Silver Storm partners with Samsung to reopen Mexico silver mine
TSX-V-listed Silver Storm Mining has partnered with subsidiaries of technology giant Samsung for offtake prepayment financing to restart the past-producing La Parrilla silver mine, in Durango, Mexico.
The $7-million, 18-month facility will be used to restart operations, including mill rehabilitation and upgrading, underground development and working capital for La Parrilla, the project developer reports.
“The agreement with Samsung represents a key step in our strategic vision of transitioning the company into an operating entity,” said Silver Storm president and CEO Greg McKenzie.
“The company has sufficient liquidity to complete the planned restart and rehabilitation activities at La Parrilla. Samsung’s involvement as a guaranteed purchaser for the concentrates reflects the confidence of a leading industry participant in our path forward and provides Silver Storm with another partner that is committed to bringing La Parrilla back into operation.”
The offtake grants Samsung the right to purchase 100% of the lead/silver concentrate and the zinc concentrates produced at La Parrilla for a period of two years.
The idled La Parrilla complex comprises a 2 000 t/d mill and three underground mines.
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