The provincial government has issued a permit to allow a significant expansion of the Endako molybdenum mine 170 kilometres west of Prince George.
It means the mine's owner, Thompson Creek Metals, based in Denver, Colorado, can proceed with amalgamating its three pits and make full use of its new $633-million mill, which has been operating since the start of February.
Once the mill is at full production, the mine is expected to produce 7.3 million kilograms of molybdenum each year, up from 4.5 million
using the old mill.
"Our employees, contractors, and suppliers have performed an outstanding job meeting the many challenges necessary to reach operational and commercial production so quickly," Thompson Creek Metals chief executive officer Kevin Loughrey said in a government press release issued Friday.
"We continue to make significant progress and ramp up production, and we anticipate full production will be achieved in the second quarter of 2012.
"Once at full production, the Endako mine is expected to increase molybdenum production from approximately 10 million pounds per year to approximately 16 million pounds per year (100 per cent basis)."
The mine's reserves are expected to last until 2028 and the expansion will generate $90 million to $100 million annually in direct economic activity through wages, purchases and taxes.
As well, 36 people living in Burns Lake have landed jobs at the mine after their previous jobs were lost to the Jan. 20 fire and explosion at the Babine Forest Products sawmill.
Thompson Creek Metales holds a 75-per-cent interest in the mine and Sojitz Corporation, a Japanese company, holds a 25 per cent interest.
