Business
Liberty to Re-Start the Redstone Nickel Mine and Corporate Update
Liberty to Re-Start the Redstone Nickel Mine and Corporate Update
About this update from Electric Metals Usa Limited
[{"type":"text","content":"\nLiberty to Re-Start the Redstone Nickel Mine and Corporate Update\n\n\n Aug. 17, 2009 (Filing Services Canada) -- Liberty Mines Inc. (LBE - TSX), (\"Liberty or the Company\") is pleased to announce that it plans to re-commence production from the Redstone nickel mine near Timmins Ontario by August 24, 2009. The mine has been on care and maintenance since October 31, 2008. A Notice of Project Status to commence development and production was recently filed with the Ministry of Northern Development Mines and Forestry. Development to the 488m level was completed in August 2008 enabling access to the resource above that level. The mineralization was previously mined by shrinkage stoping at a reported production rate of 208 tonnes per day in 2008. Management is investigating other mining methods to safely increase the production rate and lower the cost of production. Crews will work in conjunction with the McWatters mine so as to optimize the manpower as needed at both mines. The continuity of the operations at the Redstone mine is sensitive to the price of nickel so the short term goal will be to provide sufficient mineralization for start-up of the Redstone nickel concentrator by September 15, 2009. Ramp development at McWatters is progressing and mine planning has been completed. It has been determined that sublevel caving is the mining method of choice to maximize safety and minimize costs. Removal of the crown pillar maximizes tonnage and can be achieved with either sublevel caving from below or from above, with a small open pit to approximately 45m below surface. The feasibility study scheduled to be released in late September will provide the mining details and economics of the deposit. Applications to amend the Closure Plan and obtain a new Permit to Take Water are in progress to allow for the taking of the crown pillar. Production from underground mining is on schedule for November 2009 and the surface pit is scheduled for the same time frame, subject to the receipt of approved permits as noted.Corporate DevelopmentsJilin Jien Nickel Industry Co.,Ltd. (\"JJNICL\"), Liberty's strategic partner and major shareholder, has agreed to allow all concentrate from the Redstone mill to be shipped to Xstrata Nickel in Sudbury to maximize payment for metal credits from copper, cobalt and platinum group metals. Once Liberty can pay JJN...