TORONTO - Liberty Mines Inc. (LBE:TSX) said Wednesday that it has found a form of asbestos in the ore body at its McWatters nickel mine, which is currently on care and maintenance mode.

The company said it will conduct additional testing and further independent analysis to determine the impact on the economic feasibility of restarting the mine, southeast of Timmins, Ont.

Liberty Mines is also reviewing conditions at its inoperative Redstone mine, its Hart project and its mill.

Last year, the company suspended work at McWatters, which has operated intermittently from 2009-2012, due to low nickel prices.

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