Tennessee has a history of mining dating back to the 18th century. In the 1980s and 1990s Tennessee was the major producer of zinc in the USA. The Middle Tennessee Mines - Elmwood, Gordonsville, Carthage, Stonewall and Cumberland, together with the Gordonsville concentrator and Elmwood tailings facility – collectively the ‘MTM’, accounted for a major part. From 1964 when New Jersey Zinc Co. first began exploration in the area leading to the verification of a large zinc deposit with a decisive intercept of 5.1 metres of 18.5% Zn, more than 31,000 extraordinarily well documented drill holes were completed, 350 miles of underground tunneling was excavated and 14 shafts and ventilation raises were completed.

From 1975 to 2003, the Gordonsville mine complex produced 38 million tons of ore grading 3.28% Zn continuously with almost the same number of resources remaining when placed on care and maintenance due to low zinc prices and corporate restructuring. A very clean, high quality concentrate of 64.5% contained zinc metal together with payable germanium was consistently produced.

The ground conditions, wall rock, faces, roof, pillars and other support were not materially affected by water accumulation over time. Since work commenced in March 2007, SRA successfully completed the preliminary rehabilitation and dewatering plan for the Gordonsville Mine as scheduled. Commissioning of the mill components has begun and the Company expects to generate first concentrate at Gordonsville in March 2008.
Production targets are for over 25 million lbs of payable zinc in calendar 2008, increasing to over 100 million lbs in 2009. With agreements in principle aligned with some of the largest smelters in the world, Nyrstar SA/NV (Clarksville, Tennessee), Teck Cominco Metals Ltd. (Canada) and MG Rohstoffhandel GmbH (Ruhr-Zinc smelter Germany), SRA is on track to becoming the largest zinc producer in the continental United States. The excellent surrounding infrastructure will serve to transport the concentrate by truck, rail and barge for each respective destination.

Reclamation costs are estimated to be more than offset by the value of the land owned and the salvage value of the equipment and facilities.