Sandfire has a 61% stake, with approximately A$24 million invested to date, in Tintina Resources (TSX-V: TAU), a growth-oriented North American copper company which is developing the 100%-owned and leased Black Butte Copper Project, located near Helena in the State of Montana in the United States.
Located on private ranch land in central Montana, the Black Butte Project copper resource consists of three flat-lying sedimentary hosted copper deposits which have been extensively drilled by Tintina (over 53,000m of diamond drilling).
The Project includes NI 43-101 Measured and Indicated Resources totalling 15.7 million tonnes grading 3.4% Cu for 533,600 tonnes of contained copper (1,176Mlbs) and Inferred Resources totalling 2.3 million tonnes grading 2.8% Cu for 63,500 tonnes of contained copper (94Mlbs).
The known deposits form part of an extensive sulphide system which offers numerous opportunities for extensions and repeats over a 20km strike length, plus district-wide exploration potential to extend the mining operations.
The Black Butte Project is located close to existing road, power and rail infrastructure and offers the potential for a near-term mine development with low capital intensity.
A Preliminary Economic Assessment (PEA) completed by Tintina in July 2013 confirmed that the deposit has the potential to underpin a robust underground mining operation with forecast life-of-mine production of ~30,000tpa of copper-in-concentrate over a mine life of ~11 years, based on total mill throughput of 11.8 million tonnes at an average head grade of 3.1% Cu.
Tintina has submitted a Mine Operating Permit application for the Johny Lee copper deposit to the Montana Department of Environmental Quality late in 2015. The permitting will continue with an Environmental Impact Study commencing in 2016.
Tintina continues to work closely with all of its key stakeholders and local communities to progress the permitting process in a considered and consultive manner.
Further details can be found in the Tintina announcements, which are available at the Tintina website, www.tintinaresources.com.