NYSE American: ASM
TSX-V: ASM
FSE:
GV6
VANCOUVER, Nov. 14, 2017 /PRNewswire/ - Avino Silver & Gold Mines Ltd. (ASM: TSX.V,
ASM: NYSE American, GV6: FSE, "Avino" or "the Company") is
pleased to announce that the Bralorne Gold Mine located near
Gold Bridge, British Columbia, has
received an approved Permit Amendment to the Mines Act Permit M207,
which replaces the 100 tonne per day permit from 1996 that Bralorne
has been operating under since Avino purchased the project in
2014.
Readers are cautioned that the following discussion
concerning proposed operations and any decision by Avino to place
the Bralorne Gold Mine into production are not based on a
feasibility study or mineral reserves demonstrating economic and
technical viability, and as a result there is increased uncertainty
and there are multiple technical and economic risks of failure,
which are associated with any production decision. These risks,
among others, include areas that would be analyzed in more detail
in a feasibility study, such as applying economic analyses to
resources and reserves, more detailed metallurgy, and a number of
specialized studies in areas such as mining and recovery methods,
market analysis, and environmental and community impacts.
In November 2015, the Company
commissioned external consultants to design a new Reclamation Plan,
and subsequently requested a Permit Amendment from the BC Ministry
of Energy, Mines & Petroleum Resources. The amendment and
Reclamation Plan was reviewed by First Nations and Ministry of
Environment in the referral process. The referral process is
a formal process through the BC Ministry of Mines and the Forestry,
Lands and Natural Resource Operations.
The Amended Permit is for 100 tonnes per day throughput capacity
which the Company anticipates further expanding for future
operational efficiency. Due to the streamlining of the Government
process, and the completion of further requirements, the Company
anticipates an easier and quicker transition to an amended permit
that will allow for future expansion.
The Permit Amendment provides a comprehensive and responsible
Permit that will provide the Company with the reporting and
monitoring required for the next steps in expansion consideration.
Additionally, the Permit Amendment includes a boundary, and within
this boundary lies the areas
of the proposed drill program previously announced, see our news
release dated July 10, 2017
http://www.avino.com/i/pdf/nr/2017-07-10_NR.pdf. With this drill
program, the Company intends to update and increase the confidence
in the resource.
"Receiving this Amended Permit is an important step in the
Company's strategic plan to bring the Bralone Gold Mine back into
operation, and with this modern 100 tonne per day permit, we are
now very close to receiving the deemed authorization required to
commence the proposed drilling. The proposed drill programs
comprise both surface and underground, and have been designed to
better define resources near surface and above and below the 800
metre level.
The Company's senior management and site personnel worked
very closely with the Ministry of Energy, Mines & Petroleum
Resources, and the Ministry of Environment, and met with the Chief
Inspector and Deputy Chief Inspector to discuss environmental and
permitting on a number of occasions. We wish to thank all
those instrumental in the successful receipt of this permit,
including the support from the First Nations and local
communities."
David Wolfin –
President & CEO, Avino Silver
& Gold Mine Mines Ltd.
Since acquiring Bralorne in 2014, the Company has completed its
review of potential scenarios
for developing an operating plan. A number of consultants engaged
in environmental, permitting, mine design, mill design and upgrade,
and infrastructure design and upgrade. The original phased
plan was for the start-up of a small tonnage operation followed by
expansion. However, during the work, our onsite consultants
identified ground and safety issues in the existing 800 level
tunnel. It was determined that the 800 level needed rehabilitative
work, and consultants were engaged to review and develop a plan for
the repairs. Given the proposed repairs, which would have
restricted mine throughput, the construction of a new tunnel on the
800 level, which was originally included in a
later phase, is now being evaluated. The consultant's
recommendations were to construct a new
tunnel on the 800 level due to the age and limiting size of the
original main access tunnel, which also
has issues with ground conditions. The future construction of a new
800 tunnel should allow earlier access to the resources below the
800 level. See our news release dated July 10, 2017
http://www.avino.com/i/pdf/nr/2017-07-10_NR.pdf.
