Silver Bear Resources Inc. ("Silver Bear" or the "Company") is pleased to announce that an order has been placed with CITIC Heavy Industries Co. Ltd. for a 500 kW (ø3.0 x 3.7 m EGL) ball mill for the Mangazeisky Silver Project. This is the first of the long lead process equipment items bought by Silver Bear's Russian subsidiary, ZAO Prognoz, and represents an important step toward silver production in 2016.
The mill has a nominal capacity of 110 kt/a, with spare capacity to increase throughput by 30% without loss in grind quality. The spare mill capacity mitigates the risk of a restricted production rate during periods in which particularly hard run of mine ore is processed. In line with Silver Bear's development strategy, the selected mill offers the opportunity to expand the process plant to accept additional ore feed from satellite deposits.
The mill will be designed in Australia, manufactured in CITIC's Chinese works in Luoyang and imported via Vladivostok in time to be shipped to site on the 2015/16 winter road.
Silver Bear has embarked on an aggressive project implementation program this summer and has already erected an 80 man dormitory, workshop and warehouse in the camp area on site. Preparation for the process plant foundation construction is underway and it is expected that the building footings and mill foundation will be complete before the end of the 2015 construction season.
Silver Bear's CEO, Graham Hill commented: "We are excited to be moving the Mangazeisky Silver Project forward and ordering the ball mill, a key long-lead item, is a significant milestone in the projects development. At this time the accelerated construction and mine plan for the Vertikalny deposit is progressing well and we are confident that the Company is in the position to meet its target of commissioning silver production by the second half of 2016."
Mr. Jacques du Toit, Pr.Eng., MSc.Eng., PMP of Tetra Tech are Qualified Persons under National Instrument 43-101 and have reviewed the scientific and technical information in this release.