COQUITLAM, BC, May 19, 2021 /CNW/ - Canada Silver Cobalt Works
Inc. (TSXV: CCW) (OTC: CCWOF) (Frankfurt: 4T9B) (the "Company" or "Canada
Silver Cobalt") is pleased to provide an update on strategic
developments using a proven business model in the Cobalt Camp to
achieve production that was employed by successful mining companies
like Teck Corp, Noranda, and Agnico-Eagle Mines, all of whom had
their roots in the Cobalt Camp.
Highlights of Strategic Developments
- Discovered high-grade silver mineralized structures - the first
and only major discovery in the Historic High-Grade Silver Cobalt
Camp in the last 50 years. Ongoing 50,000-meter drilling
program.
- Poured a silver bullion bar using the furnace at Temiskaming
Testing Labs from the metallics screened from the high-grade
silver-cobalt material of the Castle Silver Mine. Completed the
purchase of former Provincial Government's 20,000 square foot
Temiskaming Test Labs (TTL) - a complete analytical lab facility
and plant for processing high-grade silver into bullion silver
bars.
- Used the Re-2Ox hydrometallurgical process to produce
battery-grade cobalt sulfate. From the same high-grade
silver-cobalt material as above, SGS Canada, a Top-tier global
service provider to the mining industry, recovered 99 percent of
the arsenic.
- Canada Silver Cobalt is the first company to produce
battery-grade Cobalt-sulphate and to recover the arsenic – and the
only company in the Cobalt Camp to have done so. Cobalt and Arsenic
are 2 of the 35 minerals deemed critical to U.S. National Security
and the Economy (www.usgs.gov).
Canada Silver Cobalt is the first Company to make a major
high-grade silver discovery in Ontario's 180-kilometer arcuate regional
mining district stretching from Gowganda to Silver Centre in the past 50
years. Material from narrow, massive native silver veins was
crushed and screened to produced 90 percent pure metallics silver
and was then melted and poured using the furnace at TTL directly
into a bullion bar. The Company boasts the highest inferred silver
resource in the world with 7.5 million ounces at 250 ounces per ton
(8,582 g/t).
An upgrade of both the assay lab and high-grade silver
processing circuit in the plant has been completed. To ensure
regulatory impartiality, the company has engaged a contract lab
operator to operate the lab independent of the company. Trial
assays are set to begin in June with an aim to attain a 6000-assay
per month analytical lab capacity. The secondary crushing and
screening circuit in the high-grade silver plant has been rebuilt
with a processing capacity rated at 18-20 tonnes per hour. In
addition, the bullion furnace has been relined to ensure a fresh
and seamless start.
The company has engaged with community members, with municipal,
provincial, and federal government officials, with local stake
holders, and with five distinct First Nation Communities with three
separate agreements in place. The company is proud to be one of
only a few that has had a First Nations member as an active
director on the Board since 2015.
Highlights of On-going, Real-Time Developments
- First and only company in the Cobalt Camp to open up an adit
and drill underground in the past 40 years; rehabilitate the first
level and set up the former mine shaft for dewatering; conduct a
pumping test at the Shaft dewatering at 50,000 liters per day;
apply for permits for bulk sample mining of mineralized material in
open stopes; purchase scoop tram and related mining equipment to
begin mining program once permits received. Company confirmed the
presence of High-Grade Silver and Cobalt veins left unmined
underground which is considered a source of primary feed using a
proven, low-cost, successful business model for going into
production in the Cobalt Camp by residual mining.
- Completed mill flowsheet for 600 tpd gravity-flotation Mill
with planned initial mill location to be on historic mill
footprint. Having identified multiple mineralized vein structures
in that area, the proposed mill site was relocated to more proximal
to the proposed ramp into the Robinson Zone. On-going drilling to
locate a potential non-mineralized area for mill site.
- Conceptual ramp to Robinson High-Grade
Silver Zone completed by mining consultant. Environmental
studies to be completed first quarter 2022.
- Beaver stamp mill tailings drilled and sampled. Permit for
testing Castle Tailings received and drill program to be scheduled.
