Reuters reported that Canada's miner HudBay Minerals Inc will restart its Chisel North mine and concentrator in Manitoba effective immediately and expects full production from the operations by the Q2.
HudBay said in a statement that the Chisel North mine and Snow Lake concentrator have been on care and maintenance since the Q1 of 2009 due to depressed zinc prices at the time.
The company forecast about CAD 7 million in costs to restart operations at the mine and expects the restart to provide about 30,000 tonnes of zinc concentrate feed to its Manitoba based Flin Flon zinc plant annually.
The company said that it has entered into a hedge of about half of the expected zinc production from the Chisel North mine at an average price of about USD 1.01 per pound.
