Stina Resources Ltd. (TSX VENTURE:SQA) has announced that it has contracted Lyntek Inc. of Denver, CO to prepare a management-oriented Conceptual Economic Study on its Bisoni McKay Vanadium Property in North-Central Nevada.
The scope of the study will be to develop an understanding of the Bisoni McKay project from a production perspective and contrast it to the vanadium market, attempting to understand the potential value of the project on a conceptual basis. This processing concept will define the likely draft flow sheet necessary to process the property ore and generate a vanadium product. A proposed plant location will be determined so capital and operating costs for the processing part of the operation can be estimated.
The study will also address infrastructure requirements for the project and make an estimate of the capital costs, operating costs, as well as those costs to develop the property from its current state. Additionally, a price for the vanadium product that would be generated will be developed and applied to an economic model so that a value for the project can be estimated.
This report will also address the following economic areas:
1) The vanadium industry and its mechanics
2) The marketing channels for vanadium to the steel and technology industries
3) Typical vanadium processing, and relative costs of production
4) The current demand, supply, regional and global vanadium inventories
5) Potential customer channels for vanadium in the present and future
6) How the Bisoni McKay property fits into the vanadium industry
The study will address the vanadium pentoxide and ferrovanadium industry in order to be able to assess the potential of the Bisoni McKay property and its relationship to global vanadium markets. It will also provide Company management with an internal opinion of how the Bisoni McKay project fits into the vanadium market, and a roadmap for the project.
Lyntek is a mineral processing engineering and construction company located in Denver, Colorado. Established in 1983, and its core business focus is within the natural resource and environmental remediation sectors. The Company specializes in several engineering products from feasibility studies to commissioning and start-ups.
The report is expected to take 6 to 8 weeks to complete.
Stina is also planning further metallurgical testing on oxidized, transition and carbonaceous material from Northern Section A at Hazen Research expanding on previously reported strong recovery results.
The Company recently announced a 2011 work program on its Dime Gold Property in the Yukon and will announce 2011 exploration plans for its Kodiak Gold Property in the Yukon soon as well.
Source: Stina Resources Ltd.