On-going test work at SGS on Beaver Tailings is producing excellent
preliminary grades and recoveries.
- On-going bench test work using the Re-2Ox process is proceeding
at SGS on secondary feeds consisting of spent Lithium-ion
batteries, Nickel-Cadmium batteries, and metal-hydride batteries.
SGS has been retained to build the Re-2Ox pilot plant at their
laboratory at Lakefield,
Ontario.
"The Company has multiple, ongoing, real-time developments
facilitating the ability to make a production decision ahead of the
final resource calculation aided by continuous drill programs"
Frank J. Basa, P.Eng., CEO of Canada
Silver Cobalt Works comments. "The company is well-poised, with all
the key parameters in place, when the decision will be undertaken
to pour silver bullion bars and produce battery metals from either
primary mine feed or from recycled spent batteries. We have
demonstrated that we can find high-grade mineralized vein
structures, recover it, process it and produce final end-products
for market."
The company is well aware of the process economics to develop a
successful mining company and employs proven historical business
models that have worked in the Cobalt Camp for decades. The company
is developing three sources of primary feed concurrently; these
being stamp mill tailings, Castle Silver Mine residual recovery of
broken mineralize material in the stopes underground, and from
unmined, mineralized veins and the greenfield discovery at the
Robinson Zone. Secondary feeds would include complex
flotation concentrates from other mines and from spent electric
batteries.
Location
The Castle Property is 15 km east of Aris Gold Corp's Juby gold
deposit, 30 km due south of Alamos Gold's Young-Davidson mine, 75 km southwest of Kirkland Lake Gold's Macassa Complex, and 100 km
southeast of new gold discoveries in the Timmins West
area.
Qualified Person
The technical information in this news release was prepared
under the supervision of Frank J Basa, P.Eng., CEO of Canada Silver
Cobalt Works Inc., a qualified person in accordance with National
Instrument 43-101.
About Canada Silver Cobalt Works Inc.
Canada Silver Cobalt Works released the first-ever resource in
the Gowganda Camp and greater Cobalt Camp in May 2020. A
total of 7.56 million ounces of silver in Inferred
resources comprising very high-grade silver (8,582 grams per
tonne un-cut or 250.2 oz/ton) in 27,400 tonnes of material
from two sections (1A and 1B) of the
Robinson Zone beginning at a vertical depth of approximately 400
meters were identified. The discovery remains open in all
directions (1A and 1B are
approximately 800 meters from the east-trending Capitol Mine
workings) (mineral resources that are not mineral reserves do
not have demonstrated economic viability) (refer to Canada
Silver Cobalt Works Press Release May
28, 2020. Report reference: Rachidi, M. 2020,
NI 43-101 Technical Report Mineral Resource Estimate
for Castle East, Robinson Zone, Ontario,
Canada, with an effective date of May 28, 2020 and a signature date of July 13, 2020). More information available at
www.canadasilvercobaltworks.com.
Canada Silver Cobalt's flagship Castle mine and 78 sq. km Castle
Property features strong exploration upside for silver, cobalt,
nickel, gold and copper in the prolific past producing Gowganda high-grade Silver District of
Northern Ontario. With underground
access at Castle, a pilot plant to produce cobalt-rich gravity
concentrates on site, a processing facility (TTL Laboratories) in
the town of Cobalt, and a proprietary hydrometallurgical process
known as Re-2OX for the creation of technical grade cobalt sulphate
as well as nickel-manganese-cobalt (NMC) formulations, Canada
Silver Cobalt is strategically positioned to become a Canadian
leader in the silver-cobalt space.
"Frank J. Basa"
Frank J. Basa, P. Eng.
Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. This news release may contain
forward-looking statements including but not limited to comments
regarding the timing and content of upcoming work programs,
geological interpretations, receipt of property titles, potential
mineral recovery processes, etc. Forward-looking statements address
future events and conditions and therefore, involve inherent risks
and uncertainties. Actual results may differ materially from those
currently anticipated in such statements.
SOURCE Canada Silver Cobalt Works Inc.