Silver Bullet Mines Corp. (TSX-V:SBMI, OTC:SBMCF) told investors it has begun processing approximately 50 tons of mixed mineralized material from the new Zone1 at its Buckeye Silver Mine in Arizona.
The company said it expects assay results from the initial bulk sample to be available within a week or so, adding that processing of the sample is being treated as a trial run for the expected imminent production from Zone 1.
The crew at the Buckeye Silver Mine continues to drill and blast as it develops the new Zone 1 and provides the mineralized material to be processed at the mill, it added.
“The material is being assayed at multiple stages of the process to ensure optimal recovery,” Silver Bullet Mines said in a statement.
“The assay results will provide input as to any adjustments that may be necessary to improve production efficiencies and grade. The company intends to take this mix of material through the entire milling process and produce silver dore bars.”
Silver Bullet also announced that it has applied to the TSX Venture Exchange for an extension of a further 30 days of price protection to complete further subscriptions under its previously announced private placement.
It said it intends the next tranche or tranches of the offering to close within that period.
Additionally, the company said it has granted 1,778,571 options to officers, directors and consultants. Each option has a 5-year term, vests immediately, and has an exercise price of $0.15, which is a premium to the market and the offering.
The company's shares jumped 15% to C$0.12 in late morning trade in Toronto.
Contact the author at stephen.gunnion@proactiveinvestors.com