Silver Bullet Mines Corp. (TSX-V:SBMI, OTC:SBMCF) revealed that it has received the previously announced cash advance from a buyer for the first order for silver products from its Buckeye Mine, in the southwestern US state of Arizona.
The Burlington, Ontario-based silver and copper exploration and development company said it has received the US$225,000 from the purchaser as a cash advance against the order for 500 kilograms (kgs) of silver, to be delivered to the buyer in tranches, or all at once.
At current pricing levels, the first order represents more than US$430,000 (over C$570,000), noted Silver Bullet.
Significantly, the buyer has indicated that it plans to purchase 500 kg of silver from Silver Bullet each month for six months, which includes the current order.
According to the company, the first order is currently being processed from the stockpile at the mill and it expects shipping it in whole or in part within 30 days. Silver Bullet said it continues to work with the purchaser and other potential buyers to develop a customer base for its silver and gold production.
Mining is ongoing at the Buckeye Mine, where the company has discovered new sulphide vein structures. On January 16, the company said it continues to drift along the vein to an area believed to contain higher grade mineralization.
Silver Bullet revealed that around 1 meter before turning into the anticipated intersection with the main vertical vein, a 0.6m-thick horizontal fracture zone was encountered containing bands of massive sulphides. Horizontal sulphide bands were also noted in the Treasure Room along with paper-thin layers of high-purity native silver, similar to the bands in the newly discovered fracture zone.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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