Star Mountain Resources, Inc. (SMRS) Prepares to Begin Hiring Process for Newly-Acquired Balmat Mining Complex
In November, Star Mountain Resources, Inc. completed the acquisition of Balmat Holding Corporation – including St. Lawrence Zinc Company, LLC and its mining operations in the Balmat mining district of New York – after meeting all of the closing conditions of purchase agreements with both Northern Zinc, LLC and HudBay Minerals, Inc. Following the announcement, the company outlined plans to upgrade and modernize certain infrastructure systems and develop additional access to the newly-acquired mining areas in order to restart production in as little as six months.
Prospective shareholders were given an update on Star Mountain’s progress earlier this week when the Watertown Daily Times published an article highlighting the company’s recent efforts to prepare to restart zinc production. Though the St. Lawrence Zinc Company mine has been shuttered since 2008, there are no legal or regulatory hurdles impeding the commencement of mining operations, leaving Star Mountain free to move forward on an accelerated schedule. Last week, representatives from the company met with St. Lawrence County officials to determine how local agencies can assist with the hiring process.
“It will be a two-step process, finding the workforce and training them,” Patrick J. Kelly, executive director of St. Lawrence County’s Industrial Development Agency, told reporters following the meetings. “We have agencies that have the expertise to help them identify a potential workforce.”
Initially, Star Mountain plans to hire about 50 employees, but the company expects to staff the Balmat mine with as many as 150 employees in the future. The schedule for additional hires will likely depend on the amount of time it takes to recommence active mining operations at the property. County legislator Joel L. LaPierre estimated that it would take roughly a year to begin extracting zinc from the mine in a recent interview.
The Balmat mining complex – including a 4,000-foot-deep mine, a 5,000-ton-per day flotation mill, an office building and necessary infrastructure for mine operation – was originally shuttered as a result of declining zinc prices, but forecasts for the coming months are promising. According to Mark Osterberg, president and chief operating officer of Star Mountain, zinc prices are set to increase beginning next year following the closure of several zinc mines with depleted reserves.
To read the Watertown Daily Times article, visit https://www.watertowndailytimes.com/news05/plans-to-reopen-st-lawrence-zinc-move-forward-20151130
For more information, visit www.starmountainresources.com
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