IDM Mining Announces Submission of a Project Application and Environmental Impact Statement for the Red Mountain Underground Gold Project
July 10, 2017, Vancouver, BC – IDM Mining Ltd. (TSX.V:IDM) (OTCQB:IDMMF) (“IDM” or the “Company”) is pleased to announce that it has formally filed a Project Application and Environmental Impact Statement (the “Application/EIS”) with the BC Environmental Assessment Office (BC EAO) and Canadian Environmental Assessment Agency (CEAA) for the Red Mountain Underground Project (the “Project”). The filing of the Application/EIS initiates a 30-day screening for completeness by agencies of the provincial and federal government and other members of the Environmental Assessment (EA) Working Group including the Nisga’a Nation.
“After significant effort by the IDM team, we are very pleased to file the Project Application and EIS for the Red Mountain Underground Project,” said Michael McPhie, Executive Chairman of IDM. “Coupled with the recent completion of our Feasibility Study, this is a significant step for us in the advancement of Red Mountain towards development. We are pleased with the progress we have made in advancing the Project through the EA process and would like to acknowledge the BC EAO and CEAA representatives, the EA Working Group members, and Nisga’a Nation representatives who have worked with us to reach this milestone. The permitting and regulatory review timeline for Red Mountain remains fully on track for the Company, and we look forward to engaging with local and regional stakeholders in the coming months.”
IDM’s Application/EIS is for a year-round 1,000 tonne per day underground gold mine and processing plant producing gold dore bars located in the Bitter Creek Valley, 15 kilometers east of Stewart, British Columbia. Material from the underground mine located on Red Mountain would be transported by truck to the processing plant. Facilities would be accessed by an all-season road, with a powerline from the BC Hydro grid. Workers would be housed and live in Stewart, rather than a camp. Construction of the Project would be approximately 18 months and it is IDM’s goal to have it in production in 2019. Capital costs are estimated to be C$135.7 million and the pre-tax base case economics indicate a Net Present Value of C$155 million at a 5% discount rate with an Internal Rate of Return of 40% and a 1.7 year payback of initial capital.
For further information, the executive summary of the Feasibility Study for the Project including project economics can be found on the Company’s website at www.IDMmining.com
Environmental Assessment Process
The Project is subject to a review under the BC Environmental Assessment Act (BCEAA 2002), and the federal Canadian Environmental Assessment Act, 2012 (CEAA 2012). The coordinated review document that has been submitted serves as both the Application for an Environmental Assessment Certificate (EAC) (Application) as per Section 16 of the BCEAA 2002, and an Environmental Impact Statement (EIS), as per the CEAA 2012. The Application/EIS has been prepared in accordance with the Application Information Requirements (AIR) issued by BC EAO on March 30, 2017 and the Environmental Impact Statement Guidelines issued by CEAA on January 22, 2016..
The filing of the Application/EIS initiates a 30-day review for completeness of the document by BC EAO, the CEAA and EA Working Group members including the Nisga’a Nation. IDM has made significant efforts in advance of this submission to engage with, discuss and address key issues with all regulatory agencies and the Nisga’a Nation. This early engagement is expected to help facilitate an efficient and predictable review process.
If the document is deemed complete, the Application/EIS will be accepted by BC and Canada and the formal review will begin under their respective legislated timelines and processes. The timing of the review remains on track for targeted approval of the Project in the first half of 2018.
ABOUT IDM MINING LTD.
IDM Mining Ltd. is a mineral exploration and development company based in Vancouver, BC, Canada. The Company's current exploration and development activities are focused on precious metals in British Columbia, with a primary focus on the high grade underground Red Mountain Underground Gold Project which has entered the BC and Canadian environmental assessment processes. Further information can be found on the Company’s website at www.IDMmining.com and on the Project’s website at RedMountainProject.com.
ON BEHALF OF THE BOARD
of IDM Mining Ltd.
President, CEO and Director
For more information, contact:
Shobana Thaya Alex Horsley
416-807-1009 604 773-7269
“Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.”
Forward-Looking Statements: Some statements in this news release contain forward-looking information or forward-looking statements for the purposes of applicable securities laws. These statements include, among others, statements with respect to the proposed timing of Project approval, exploration and development activities and their timing, resource estimates and potential mineralization. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others and in addition to those described elsewhere in this release, timing and success of future exploration and development activities, exploration and development risks, delays in obtaining or inability to obtain required government or other regulatory approvals, permits or financing, the risk of unexpected variations in mineral resources, grade or recovery rates, of failure of plant, equipment or processes to operate as anticipated, of accidents, labor disputes, and unanticipated delays in completing other development activities, the risk that estimated costs will be higher than anticipated and the risk that the proposed mine plan and recoveries will not be achieved, equipment breakdowns and bad weather, the timing and success of future exploration and development activities, exploration and development risks, mineral resources are not as estimated, title matters, third party consents, operating hazards, metal prices, political and economic factors, competitive factors and general economic conditions. In making the forward-looking statements, the Company has applied several material assumptions including, but not limited to, the assumptions that: required regulatory approval, permits and financing will be obtained; the proposed exploration and development will proceed as planned; with respect to mineral resource estimates, the key assumptions and parameters on which such estimates are based; that the proposed mine plan and recoveries will be achieved, that capital costs and sustaining costs will be as estimated, and that no unforeseen accident, fire, ground instability, flooding, labor disruption, equipment failure, metallurgical, environmental or other events that could delay or increase the cost of development will occur, and market fundamentals will result in sustained metals and minerals prices. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.