Company boasts the highest inferred silver resource in the world with 7.5 million ounces at 250 ounces per ton (8,582 g/t).
An upgrade of both the assay lab and high-grade silver processing circuit in the plant has been completed. To ensure regulatory impartiality, the company has engaged a contract lab operator to operate the lab independent of the company. Trial assays are set to begin in June with an aim to attain a 6000-assay per month analytical lab capacity. The secondary crushing and screening circuit in the high-grade silver plant has been rebuilt with a processing capacity rated at 18-20 tonnes per hour. In addition, the bullion furnace has been relined to ensure a fresh and seamless start.
The company has engaged with community members, with municipal, provincial, and federal government officials, with local stake holders, and with five distinct First Nation Communities with three separate agreements in place. The company is proud to be one of only a few that has had a First Nations member as an active director on the Board since 2015.
Highlights of On-going, Real-Time Developments
- First and only company in the Cobalt Camp to open up an adit and drill underground in the past 40 years; rehabilitate the first level and set up the former mine shaft for dewatering; conduct a pumping test at the Shaft dewatering at 50,000 liters per day; apply for permits for bulk sample mining of mineralized material in open stopes; purchase scoop tram and related mining equipment to begin mining program once permits received. Company confirmed the presence of High-Grade Silver and Cobalt veins left unmined underground which is considered a source of primary feed using a proven, low-cost, successful business model for going into production in the Cobalt Camp by residual mining.
- Completed mill flowsheet for 600 tpd gravity-flotation Mill with planned initial mill location to be on historic mill footprint. Having identified multiple mineralized vein structures in that area, the proposed mill site was relocated to more proximal to the proposed ramp into the Robinson Zone. On-going drilling to locate a potential non-mineralized area for mill site.
- Conceptual ramp to Robinson High-Grade Silver Zone completed by mining consultant. Environmental studies to be completed first quarter 2022.
- Beaver stamp mill tailings drilled and sampled. Permit for testing Castle Tailings received and drill program to be scheduled. On-going test work at SGS on Beaver Tailings is producing excellent preliminary grades and recoveries.
- On-going bench test work using the Re-2Ox process is proceeding at SGS on secondary feeds consisting of spent Lithium-ion batteries, Nickel-Cadmium batteries, and metal-hydride batteries. SGS has been retained to build the Re-2Ox pilot plant at their laboratory at Lakefield, Ontario.
“The Company has multiple, ongoing, real-time developments facilitating the ability to make a production decision ahead of the final resource calculation aided by continuous drill programs” Frank J. Basa, P.Eng., CEO of Canada Silver Cobalt Works comments. “The company is well-poised, with all the key parameters in place, when the decision will be undertaken to pour silver bullion bars and produce battery metals from either primary mine feed or from recycled spent batteries. We have demonstrated that we can find high-grade mineralized vein structures, recover it, process it and produce final end-products for market.”
The company is well aware of the process economics to develop a successful mining company and employs proven historical business models that have worked in the Cobalt Camp for decades. The company is developing three sources of primary feed concurrently; these being stamp mill tailings, Castle Silver Mine residual recovery of broken mineralize material in the stopes underground, and from unmined, mineralized veins and the greenfield discovery at the Robinson Zone. Secondary feeds would include complex flotation concentrates from other mines and from spent electric batteries.
Golden Predator’s Lee-Sheriff sues over public berating
A far-from-friendly exchange of words at the annual Vancouver Resource Investment Conference in 2020 has resulted in a lawsuit being filed in the Supreme Court of British Columbia. Janet Lee-Sheriff, the chief executive officer of Golden Predator Mining Corp., claims that a Yukon government official berated her in front of attendees at her company’s booth. Among other things, the official allegedly called her a liar and told her husband to “get your f**king wife under control.”
The allegations are contained in a notice of claim that Ms. Lee-Sheriff filed at the Vancouver courthouse on May 14, 2021. The suit names as defendants the Government of Yukon and the territory’s former chief mine engineer, Paul Christman. The case centres around statements that Mr. Christman made during the Vancouver Mining Resource Investment Conference on Jan. 19, 2020.
According to the suit, the problems arose as Ms. Lee-Sheriff was telling a group of attendees about Golden Predator’s Brewery Creek project in the Yukon, telling them that the company held a mining licence, among other things. Mr. Christman challenged the statements, accusing Ms. Lee-Sheriff of spreading misinformation about the company’s licence, the suit states. The manner in which he did so, as described in the suit, was far from polite. He loudly stated, “you lie, you are a liar,” according to the suit.
Ms. Lee-Sheriff says that she approached Mr. Christman and suggested they resolve his concerns elsewhere. She then led him to the Golden Predator booth, where she claims that he continued to berate her. He accused her of misleading the public and said that she was not fully disclosing the “realities of what was going on” with the Brewery Creek licences. “You don’t have what you claim, you don’t have a licence to operate,” he allegedly said.
As he was discussing the matter, Mr. Christman used his “large frame” to intimidate Ms. Lee-Sheriff, invaded her personal space and used aggressive gestures, the suit claims. Ms. Lee-Sheriff says she that eventually left the area, but Mr. Christman continued to “loudly and publicly” berate her, making false statements about her and Golden Predator with several attendees nearby. One of those within earshot was Ms. Sheriff’s husband, Golden Predator chairman Bill Sheriff. According to the suit, Mr. Christman told Mr. Sheriff to “get your f**king wife under control.”
In legal terms, Ms. Lee-Sheriff says that Mr. Christman’s statements were defamatory. Among other things, onlookers would have understood that Golden Predator did not hold valid licences for its Brewery Creek mine and that Ms. Lee-Sheriff was lying and intentionally misleading the public. They would also have understood that she was hiding nefarious, damaging or negative news, the suit claims.
On top of that, Mr. Christman left the impression that Ms. Lee-Sheriff was out of control and “in need of husbandly assertion of authority to reign in the independent thoughts and statements of an unruly spouse.” Moreover, onlookers would have understood that executive leadership of Golden Predator was misguided, hysterical, dishonest, emotional, aggressive and otherwise incompetent, the suit claims.
None of this was true, according to the suit. Golden Predator says that its licences for Brewery Creek were valid. (The company purchased the mine from a prior operator, with the mine already having the permits. Golden Predator says that the government confirmed the validity of those permits in 2019.)
Ms. Lee-Sheriff claims that she has suffered damage to her character, credit and reputation. She also says that she suffered embarrassment and distress. According to the suit, she sent Mr. Christman an e-mail three days later, inviting him to apologize. He has failed to do so.
The suit seeks a court order that would bar Mr. Christman from having any involvement with Golden Predator’s licensing (a largely moot request, as he no longer works as the territory’s chief mine engineer). The suit also seeks an independent review of Mr. Christman’s work on all matters related to Golden Predator.
Vancouver lawyer Ross McGowan of Borden Ladner Gervais LLP filed the lawsuit on behalf of Ms. Lee-Sheriff and Golden Predator. Mr. Christman has not yet filed a response.