Avino Announces Receipt of Amended Operating Permit FOR the Bralorne GOLD MINE and Proposed Drill Program
NYSE American-: ASM
TSX-V: ASM
November 14, 2017 FSE: GV6
AVINO ANNOUNCES RECEIPT OF AMENDED OPERATING PERMIT FOR THE
BRALORNE GOLD MINE AND PROPOSED DRILL PROGRAM
Avino Silver & Gold Mines Ltd. (ASM: TSX.V, ASM: NYSE American , GV6: FSE, “Avino” or “the
Company”) is pleased to announce that the Bralorne Gold Mine located near Gold Bridge, British
Columbia, has received an approved Permit Amendment to the Mines Act Permit M207 , which replaces
the 100 tonne per day permit from 1996 that Bralorne has been operating un der since Avino purchased
the project in 2014.
Readers are cautioned that the following discussion concerning proposed operations and any decision by
Avino to place the Bralorne Gold Mine into production are not based on a feasibility study or mineral
reserves demonstrating economic and technical viability, and as a result there is increased uncertainty
and there are multiple technical and economic risks of failure, which are associated with any production
decision. These risks, among others, include area s that would be analyzed in more detail in a feasibility
study, such as applying economic analyses to resources and reserves, more detailed metallurgy, and a
number of specialized studies in areas such as mining and recovery methods, market analysis, and
environmental and community impacts.
In November 2015, the Company commissioned external consultants to design a new Reclamation Plan ,
and subsequently requested a Permit Amendment from the BC Ministry of Energy , Mines & Petroleum
Resources. T he amendment and Reclamation Plan was reviewed by First Nations and Ministry of
Environment in the referral process. The referral process is a formal process through the BC Ministry of
Mines and the Forestry, Lands and Natural Resource Operations.
The Amended Permit is for 100 tonnes per day throughput capacity which the Company anticipates
further expanding for future operational efficiency. Due to the streamlining of the Government process,
and the completion of further requirements, the Company a nticipates an easier and quicker transition
to an amended permit that will allow for future expansion.
The Permit Amendment provides a comprehensive and responsible Permit that will provide the
Company with the reporting and monitoring required for the ne xt steps in expansion consideration.
Additionally, t he Permit Amendment includes a b oundary, and within this boundary lies the areas
of the proposed drill program previously announced, see our news release dated July 10, 2017
http://www.avino.com/i/pdf/nr/2017-07-10_NR.pdf. With this drill program, t he Company intends to
update and increase the confidence in the resource.
“Receiving t his Amended Permit is an important step in the Company’s strategic plan to bring the
Bralone Gold Mine back into operation, and with this modern 100 tonne per day permit, we are now very
close to receiving the deemed authorization required to commence the proposed drilling. The proposed
drill programs comprise both surface and underground , and have been designed to better define
resources near surface and above and below the 800 metre level.
AVINO SILVER &
GOLD MINES LTD.
T 604.682.3701 Suite 900, 570 Granville Street [email protected]
F 604.682.3600 Vancouver, BC V6C 3P1 www.avino.com
Avino Silver & Gold Mines Ltd. - News Release – November 14, 2017
Avino Announces Receipt of Amended Operating Permit for Bralorne Gold Mine and Proposed Drill Program
Page 2
The Company’s senior management and site personnel worked very closely with the M inistry of Energy,
Mines & Petroleum Resources, and the Ministry of Environment , and met with the Chief Inspector and
Deputy Chief Inspector to discuss environmental and permitting on a number of occasions. We wish to
thank all those instrumental in the successful receipt of this permit, including the support from the First
Nations and local communities.”
David Wolfin – President & CEO, Avino Silver & Gold Mine Mines Ltd.
