Multinational rehabilitating Hunter mine, Timmins

After protracted negotiations, Multinational Resources has concluded an agreement to purchase Du Pont Canada’s Baker mill in the Toodoggone area of British Columbia.

For a consideration of $50,000, Multinational Mining, a subsidiary, has the right to purchase the plant for $2 million cash or enter into a 3-year lease-purchase agreement by Sept 30.

The fully-permitted Baker mill and camp complex adjoins Multinational’s large claim block previously purchased from Du Pont. The modern 100-ton plant, which was built in 1980 and operated for 2 1/2 years, is reported to be in excellent condition. Multinational estimates startup costs at $150,000 and predicts the plant could be expanded to 300 tons for “a relatively modest additional cost.” Much of the equipment in the mill is oversized, the company notes.

“An election as to mill lease or purchase (and possible expansion) will be made following the scheduled 1988 diamond drill program and possible underground program,” says Multinational.