Tirex Resources has received the official seal from the Albanian Ministry of Economy, Trade and Energy to convert its 6 exploration licenses in the region to 25 year mining licenses, paving the way for near term production.
The 6 specific areas for which conversion to exploitation licenses has been ordered with immediate effect are located in the Mirdita volcanogentic massive sulfide district.
VMS deposits are a type of metal sulfide ore deposit and are created by volcanic associated hydrothermal events in submarine environments. The licenses encompass the deposits known as Fushe Arrez, Qafe Bari, Tuc, Paluce, Gurth 1 and Gurth 2, Gurth 3 and Letitna.
Tirex received the official notification of the ministry's decision and was signed by the Republic of Albania's Deputy Prime Minister and Minister of Economy, Trade and Energy, Minister Edmond Haxhinasto. The decision was taken after a careful and detailed review of the company's exploitation license applications.
Mining operations in these six areas is expected to create employment, infrastructure growth and economic development in northern Albania. The company already has a partnership agreement relating to copper, gold and silver production from the 6 areas for which it was granted a mining license, meaning it can fast track to production without corresponding share dilution. Initially, the partnership is targeting 500 tonnes per day of production with a target to ramp up to 2,000 tonnes per day of production after 2 years.
Mr Bryan J Slusarchuk CEO of Tirex Resources said that "Our guys on the ground in Albania have done such a good job on this and we couldn't be more excited to be now moving toward production since first applying for the licenses 14 months ago. An update to markets on a more detailed copper, silver and gold production profile should be expected in the next few weeks. All the licenses for the 6 different areas are for 25 years. This gives us longevity and staying power in Albania, allowing us to invest in the development of the company."
Mr Slusarchuk said that team members are already on the ground, with production 100% focused on the six areas for which mining licenses were granted. Obviously our story is unique in that we have targeted production without the corresponding share dilution normally associated which such a transition.”
The mineral explorer and now near term producer said mill capacity is already available for the first phase with the mill fully constructed and operational. Output will initially started in Tirex's Tuc deposit area through a trackless mining system using a transverse long hole sublevel retreat mining method.
Mr Mr Slusarchuk said that exploration still makes up a big part of Tirex and since Tirex is fully funded for production any future funds raised will go toward exploration.So far, Tirex has invested USD 25 million into its exploration of the Mirdita District. Prior results released by the company at Mirdita include intercepts of 65 meters of 0.6% copper, 9.0% zinc, 48.4 grams per tonne silver and 2.7 gram per tonne gold.
Results also included 7.7 meters of 5.23% copper, 1.84% zinc, 57.0 gram per tonne silver and 4.6 gram per tonne gold. Excluding work done at the six areas now approved to transition into mine production, the company has more than 40 high priority geophysical targets in the exploration permit application stage.
He said that this is a significant day not only for Tirex shareholders but also for the local communities in northern Albania that will benefit from this decision to grant all six mining licenses to Tirex as applied for. The company was very fortunate to receive the unanimous support of the communities near the company's operations.
Source - Proactive Investors
(www.steelguru.com)
