CORANI-mineria

This morning, the Peruvian silver developer, Bear Creek Mining (BCM:TSXV), announced that it has received its Environmental and Social Impact Assessment (ESIA) for the company’s Corani silver-lead-zinc project.  The company will now complete detailed engineering and submit construction permits for the project.  This approved ESIA comes less than one month after the company submitted responses to the Peruvian authorities.  Corani consists of 270 million ounces of silver, 3.1 billion pounds of lead and 1.7 billion pounds of zinc.  Corani is intended to produce 13 million ounces per year at a negative cash cost of $0.45 per ounce net of credits, for the first 5 years of production.

Here's the release: Bear Creek Announces Approval of Corani ESIA

BCM Chair Catherine McLeod-Seltzer

BCM Chair Catherine McLeod-Seltzer

Bear Creek’s plans of internally financing Corani were shattered when the company’s mining rights were revoked by the Peruvian authorities on their Santa Ana project in mid-2011.  The company planned on bringng the smaller Santa Ana project into production which would generate enough cash flow to substantially help finance the development of Corani.  Bear Creek has just shy of $60 million in cash, which will only put a small dent in the $570 million of estimate initial capital required.  That said, the company is led by one of the smartest management teams around and is captained by company Chairman Catherine McLeod-Seltzer who has been involved in over $4 billion in corporate mining transactions, so don’t be surprised if they sell the company.