Two Mining Firms Consider Merging

Two small mining companies in the Silver Valley may merge.

Atlas Mining Co. has entered into a letter of intent to purchase all outstanding shares of stock in the Sierra Silver-Lead Mining Co.

The acquisition includes the Sierra Silver Mine, which is leased to Sierra Silver Mine Tour in Wallace. More than 20,000 tourists visit the working mine each year.

“We’re tickled to be part of a program that promotes underground mining in Idaho,” said Atlas President Bill Jacobson.

In total, the acquisition would add 330 acres of patented claims to Atlas’ holdings in the Silver Valley. Patented claims include mineral rights on and below the surface, Jacobson said.

Atlas expects to have a formal plan to present soon to Sierra Silver-Lead shareholders, he added.

Atlas has about 700 acres of Silver Valley holdings. The company was formed in 1924, but has been inactive throughout much of its history.

Last year, however, directors agreed to purchase equipment to start an underground contract mining business. Atlas also owns holdings near Hecla’s Lucky Friday mine.