Surface and Underground Drill Programs
With the
receipt of the M207 permit, a surface and underground drill program
is now planned for the winter, and the Company may now submit its
application for the authorization to drill. The surface drill
program will be designed to better define the resources near
surface. The surface program has been designed by Bralorne's
independent consultant with the assistance of Bralorne geologists.
This program will also include two geotechnical holes to determine
the geotechnical characteristics of the proposed new tunnel on the
800 level. An underground drill program will be carried out to
better define the resources above and below the 800 level. This
program is currently being designed. It will require some
excavation of drill crosscuts underground. Both programs will also
be aimed at increasing the confidence of, and updating the
resources.
While working towards receipt of the M207 operating permit,
and since acquiring the Bralorne Gold Mine in 2014, the Company is
pleased to have achieved the following key milestones:
- Doubled the size of the original Water Treatment Plant ("WTP")
from 3.5 litres per second to 7 litres per second in 2015 as the
mine water runoff during freshet increased significantly;
- Constructed a new state of the art WTP in 2016 capable of
treating 35 litres per second;
- Raised the dam for the TSF by 2.4 metres in 2015;
- Constructed a buttress at the toe of the dam for the Tailing
Storage Facility ("TSF") in 2016 and received approval to use the
TSF in September, 2016;
- An Interim Closure and Reclamation Plan was submitted in 2015
as part of the Amendment to the Mining Permit, which was reviewed
by all proponents including the First Nations with extensive
discussion and feedback, and has now been approved;
- An independent consulting engineering firm was engaged in 2015
to prepare a conceptual mine plan followed by a few different
operating scenarios culminating in the current plan to develop
mineral resources including a different mining method, narrow vein
long hole sub level retreat, where the walls and ore are competent,
which is a safer, more productive mining method than the shrinkage
and cut and fill methods used in the past;
- Resources, which were updated in an NI-43-101 report dated
October 20, 2016, were incorporated
into the proposed mine plan;
- An independent consulting engineering firm was engaged in 2016
to review the mill and surface infrastructure to determine the best
way to upgrade these facilities, and a plan is now in place that
has been accepted by the Company. The plan involves a new crushing
plant and replacement of the mill equipment with larger
equipment;
- In 2016 and 2017, Bralorne, North Island College, the BC
Government and First Nations completed two educational cohorts to
provide basic mining training to 24 members of the St'at'imc First
Nations in Lillooet, with another
cohort about to start; and
- A Letter of Intent ("LOI") was signed with St'át'imc
Eco-Resources Ltd. in May of 2017 to work together to form
partnerships that will be beneficial to the First Nations, the
communities and the Company in the development and operation of the
Bralorne Gold Mine;
- The old assay laboratory was dismantled to make room for a new
one;
- Demolition of an old ore bin for safety reasons has now been
completed;
- Engineering work is well underway for an amended permit to
expand the operating rate now that the M207 permit has been
approved;
- More detailed engineering for the mine plan and permitting for
the expanded operating rate;
- Geotechnical engineering completed and approved by MEM
(Ministry of Energy, Mines and Petroleum Resources) for
rehabilitation of the 800 tunnel with work well underway;
- Engineering for the expanded process plant and infrastructure
for permitting; well underway
- Engineering for new Thickener for a mill for expanded operating
rate underway;
- Removal of retired equipment (crushing plant, ball mill
foundations and pedestals) completed
Qualified Person(s)
Avino's projects are under the
supervision of Fred Sveinson, B.A.,
B. Sc., P.Eng, Senior Mining Advisor, and Jasman Yee P.Eng, Avino Director, who are both
qualified persons within the context of National Instrument 43-101.
Both have reviewed and approved the technical data in this news
release.
