LONDON, ENGLAND–(Marketwired – Sept. 16, 2014) – Arian Silver Corporation (the "Company" or "Arian Silver") (TSX VENTURE:AGQ)(AIM:AGQ)(FRANKFURT:I3A) a silver exploration, development and production company with a focus on projects in the silver belt of Zacatecas, Mexico, reports that it continues to make excellent progress on the refurbishment and reassembly of the processing plant (the "Plant") at the Company's San José project site.
- Refurbishment and transportation of the Plant to the new site at San José completed and under budget;
- Installation of a new transmission line to supply grid power to the new plant site completed;
- Pre-construction earthmoving at the new site completed;
- Mounting and installation of the plant on site at San Jose nearing completion;
- New decline ramp into the Soledad section of the San José mine intersected with the vein;
- Financing discussions continue to advance;
- Images showing the progress at San Jose are available on the Company's website www.ariansilver.com/s/Sanjose.asp
Jim Williams, Chief Executive Officer of Arian Silver, commented: "I am delighted to report continued rapid progress with the refurbishment programme of our processing plant, which has a stated capacity of up to 1,500 tonnes per day once fully commissioned. This Plant, together with its extensive inventory of spare parts is now on site pending the completion of its reassembly and commissioning, which is also on-track for the end of the year in readiness for commercial production.
Arian Silver's financing negotiations continue to progress and the Board looks forward to updating shareholders as soon as possible."
In August 2013, Arian Silver purchased a custom processing plant, located 60km from the Company's mine site at San José. The acquisition, refurbishment and reassembly of the Plant is expected to enable Arian Silver to increase production in a modular manner up to a maximum capacity of 1,500 tonnes per day. This, together with increased mine production and the elimination of Arian Silver's reliance upon third-party toll millers, will provide significantly increased operational control, which should translate into significantly reduced operational costs.
The refurbishment of the Plant was completed significantly under budget and remains on schedule to begin commissioning by the end of 2014.
Ground works at the plant site are substantially complete, the reinforced concrete foundations are mainly completed, and the associated plant equipment is currently being installed. The construction and refurbishment of the site offices and other associated buildings has also been completed and the buildings are ready for use.
The installation of a 35KV multi-phase power line and associated spurs has been completed for Arian Silver's exclusive use at the Plant, which is rated to accommodate any planned upgrades at the Plant. This is in addition to the existing 13KV exclusive power line to the San José mine.
Photographs illustrating the progress of the development of the Plant are available on the Company's website, atwww.ariansilver.com/s/Sanjose.asp.
San José mine
Mine development continues in the San José and Santa Ana sections of the mine. Construction has commenced on an additional 4x5m decline ramp at the Soledad section of the mine, which is approximately 1km west of the main San José decline ramp. This work is part of the mine development program designed to ensure the mine can sustainably produce at up to 1,500 tonnes per day.
The mine has been dewatered to the 180m level (180m below the surface), enabling access to new areas, and further significant development has occurred at these deeper levels.
The Company's negotiations over a comprehensive financing solution for the San José Project continue to advance positively. The new financing solution is intended to retire the existing convertible note facility and complete the San José project development. As reported on 29 August 2014, the convertible note facility has been extended to 30 September 2014. The Board remains confident of a positive outcome and shareholders will be updated as soon as possible.
For further information please see www.ariansilver.com.
Notes to editors
Arian Silver is a silver exploration, development and production company with a focus on projects in Zacatecas, within the silver belt of Mexico, the world's most productive silver district.
Arian Silver's flagship San José silver project comprises the San José underground mine (Ag, Pb, Zn) and its custom processing plant. The Company is in the process of refurbishing, transporting and constructing the plant, which is expected to be commissioned by the end of 2014.
Full details of the Company's NI 43-101 compliant mineral resource estimate are available from www.ariansilver.com/s/Sanjose.asp.
This press release contains certain "forward-looking information". All statements, other than statements of historical fact that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future. This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company as well as certain assumptions (including that the Company will be able to obtain the necessary financing). Forward-looking information is subject to a number of significant risks and uncertainties and other factors that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, but are not limited to, the failure to raise the necessary financing, as well as unexpected delays in completing the transportation and refurbishment of the processing plant which could lead to unexpected delays in the start of operations and delays in the Company's mine expansion plans.
Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) and no stock exchange, securities commission or other regulatory authority accepts responsibility for the adequacy or accuracy of this release nor approved or disapproved of the information contained herein.