Mines Management, Inc., founded in 1947, is a US-based mineral company engaged in the acquisition, exploration, and development of silver-dominant mineral projects. Currently, the Company is advancing two projects located in the United States and Peru.
The Company’s flagship is the Montanore Silver-Copper Project, which has undergone extensive exploration and engineering. A 43-101 compliant technical report describes the resource as 116 million tons of mineralized material with average grades of approximately 2.0 ounces per ton Silver plus 0.74% Copper.
Additionally, in 2011, the Company published a Preliminary Economic Assessment which indicates robust potential economics. At a very conservative $15.00 per ounce Silver and $2.50 per pound Copper, the project’s Net Present Value exceeded $228 Million, and is designed to be mined at a rate of 12,500 tons per day yielding approximately 6.4 million ounces Silver and 51 million pounds of copper, annually. Direct Onsite Cash Operating costs are estimated to be approximately $23.00 per short ton, considered to be very low for underground mines.
Currently the project is in the final stages of the federal permitting process, and preparing for underground exploration activities and a feasibility study.
Further, the Company is exploring the Estrella Silver-Gold Project in central Peru. Drilling by previous operators had identified a large mineralized zone approximately 2 kilometers in length by 300 meters wide, and averaging more than 100 meters in thickness. Mines Management’s 2012 drilling program has identified extensions to the mineralization, and the deposit remains open in three directions. The Company is currently analyzing exploration data toward planning a next phase of exploration.
With a world class silver-copper project in the United States, and silver-gold exploration activities in Peru, along with a highly experienced management team, the Company is well positioned for growth in the current period of historically high metals prices.