About Avino
Avino is a silver and gold producer with a
diversified pipeline of gold, silver and base metals properties in
Mexico and Canada employing approximately 500
people. Avino produces from its wholly owned Avino and San
Gonzalo Mines near Durango,
Mexico, and is currently ramping up for future production at
the Bralorne Gold Mine in British
Columbia, Canada. The Company's gold and silver production
remains unhedged. The Company's mission and strategy is to create
shareholder value through its focus on profitable organic growth at
the historic Avino Property near Durango,
Mexico, and the strategic acquisition of mineral exploration
and mining properties. We are committed to managing all business
activities in an environmentally responsible and cost-effective
manner, while contributing to the well-being of the communities in
which we operate.
ON BEHALF OF THE BOARD
"David Wolfin"
________________________________
David Wolfin
President & CEO
Avino Silver & Gold Mines
Ltd.
Safe Harbor Statement - This news release contains
"forward-looking information" and "forward-looking statements"
(together, the "forward looking statements") within the meaning of
applicable securities laws and the United States Private Securities
Litigation Reform Act of 1995, including our belief as to the
extent and timing of various studies including the PEA, and
exploration results, anticipated capital costs and operational
costs, the potential tonnage, grades and content of deposits,
timing and establishment and extent of resource estimates. These
forward-looking statements are made as of the date of this news
release and the dates of technical reports, as applicable. Readers
are cautioned not to place undue reliance on forward-looking
statements, as there can be no assurance that the future
circumstances, outcomes or results anticipated in or implied by
such forward-looking statements will occur or that plans,
intentions or expectations upon which the forward-looking
statements are based will occur. While we have based these
forward-looking statements on our expectations about future events
as at the date that such statements were prepared, the statements
are not a guarantee that such future events will occur and are
subject to risks, uncertainties, assumptions and other factors
which could cause events or outcomes to differ materially from
those expressed or implied by such forward-looking statements.
Such factors and assumptions include, among others, the effects
of general economic conditions, the price of gold, silver and
copper, changing foreign exchange rates and actions by government
authorities, uncertainties associated with legal proceedings and
negotiations and misjudgments in the course of preparing
forward-looking information. In addition, there are known and
unknown risk factors which could cause our actual results,
performance or achievements to differ materially from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Known risk factors include risks
associated with project development; the need for additional
financing; operational risks associated with mining and mineral
processing; fluctuations in metal prices; title matters;
uncertainties and risks related to carrying on business in foreign
countries; environmental liability claims and insurance; reliance
on key personnel; the potential for conflicts of interest among
certain of our officers, directors or promoters with certain other
projects; the absence of dividends; currency fluctuations;
competition; dilution; the volatility of the our common share price
and volume; tax consequences to U.S. investors; and other risks and
uncertainties as set forth in our regulatory filings in
Canada and the U.S.. Although we
have attempted to identify important factors that could cause
actual actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors
that cause actions, events or results not to be as anticipated,
estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking statements. We are under no
obligation to update or alter any forward-looking statements except
as required under applicable securities laws.
Cautionary Note to United States Investors - The information
contained herein and incorporated by reference herein has been
prepared in accordance with the requirements of Canadian securities
laws, which differ from the requirements of United States securities laws. In particular,
the term "resource" does not equate to the term "reserve". The
Securities Exchange Commission's (the "SEC") disclosure standards
normally do not permit the inclusion of information concerning
"measured mineral resources", "indicated mineral resources" or
"inferred mineral resources" or other descriptions of the amount of
mineralization in mineral deposits that do not constitute
"reserves" by SEC standards, unless such information is required to
be disclosed by the law of the Company's jurisdiction of
incorporation or of a jurisdiction in which its securities are
traded. U.S. investors should also understand that "inferred
mineral resources" have a great amount of uncertainty as to their
existence and great uncertainty as to their economic and legal
feasibility. Disclosure of "contained ounces" is permitted
disclosure under Canadian regulations; however, the SEC normally
only permits issuers to report mineralization that does not
constitute "reserves" by SEC standards as in place tonnage and
grade without reference to unit measures.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Avino Silver & Gold
Mines Ltd.