Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
FTI Consulting Canada, the court-appointed monitor for the assets of Trevali Mining, including the Caribou zinc-lead-silver mine in New Brunswick, says it has received three expressions of interest from unnamed parties who may restart production.
The mine was idled in January 2023 when Trevali applied for relief under the Companies’ Creditors Arrangement Act (CCAA).
Given such interest in the Caribou mine, FTI is delaying a proposed auction of the asset.
The news about the Caribou mine came in the form of a news release from Canadian Copper (CSE: CCI), which is advancing its 100%-owned, early-stage Murray Brook West property located 10 km from the Caribou mine in the Bathurst camp of New Brunswick.
Canadian Copper has a 28% option in the Murray Brook deposit located between Caribou and Murray Brook West. It has been called the largest undeveloped copper-zinc deposit in the province. It has measured and indicated resources of over 21 million tonnes grading 1.49% copper equivalent.
“Early-stage exploration combined with increasing our in situ resources at the large open pit Murray Brook deposit is integral to our growth strategy,” said Simon Quick, CEO of Canadian Copper.
“The Murray Brook West project [is] positioned along the 18 km favourable Caribou Horizon trend between two former mines: Caribou and Restigouche. With several parties interested in restarting the Caribou mine, we are enthusiastic about the renewed interest in the prolific Bathurst camp.”
A restarted Caribou mineral processing plant might give Canadian Copper an opportunity to toll ores from Murray Brook and Murray Brook West without the need to build its own mill.
