en.Wedoany.com Reported - Black Bear Minerals has advanced its strategy to restart silver production at the Shafter mine in Texas to the next phase, awarding an operations study contract to engineering firm Ausenco. The mine, which previously produced over 35 million ounces of silver at an average grade of 521 grams per tonne, now holds a non-JORC compliant total silver resource of approximately 17.6 million ounces at a grade of about 289 grams per tonne, and benefits from approximately $150 million worth of infrastructure, most of which was modernized between 2011 and 2012. The site includes a modern and permitted Merrill-Crowe processing plant and refinery, grid-connected power, water rights, extensive support infrastructure, and over 160 kilometers of historical underground workings.
Earlier this year, Black Bear Minerals (ASX:BKB) commissioned Ausenco to evaluate restart options for Shafter, focusing on leveraging the project's surface and underground infrastructure to reduce capital requirements and maximize project value. The initial scope of work included assessing the condition of the processing plant, refinery, and mine support systems to develop high-level engineering and restart strategies. A recently completed depletion study identified preliminary order-of-magnitude restart costs, which management believes can be further optimized. Under an expanded work program, Ausenco will focus on phased technical de-risking activities and bankable feasibility studies, process trade-off studies, metallurgical test work, mine planning, and environmental and preliminary restart implementation plans. This program is designed to support a phased brownfield restart strategy, minimizing capital intensity and accelerating development timelines by optimizing the use of existing infrastructure and on-site facilities.
BKB CEO Dennis Lindgren stated that awarding the next phase contract to Ausenco is another key milestone in Black Bear's strategy to study a capital-efficient restart of the Shafter silver project by leveraging substantial existing infrastructure. Black Bear believes Shafter is increasingly aligned with Western government initiatives to secure domestic supply chains for critical and strategic metals, including silver. Management views the mine as particularly relevant in the U.S. defense, industrial, semiconductor, and energy transition sectors, potentially positioning Shafter as a contributor under the U.S.-Australia Critical Minerals cooperation framework. According to the company, this alignment could support engagement with government-backed financing institutions, strategic stakeholders, and institutional participants focused on Western critical mineral and precious metal supply security.
Management noted that Ausenco has received a non-binding letter of support from Australia's export finance agency regarding potential financing activities related to the Shafter work program, subject to various approvals and conditions. Lindgren stated that the support from Australia's export finance agency for Ausenco highlights the role of Australian capabilities in supporting U.S. critical mineral development. Black Bear will formally initiate the next phase of the restart study with Ausenco and plans to continue discussions with the EFA on potential project financing pathways, while advancing engagement with U.S. government stakeholders and private sector counterparts focused on strengthening domestic silver supply chains. Management views this engagement as a key step in advancing Shafter from brownfield restart assessment and exploration activities to more formal restart evaluation and development planning.
The company has held meetings in Washington, D.C., to highlight Shafter's strategic opportunity as a potential source of U.S. silver production. Black Bear is also conducting exploration and technical work programs aimed at expanding and upgrading Shafter's resource base, including drilling along the underexplored 2.4-kilometer MacDaniel mineralized trend and assessing shallow mineralization for potential open-pit mining.
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