TORONTO (miningweekly.com) – The province of New Brunswick on Thursday entered into a limited environmental liability agreement with zinc-focused miner Trevali regarding the historic environmental liabilities at the recently acquired Caribou mine and mill complex, located in the Bathurst mining camp.

Under the agreement, Trevali would be responsible for all environmental liability and reclamation costs associated with the Caribou mine on its closure, other than the historic liabilities.

"This is an important milestone in the Trevali project and will bring it one step closer to creating many jobs in the Bathurst region. At the same time it will be critical in helping to protect the environment for many years to come," New Brunswick's Energy and Mines Minister Craig Leonard said in a statement.

Trevali president and CEO Dr Mark Cruise added that with this agreement in place, Trevali could now move another step forward in its near-term activation plans for its Caribou and Halfmile operations, which would form the foundation for the company's long-term growth strategies in the Bathurst mining camp."

The New Brunswick Department of Energy and Mines based the agreement on a reclamation plan prepared by Stantec Consulting.

Trevali said it would employ its best efforts to use existing waste rock stored on surface at Caribou for roads, containment dikes and waste dumps, and as backfill in the underground operations.

Further, Trevali had also agreed to allow the province the option to store and dispose of waste rock from the closed nearby Restigouche zinc and lead mine at the Caribou site, thereby providing the province with a lower-cost and fast-track reclamation solution for the former Restigouche site.

Trevali is also developing the Santander zinc/lead/silver mine, in Peru, where commissioning is scheduled to start during this quarter, to ramp up to full production of 2 000 t/d.

In Canada, Trevali owns the Caribou mine and mill, Halfmile mine and Stratmat polymetallic deposit all located in the Bathurst mining camp of northern New Brunswick. Initial trial production from the Halfmile mine was successfully undertaken in 2012 and the company expects starting operations at its 3 000 t/d Caribou mill complex late this year.

Trevali shares traded down 2.78% at C$1.05 apiece on the TSX on Friday afternoon.