Darnley Bay Resources Ltd. has started hiring local workers as it tries to revive the old Pine Point Mine east of Hay River, Northwest Territories.
The company, with headquarters in Toronto, purchased the project for $8 million in cash and shares last December.
Around the same time, it began consulting with Indigenous groups in the area, including the K’atl’odeeche First Nation near Hay River, the Deninu Kue First Nation near Fort Resolution and Metis groups in both communities.
Darnley Bay has also been in talks with the Town of Hay River.
“That was our first focus,” said John Key, the company’s chief operating officer. “To get out and talk to the local people in terms of engagement.”
The company hired approximately 20 people from Hay River and Fort Resolution to help with exploratory drilling and line cutting at the site.
Early results from those drills have been very promising, says Darnley Bay CEO Jamie Levy.
‘Looks like it will make money’
The initial drill results come on the heels of a preliminary economic assessment released earlier this year.
In that report, the company said the proposed zinc-lead mine is viable and that it “looks like it will make money.”
Key says the project is still very much in the “information-gathering” stage, but that will change in the coming months.
“It is limited in what we can do at this point in time but as we round the corner and start to be able to do things on the property, things will change,” he said.
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