Bear Creek Mining is evaluating new strategies for the Corani silver project in Peru.

Bear Creek Mining, a Canadian company with interests in the mining sector, has made a significant announcement regarding its Corani silver project located in the Puno region of Peru. The mining company has begun evaluating various development opportunities that could not only increase production over the life of the mine but also aim to "significantly" reduce the capital intensity required before production begins. This analysis anticipates the start of construction for the mine in 2025. In this context, Bear Creek is focusing on silver resources and the potential recovery of oxidized material, which is rich in silver and located near the surface. This assessment centers on the deposits known as East, Main, and Mines within the Corani area. The strategy involves extracting the oxides as the first phase of open-pit production, which could result in a decrease in initial spending compared to previous projections. The company's intention is to develop a production plan that combines the extraction of oxidizing materials in an initial phase, followed by the exploitation of silver-lead-zinc sulfidic resources. This proposal has been reflected in the company’s most recent technical report, which could change the traditional approach to mining in the area. Additionally, Bear Creek expects to present the results of this new preliminary economic assessment (PEA) before the end of 2024. In recent statements, Andrés Franco, Vice President and General Manager of Bear Creek, noted that after making adjustments to the necessary permits and reconsidering the project budget, the investment in Corani, which was initially estimated at $579 million, could increase by 20% in the worst-case scenario. This increase in project costs highlights both the challenges and opportunities the company faces in realizing this new phase. The PEA also includes the development of a processing plant with a capacity of 5,000 tons per day, designed to treat the oxidized material that will be extracted in the first production phase. Furthermore, the viability of a simplified and smaller-scale flow sheet will be analyzed in relation to the sulfidic exploitation plan. According to Bear Creek's forecasts, the successful implementation of these strategies could help significantly reduce the capital intensity required for the project while extending the mine's lifespan and optimizing economic returns. The 2019 Corani Report estimated that the mine possesses significant mineral resources, with leachable potential including 39 million ounces of silver in the measured and indicated resource categories, along with 29.9 million ounces in the inferred resource category. However, these oxidized resources were not included in the proven and probable reserves, which total 229 million ounces of silver, along with significant lead and zinc components. It is important to note that the aforementioned oxides are currently classified as waste within the 2019 mineral reserve pit. This represents part of the 196 million tons that were expected to be extracted during the mine's lifespan. The inclusion of these resources could be a game-changer for the operation if their economic viability can be demonstrated. According to information provided by Bear Creek, the early extraction of oxidized resources could not only expedite access to the underlying transitional and sulfidic mineralization but also reduce the amount of waste rock needed for the future development of the sulfidic extraction plan. This implies that if these strategies are implemented correctly, the Corani mine could become an even more valuable asset for the company and the local economy. In conclusion, Bear Creek Mining is at a crossroads that could redefine the future of the Corani project. With a renewed focus and the potential to optimize both costs and production, the company is preparing to face the challenges of modern mining in Peru. The expectation is that in the coming months, the results of the PEA will be announced, which will be crucial not only for the future direction of the project but also for the overall mining landscape in the region.