Since acquiring Bralorne in 2014 , the Company has completed its review of potential scenarios
for developing an operating plan. A number of consultants engaged in environmental, permitting, mine
design, mill design and upgrade, and infrastructure design and upgrade . The original phased
plan was for the start -up of a small tonnage operation followed by expansion. However, during the
work, our onsite consultants identified ground and safety issues in the existing 800 level tunnel . It was
determined that the 800 level needed rehabilitative work, and consultants were engaged to review and
develop a plan for the repairs. Given the proposed repairs, which would have restricted mine
throughput, the construction of a new tunnel on the 800 level, which was originally included in a
later phase, is now being evaluated. The consultant's recommendations were to construct a new
tunnel on the 800 level due to the age and limiting size of the original main access tunnel, which also
has issues with ground conditions. The future construction of a new 800 tunnel should allow earlier
access to the resources below the 800 level. See our news release dated July 10, 2017
http://www.avino.com/i/pdf/nr/2017-07-10_NR.pdf.
Surface and Underground Drill Programs
With the receipt of the M207 permit, a surface and underground drill program is now planned for the
winter, and the Company may now submit its application for the authorization to drill. The surface drill
program will be designed to better define the resources near surface. The surface program has been
designed by Bralorne’s independent consultant with the assistance of Bralorne geologists. This program
will also include two geotechnical holes to determine the geotechnical characteristics of the proposed
new tunnel on the 800 level. An underground drill program will be carried out to better define the
resources above and below the 800 level. This program is currently being designed. It wi ll require some
excavation of drill crosscuts underground. Both programs will also be aimed at increasing the confidence
of, and updating the resources.
While working towards receipt of the M207 operating permit, and since acquiring the Bralorne Gold
Mine in 2014, the Company is pleased to have achieved the following key milestones:
Doubled the size of the original Water Treatment Plant (“WTP”) from 3.5 litres per second to 7
litres per second in 2015 as the mine water runoff during freshet increased significantly;
Constructed a new state of the art WTP in 2016 capable of treating 35 litres per second;
Raised the dam for the TSF by 2.4 metres in 2015;
Constructed a buttress at the toe of the dam for the Tailing Storage Facility (“ TSF”) in 2016 and
received approval to use the TSF in September, 2016;
An Interim Closure and Reclamation Plan was submitted in 2015 as part of the Amendment to
the Mining Permit, which was reviewed by all proponents including the First Nations with
extensive discussion and feedback, and has now been approved;
An independent consulting engineering firm was engaged in 2015 to prepare a conceptual mine
plan followed by a few different operating scenarios culminating in the current plan to develop
mineral resources including a different mining method, narrow vein long hole sub level retreat,
where the walls and ore are competent, which is a safer, more productive mining method than
the shrinkage and cut and fill methods used in the past;
Avino Silver & Gold Mines Ltd. - News Release – November 14, 2017
Avino Announces Receipt of Amended Operating Permit for Bralorne Gold Mine and Proposed Drill Program
Page 3
Resources, which were updated in an NI -43-101 report dated October 20, 2016, were
incorporated into the proposed mine plan;
An independent consulting engineering firm was engaged in 2016 to review the mill and surface
infrastructure to determine the best way to upgrade these facilities, and a plan is now in place
that has been accepted by the Company . The plan involves a new crushing plant and
replacement of the mill equipment with larger equipment;
In 2016 and 2017 , Bralorne, North Island College, the BC Government and First Nations
completed two educational cohorts to provide basic min ing training to 24 members of the
St’at’imc First Nations in Lillooet, with another cohort about to start; and
A Letter of Intent (“LOI”) was signed with St'át'imc Eco-Resources Ltd. in May of 2017 to work
together to form partnerships that will be beneficial to the First Nations, the communities and
the Company in the development and operation of the Bralorne Gold Mine;
The old assay laboratory was dismantled to make room for a new one;
Demolition of an old ore bin for safety reasons has now been completed;
Engineering work is well underway for a n amended permit to expand the operating rate now
that the M207 permit has been approved;
More detailed engineering for the mine plan and permitting for the expanded operating rate;
Geotechnical engineering completed and approved by MEM (Ministry of Energy, Mines and
Petroleum Resources) for rehabilitation of the 800 tunnel with work well underway;
Engineering for the expanded process plant and infrastructure for permitting; well underway
Engineering for new Thickener for a mill for expanded operating rate underway;
Removal of retired equipment (crushing plant, ball mill foundations and pedestals) completed;
Qualified Person(s)
Avino's projects are under the supervision of Fred Sveinson, B.A., B. Sc., P.Eng , Senior Mining Advisor,
and Jasman Yee P.Eng, Avino Director, who are both qualified persons within the context of National
Instrument 43-101. Both have reviewed and approved the technical data in this news release.
