COEUR D'ALENE, IDAHO--(Marketwired - Jul 31, 2013) - Timberline Resources Corporation (TSX VENTURE:TBR)(NYSE MKT:TLR) ("Timberline" or the "Company") announced today that with the recent receipt of the final MPDES water discharge permit and the progress on the remaining permits, Butte Highlands JV, LLC ("BHJV") management has directed the recently mobilized mining, construction, and exploration crews at the Butte Highlands mine site to proceed with several of projects.
The final water discharge permit was issued on June 30, 2013 and will become effective on August 1, 2013. BHJV has filed an updated Evacuation, Ventilation, and Escapeway Plan with the Mine Safety and Health Administration ("MSHA") and expects approval of that plan in mid-August. With MSHA authorization, crews will begin work on a number of development and exploration initiatives in preparation for future production at the Butte Highlands Gold Project, including:
- Underground exploration diamond drilling targeting additional potentially mineralized zones, including some new targets above the existing water table;
- Planning and initiating mining of the required secondary escapeway from the mine workings;
- Installation of two additional monitoring wells required by the Montana Department of Environmental Quality ("MDEQ") and a second de-watering well;
- Installation of the ventilation system, providing access to previous development areas;
- Planning for the extraction, metallurgical testing, and processing of the 10,000-ton bulk sample; and
- Staffing of the operation, including mining crews, environmental and administrative personnel.
Timberline President and CEO Paul Dircksen commented, "It is exciting to see these development and exploration activities taking place at the Butte Highlands mine site. With the remaining permitting activities progressing, it is important for us to advance as many projects as possible under our existing exploration permit. We recognize the inherent uncertainties in the timing of permit issuances, but we are pleased that our joint venture partner, who is funding the development and managing the project, is proactively preparing to begin production as soon as the permits are granted."
Timberline owns a 50-percent carried-to-production interest in BHJV, which owns the Butte Highlands Gold Project where mining is expected to commence following the issuance of the final hard rock operating permit and the U.S. Forest Service approval of a road-use plan of operations for material haulage. Timberline's joint venture partner has and will continue to fund all mine development costs through to commercial production with Timberline's share of those costs to be repaid from proceeds of future mine production.
About Timberline Resources
Timberline Resources Corporation is exploring and developing advanced-stage gold properties in the western United States. Timberline holds a 50-percent carried interest ownership stake in the Butte Highlands Joint Venture in Montana. Timberline's exploration is primarily focused on the major gold districts of Nevada, where it is advancing its flagship Lookout Mountain Project toward a production decision while exploring a pipeline of quality earlier-stage projects at its South Eureka Property and elsewhere. Timberline management has a proven track record of discovering economic mineral deposits that are developed into profitable mines.
Timberline is listed on the NYSE MKT where it trades under the symbol "TLR" and on the TSX Venture Exchange where it trades under the symbol "TBR".
The Company clarifies that BHJV has decided to advance the Butte Highlands Gold Project into production without first establishing NI 43-101 compliant mineral resources supported by an independent technical report or completing a feasibility study. A production decision without the benefit of a technical report independently establishing mineral resources or reserves and any feasibility study demonstrating economic and technical viability creates increased uncertainty and heightens economic and technical risks of failure associated with the Butte Highlands Project.
Statements contained herein that are not based upon current or historical fact are forward-looking in nature and constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements reflect the Company's expectations about its future operating results, performance and opportunities that involve substantial risks and uncertainties. These statements include but are not limited to statements regarding the timing and results of the Company's continued exploration and drill program at South Eureka and Lookout Mountain, the timing of assay results from such drilling program being released, the Company's ability to expand and upgrade the South Eureka resource, the timing or results of the Company's exploration and development plans and programs at Butte Highlands, including the timing of obtaining necessary permits, the development of and production at the Company's Butte Highlands project and projects on its South Eureka property, the potential life of the mine at the Butte Highlands project, the targeted production date for the Butte Highlands project, targeted date for production at South Eureka, the potential for a heap-leach mine at South Eureka, and possible growth of the Company and the Company's expected operations, including potential development of an open pit extraction and heap leach processing and operation at South Eureka. When used herein, the words "anticipate," "believe," "estimate," "upcoming," "plan," "target", "intend" and "expect" and similar expressions, as they relate to Timberline Resources Corporation, its subsidiaries, or its management, are intended to identify such forward-looking statements. These forward-looking statements are based on information currently available to the Company and are subject to a number of risks, uncertainties, and other factors that could cause the Company's actual results, performance, prospects, and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, risks related to the timing and completion of the drilling programs at Butte Highlands and South Eureka, risks and uncertainties related to mineral estimates, risks related to the inherently dangerous activity of mining, and other such factors, including risk factors discussed in the Company's Annual Report on Form 10-K for the year ended September 30, 2012. Except as required by Federal Securities law, the Company does not undertake any obligation to release publicly any revisions to any forward-looking statements.
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.
- Commodity Markets