Nicola Mining Inc. Commences Mill Processing to Become Canada's Newest Gold - Silver Producer[1]
Nicola Mining Inc. Commences Mill
Processing to Become Canada's Newest Gold -
Silver Producer[1]
Vancouver, British Columbia--(Newsfile Corp. - July 9, 2021) - Nicola Mining Inc. (
TSXV: NIM
)
(
FSE:
HLI
) (the "
Company
" or "
Nicola
") is pleased to announce that it has
commenced processing of gold
and silver mill feed
at its mill, located near Merritt, British Columbia ("BC"). The Company will produce a
gold and silver concentrate that will be purchased by
Ocean Partners UK Limited
[2]
("
Ocean Partners
"),
a company that provides global trading services to miners, smelters, and refiners.
Crushing of mill feed, which was transported to the site by Blue Lagoon Resources Inc. (
CNSX: BLLG),
commenced on July 2, 2021, after having accumulated a stockpile of approximately 1500 tonnes. The
Company and BLLG recently signed
an amending agreement (the "
Amending Agreement
") to the
Milling and Smelting Profit Share Agreement
dated March 31, 2017 (the "
Original Agreement
"). The
crushed material was stored in the fine ore bin prior to commencing flotation operations on July 8, 2021
(See Diagram 1).
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Diagram 1
: Nicola Mining Commences Production of Gold and Silver Concentrate
The Company has completed approximately $2.0M in upgrades at its approximate $30.0M facility, which
is permitted to process approximately 200 tonnes per day (up to 70,000 tonnes per year). The
Company's wholly owned Craigmont mill was constructed with ample room for expansion and is the only
site in BC permitted to accept high-grade gold and silver mill feed from throughout the province.
In addition to BLLG, the Company announced on
June 8, 2021
that it had proceeded with the Mineral
Purchase Agreement to acquire a 75% economic interest in the Dominion Creek Gold Project, a high-
grade gold project located about 110 kilometers east-southeast of Prince George. The Company looks
forward to providing an update on the 10,000-tonne bulk sample permit application in a subsequent
news release.
In addition to commencing production, the Company would like to confirm its commitment to work with
communities and government to minimize our impact on the environment. To reflect this commitment, we
have changed our logo to capture the balance between mining and processing and respecting the
environment and the traditional territories we operate within. The
orange / copper
colour symbolizes our
focus of discovering essential metals for the "green economy", and the
green
symbolizes our
commitment to the environment and respecting the land.
Frank Hogel, Chairman of Nicola, commented, "Behind the scenes, it has been an incredible amount of
work to commence production. I would like to congratulate the team on the momentous achievement."
Qualified Person
Kevin Wells, P.Geo, a consulting geologist to the Company, is the independent qualified person as
defined by National Instrument 43-101 -
Standards of Disclosure for Mineral Projects
for the technical
disclosure contained in this news release.
About Nicola Mining
Nicola Mining Inc. is a junior mining company listed on the TSX Venture and Frankfurt Exchanges that
maintains a 100% owned mill and tailings facility, located near Merritt, British Columbia. The fully-
permitted mill can process both gold and silver mill feed via gravity and flotation processes. The
Company also owns 100% of the New Craigmont Project, a high-grade copper property, and an active
gravel pit that is located adjacent to its milling operations.
On behalf of the Board of Directors
"
Peter Espig
"
Peter Espig
CEO & Director
For additional information
Contact:
Peter Espig
Phone: (778) 385-1213
Email:
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy
or accuracy of this release.
[1]
Under the Milling and Smelting Profit Share Agreement BLLG is to ship mill feed to Nicola's mill site
for processing.
Nicola does not extract the mill feed but produces gold and silver concentrate.
[2]
Ocean Partners operates in a number of countries, including Canada, Chile, China, Cyprus, Mexico,
Mongolia, Netherlands, Peru, Taiwan, Turkey, United Kingdom, and the United States, and retains
agency representation in Argentina, Australia, Bolivia, Brazil, Chile, Ecuador, India, Japan, South Africa,
South Korea.
The Company maintains a strong global network of relationships and contacts in the base
metal mining and smelting sector.
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