About Avino
Avino is a silver and gold producer with a diversified pipeline of gold, silver and base metals properties in
Mexico and Canada employing approximately 500 people. Avino produces from its wholly owned Avino
and San Gonzalo Mines near Durango, Mexico, and is currently ramping up for future production at the
Bralorne Gold Mine in British Columbia, Canada. The Company’s gold and silver production remain s
unhedged. The Company’s mission and strategy is to create shareholder value through its focus on
profitable organic growth at the hist oric Avino Property near Durango, Mexico, and the strategic
acquisition of mineral exploration and mining properties. We are committed to managing all business
activities in an environmentally responsible and cost -effective manner, while contributing to th e well-
being of the communities in which we operate.
ON BEHALF OF THE BOARD
“David Wolfin”
________________________________
David Wolfin
President & CEO
Avino Silver & Gold Mines Ltd.
Avino Silver & Gold Mines Ltd. - News Release – November 14, 2017
Avino Announces Receipt of Amended Operating Permit for Bralorne Gold Mine and Proposed Drill Program
Page 4
Safe Harbor Statement - This news release contains "forward -looking information" and "forward -looking statements" (together, the "forward looking statements")
within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act of 1995, incl uding our belief as to the extent and
timing of various studies including the PEA, a nd exploration results, anticipated capital costs and operational costs, the potential tonnage, grades and content of
deposits, timing and establishment and extent of resource estimates. These forward -looking statements are made as of the date of this news release and the dates
of technical reports, as applicable. Readers are cautioned not to place undue reliance on forward -looking statements, as there can be no assurance that the future
circumstances, outcomes or results anticipated in or implied by such f orward-looking statements will occur or that plans, intentions or expectations upon which the
forward-looking statements are based will occur. While we have based these forward -looking statements on our expectations about future events as at the date
that such statements were prepared, the statements are not a guarantee that such future events will occur and are subject to risks , uncertainties, assumptions and
other factors which could cause events or outcomes to differ materially from those expressed or im plied by such forward-looking statements.
Such factors and assumptions include, among others, the effects of general economic conditions, the price of gold, silver and copper, changing foreign exchange
rates and actions by government authorities, uncertai nties associated with legal proceedings and negotiations and misjudgments in the course of preparing
forward-looking information. In addition, there are known and unknown risk factors which could cause our actual results, performance or achievements to dif fer
materially from any future results, performance or achievements expressed or implied by the forward -looking statements. Known risk factors include risks
associated with project development; the need for additional financing; operational risks associate d with mining and mineral processing; fluctuations in metal
prices; title matters; uncertainties and risks related to carrying on business in foreign countries; environmental liability claims and insurance; reliance on key
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to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated,
estimated or intended. There can be no assurance that forward -looking statements will prove to be accurate, as actual results and fut ure events could differ
materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward -looking statements. We are under no
obligation to update or alter any forward-looking statements except as required under applicable securities laws.
Cautionary Note to United States Investors - The information contained herein and incorporated by reference herein has been prepared in accordance with the
requirements of Canadian securities laws, which differ from the requirements of United States securities laws. In particular, the term "resource" does not equate to
the term "reserve". The Securities Exchange Commission's (the "SEC") disclosure standards normally do not permit the inclusio n of information concerning
"measured mineral resources", "indicated mineral resources" or "inferred mineral resources" or other descriptions of the amoun t of mineralization in mineral
deposits that do not constitute "reserves" by SEC standards, unless such information is required to be disclosed by the law of the Company's jurisdiction of
incorporation or of a jurisdiction in which its securities are traded. U.S. investors should also understand that "inferred m ineral resources" have a great amount of
uncertainty as to their existence and great uncertainty as to their economic and legal feasibility. Disclosure of "contained ounces" is permitted disclosure un der
Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute "reser ves" by SEC standards as in place
tonnage and grade without reference to unit measures.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Ven ture Exchange) accepts responsibility for
the adequacy or accuracy of this release.