Alexco Announces One Year Extension of Silver Stream Amendment Buy-Down Date
Press Release
November 3, 2014 – Alexco Resource Corp. (NYSE MKT:AXU, TSX:AXR) today reports that it and Silver Wheaton Corp. have agreed to extend the buy-down date for the pending amendment to their existing silver streaming agreement. As previously announced, the amendment becomes effective when Alexco makes a US$20 million payment to Silver Wheaton, and the outside date for that payment has now been extended by one year to December 31, 2015. In addition, the date for satisfaction of the 400 tonne per day mine(s) and mill completion test has also been extended by one year, to December 31, 2016.
Alexco’s President and Chief Executive Officer Clynt Nauman said, “The extension of the buy-down date gives Alexco considerable flexibility while we plan for future operations at Keno Hill, and importantly, enables implementation of the revised Silver Wheaton agreement to remain an option through challenging market conditions. In the meantime, we are acutely aware of our undervalued share price and do not want to dilute shareholders in the current market; to the contrary, I have continued to add to my Alexco holdings in recent weeks.”
About Alexco
Alexco Resource Corp. owns the Bellekeno silver mine, one of several mineral properties held by Alexco which encompass substantially all of the historical Keno Hill Silver District located in Canada’s Yukon Territory. Bellekeno, which commenced commercial production at the beginning of calendar year 2011, was Canada’s only operating primary silver mine from 2011 to 2013. Alexco is currently undergoing an interim suspension of operations at Bellekeno in order to decrease costs and reposition the District for long-term, sustainable operations. The Keno Hill Silver District lies within the traditional territory of the First Nation of Na-Cho Nyak Dun who have a fully settled land claim agreement with the Government of Canada and the Yukon, and Alexco operates within the District under a comprehensive cooperation and benefits agreement with the First Nation. Alexco’s primary near-term exploration objective is to unlock value in the silver-rich Keno Hill District, and is focused on growth by advancing its promising District properties to development decisions. Employing a unique business model, Alexco also provides mine-related environmental services, remediation technologies and reclamation and mine closure services to both government and industry clients through the Alexco Environmental Group, its wholly-owned environmental services division.
Keno Hill Silver District History
Between 1921 and 1988, the Keno Hill Silver District was a world-class silver producer, with more than 217 million ounces of silver produced at average grades of 40.5 ounces per ton silver, 5.6% lead and 3.1% zinc (Yukon Government’s Minfile database). These historical production grades would rank Keno Hill in the top 3% by grade of today’s global silver producers.
Contact
Clynton R. Nauman, President and Chief Executive Officer
Vicki Veltkamp, Vice President Investor Relations
Phone: (604) 633-4888
Email: info@alexcoresource.com
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