Could the Pine Bay Project become the Flin Flon area’s next mine?
It’s a question that residents have tended to approach with caution even as owner Callinex Mines repeatedly uses words such as “excited” to describe exploration results coming from the property.
But it’s also a question bound to garner more attention following Callinex’s announcement this week that a drill hole has led to a new high-grade zinc, gold, silver and copper discovery at the site.
“Having seen several discovery hole intersections over the years, including at the 777 mine, I’m particularly impressed with this one because of where it sits, its high-grade nature and its width,” said Jim Pickell, chief geologist for Callinex.
Those are some meaningful words from a respected geologist with decades of experience in the Flin Flon region. For me, they help elevate the “will Pine Bay become a mine?” question from an “I’m not sure” to a definite “maybe.”
That said, many factors are at play, not the least of which is the level of interest Hudbay will or will not have in Pine Bay, located 16 km east of Flin Flon.
Callinex is an ambitious enough company out of Vancouver, to be sure, but one that does not appear to have the funds on its own, at least at this stage, to turn the property into a mine, should further data warrant such an investment.
As exploration companies in this region often do, Callinex has continually pointed out how close its prized property is to Hudbay’s processing facilities.
The implication seems to be that Hudbay would have to be interested, or its operations somehow involved, for a potential mine to proceed. That’s not a given, as Hudbay will always have its own return-on-investment guidelines to consider.
That said, a nine-page document from Caesars Reports suggests that if Pine Bay proves to be as spectacular as it is looking at this early stage, mining outfits other than Hudbay could be drawn to the project.
It’s true that mining companies not named HBM&S or Hudbay have a pretty disappointing track record in this region. Just look at the short-lived gold mines at Tartan Lake near Flin Flon and Puffy Lake near Sherridon.
But the sources I’ve spoken with tell me that Pine Bay could be far superior to the deposits that spawned those abbreviated mines. Could be.
Might Hudbay be interested in Pine Bay? Here is an excerpt from an interview I conducted with Hudbay president and CEO Alan Hair in June:
Reminder: How closely are you following Callinex Mines’ ongoing (and promising) exploration work at the Pine Bay Project near Flin Flon? Do you see any possibility of a joint venture?
Hair: We’re always open to opportunity and we’re always engaging with junior companies who are a big part of unlocking the potential of the region.
It is difficult at this point to dismiss Pine Bay as another one of the seemingly numerous Flin Flon-Snow Lake deposits that hold more promise on paper than in the real world of quarterly reports and cyclical metal prices.
Flin Flonners certainly hope that Pine Bay will become the next addition to this region’s rich mining legacy. While there is reason to be cautiously optimistic, we’re still far from knowing which direction this project will take.
Local Angle is published on Fridays.
