A U.S. Bankruptcy Court for the District of Montana has approved Silver Bow Mining Corp.’s purchase of the Jefferson County Metallurgical Complex from Montana Tunnels Mining Inc. The ruling, issued Sept. 4, 2026, authorized the transaction under Sections 105(a) and 363 of the U.S. Bankruptcy Code.
Prior to the announcement on Aug. 24, 2026, Silver Bow Mining funded approximately $28.58 million into an escrow account to satisfy creditor claims. About $4.27 million is allocated to amounts owed to Jefferson County, Montana, and roughly $20.78 million covers obligations to the Montana Department of Environmental Quality. Disbursement is scheduled over several days as payment instructions are finalized.
The purchase is secured by a senior secured note issued to Silver Bow Mining by Montana Goldfields Inc., guaranteed by Montana Tunnels Mining Inc. and backed by real property interests, fixtures, and tangible personal property at the complex.
Although the initial closing has been completed, ownership of the complex will transfer only after final closing conditions are met. Those conditions include shareholder approval of common shares underlying contingent value rights and approval from the NYSE American stock exchange.
Silver Bow Mining, based in Butte, Montana, also holds the Rainbow Block Silver-Zinc Project in the same district. The company controls approximately 4,210 acres of patented mineral claims and 1,427 acres of surface lands in Silver Bow County, Montana.
Chairman and Chief Executive Officer Travis Naugle said the company’s “primary focus remains advancing the Rainbow Block while working through remaining approvals and undertaking technical, regulatory and site work to evaluate the complex.”
