First Mining Gold signs deal with First Majestic Silver for half of Springpole’s silver production
The developers of the Springpole gold mine project in northwestern Ontario have signed a US$22.5-million silver streaming deal with a major Mexican mining interest.
First Mining Gold has an agreement with First Majestic Silver to purchase 50 per cent of the silver produced from Springpole for the 12-year life of the proposed open-pit gold and silver mine.
The project, 110 kilometres northeast of Red Lake, is now in the technical study and permitting stage.
First Mining is earmarking the money to fund a prefeasibility study for Springpole, all the environmental assessment work, community consultation, and for general administrative purposes through to 2023.
For Vancouver-based First Majestic, this is the first investment on home soil. The company operates three silver and gold mines in Mexico.