A combination of strong zinc prices and the impending depletion of its Sullivan deposit in southeastern B.C. has
The major acquired the past-producing mine in 1996, through a $31.3 million takeover of RFC Resource Finance. After the Sullivan deposit closes in 2002, Cominco will need a new source of zinc and lead concentrate for its smelter in Trail.
Situated 12 miles south of the Canadian border, within easy trucking distance of the Trail smelter, Pend Oreille was in production from 1938 to 1997. It still hosts 5.7 million tons grading 8.9% zinc and 1.34% lead. A feasibility study, completed in 1994, estimated that it would cost US$33 million to rehabilitate the existing surface facilities and develop a 1,500-ton-per-day operation. Cominco estimates that the current resource would allow for an 11-year mine life, with the potential for an extension based on the discovery of additional reserves.
A final environmental impact statement is slated for the coming summer and the company plans to obtain most of the required permits over the next few months. The mine’s reopening is contingent on Cominco’s receipt of permits and other regulatory approvals.
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