SAN FRANCISCO, Jan. 09, 2019 (GLOBE NEWSWIRE) -- Kerr Mines Inc. (KER:TSX; KERMF:OTC; 7AZ1:FRA) just announced that its phase 2 resource expansion plan designed to extend mine life at its flagship Copperstone Mine in Arizona will begin in mid-January. The company also noted that it is "progressing with environmental and operating permit modifications and continuing with advanced metallurgical testing."

Company mentioned: Kerr Mines Inc.

CEO Claudio Ciavarella stated that Copperstone is a "relatively simple and straightforward project, which includes 420,000 ounces of gold with 175,000 ounces in reserve."

Currently, there's a 4.5-year mine life, but the company expects to extend this to 8–10 years in the near term through the drilling program. According to Kerr Mines, the 15,000-meter underground resource expansion program will "culminate in Q3 2019 with an updated Resource Statement and Reserve Study intended to increase the 38,000 gold ounce per annum mine life by 3–4 years to total of 8 years."

The exploration drilling is to add "new resources and in-fill drilling for the purposes of converting existing resources to higher classification and potential inclusion into reserves," the company stated.

The majority of the drilling will be done in the C and D zones of the Copperstone Zone. The company anticipates publishing an updated resource statement in the third quarter of 2019.

Kerr Mines announced in late November that it had arranged a $25-million senior secured project financing from Sprott Private Resource Lending.

Management noted at the time that it intends to use the funds for the development and production of gold at the Copperstone Mine.

Continue reading this article: With Sprott Financing in Hand, Company Announces Arizona Gold Mine Resource Expansion Plan

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DISCLOSURE:

The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Kerr Mines. Click here for important disclosures about sponsor fees. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Kerr Mines.

The full disclosure is provided at the article's end: With Sprott Financing in Hand, Company Announces Arizona Gold Mine Resource Expansion Plan