August 26, 2013 - Nevada Copper Corp. (TSX: NCU) ("Nevada Copper" or "Company") is very pleased to announce that it has now received its Water Pollution Control Permit. This is one of the two remaining State permits that will allow for full construction and operation of the Stage 1 underground project.
The Company is expecting its final permit, the Air Pollution Control Permit, within the next 20 days. Receipt of the Air Pollution Control Permit is considered a "minor" permit and will complete all required permitting for the Stage 1 underground operation.
Further to the RK Mine Finance ("Red Kite") loan facility and concentrate off-take agreement for US$200 million (see March 28, 2013 News Release) a payment of US$15 million will be received upon receipt of all permits. The Air Pollution Control Permit is currently the only permit that remains outstanding.
Water Pollution Control Permit
Further to our press release dated July 16, 2013 the Nevada Department of Environmental Protection ("NDEP") issued the Water Pollution Control Permit on August 23, 2013.
On July 10, 2013, NDEP issued the 30-day Public Notice to issue the modified WPCP. This 30-day public review was completed on August 9, 2013. During the 30 days comment period, no comments were received. Our Reclamation Permit was also previously issued with no public comments.
The current Water Pollution Control permit is a modification of a previous water pollution control permit that Nevada Copper received in 2008. This permit was obtained in order to sink a 2,140 foot, 24-foot diameter production-sized shaft. A production-sized hoist and head-frame have been constructed and shaft sinking is currently in progress, with a target for completion by Q2-2014.
Giulio Bonifacio, President and CEO, stated: "We continue to execute and achieve all our defined project and financing milestones for purposes of achieving commercial production in 2015. All permits for our Stage 1 underground operation have now been received with only the Air Quality Permit remaining which we expect within the next 20 days. With our recently completed Red Kite financing totaling US$200 million and current treasury, we expect to fund a significant portion of the remaining project capital by way of an equipment lease and precious metal stream. We are fast approaching our most significant corporate and project milestone - a fully permitted and funded project with minimum dilution to our shareholders."
Air Pollution Control Permit ("APCP")
Nevada Copper expects to receive its Class II Air Pollution Control Permit, a "minor" air permit, within the next 20 days.
The NDEP, Bureau of Air Quality deemed the APCP application administratively complete on June 26, 2013 and entered a 60-day technical review. NDEP has completed their technical review of the emissions inventory and dispersion model and Nevada Copper has satisfactorily responded to all comments. The 30-day public comment period started on July 26 and will be complete on August 26, 2013.
Tim Dyhr, Vice President Environment and External Relations stated: Timely receipt of permits reflects the detailed engineering and environmental analyses we have performed to design an environmentally sound mine project and the collaborative relationship we have developed with County, City and State officials. That design integrates concurrent reclamation into operations; conserves water by reducing water demand by 65% for tailings management; and provides for other environmental management practices that will be implemented during construction and operations."
Lyon County Economic Development Bill
The U.S. Congress will be on break in August and returns to Washington D.C. on September 9. The Senate version of this bill (S. 159) has been reported out of the Senate Energy and Natural Resources Committee. Senator Reid and Senator Heller are working to include this bill in an upcoming floor vote. The identical House version of the bill (H.R. 696) is awaiting action in the House Natural Resources Committee, after which it can be voted on the floor of the House. Congressman Amodei and Horsford continue to consider the bill their top priority. Congressman Amodei has indicated to the Company that he expects H.R. 696 to be considered during the first work session when Congress reconvenes in September, and he expected to see final passage of the bill before the end of the year. Lyon County, the City of Yerington and Nevada Copper are supporting the Congressional delegation and are confident this bill, with over $1 billion to construct, 900 permanent employees and over $300 million in direct expenditures per year, will be passed this year.
Stage 2 Open Pit Feasibility Study
Further to our press release dated April 23, 2013 the Company is currently completing a standalone, Stage 2 open pit feasibility study. The feasibility study contemplates mining the Western open pittable deposits, includes the recently increased mineral resources and higher throughput production rates in the range of 70,000 to 75,000 tons/day. TetraTech, an industry leading international engineering firm was engaged to complete the feasibility study. Completion of this feasibility study is targeted for release in September 2013.
For additional information about Nevada Copper please visit our website at www.nevadacopper.com.
NEVADA COPPER CORP.
Giulio T. Bonifacio, President & CEO
This news release includes certain statements and information that may contain forward-looking information within the meaning of applicable Canadian securities laws. All statements in this news release, other than statements of historical facts, including the likelihood of commercial mining, securing as strategic partner, expanding the mineral resources and reserves and possible future financings are forward-looking statements. Such forward-looking statements and forward-looking information specifically include, but are not limited to, statements concerning: Nevada Copper Corp. (the "Company") plans at the Pumpkin Hollow Project; the timing of granting of key permits; from the Feasibility Study: the estimated metal production and the timing thereof; capital and operating costs, future metal prices and cash flow estimates derived from the foregoing.
Forward-looking statements or information relate to future events and future performance and include statements regarding the expectations and beliefs of management and include, but are not limited to, statements with respect to the estimation of mineral resources and reserves, the realization of mineral resources and reserve estimates, the timing and amount of estimated future production, capital costs, costs of production, capital expenditures, success of mining operations, environmental risks and other mining related matters. Often, but not always, forward-looking statements and forward-looking information can be identified by the use of words such as "plans", "expects", "potential", "is expected", "anticipated", "is targeted", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements or information include, but are not limited to, statements or information with respect to known or unknown risks, uncertainties and other factors which may cause the actual industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information.
Forward-looking statements or information are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks and uncertainties relating to: history of losses; requirements for additional capital; dilution; loss of its material properties; interest rates increase; global economy; no history of production; future metals price fluctuations, speculative nature of exploration activities; periodic interruptions to exploration, development and mining activities; environmental hazards and liability; industrial accidents; failure of processing and mining equipment to perform as expected; labor disputes; supply problems; uncertainty of production and cost estimates; the interpretation of drill results and the estimation of mineral resources and reserves; changes in project parameters as plans continue to be refined; possible variations in ore reserves, grade of mineralization or recovery rates may differ from what is indicated and the difference may be material; legal and regulatory proceedings and community actions; accidents, title matters; regulatory restrictions; permitting and licensing; volatility of the market price of Common Shares; insurance; competition; hedging activities; currency fluctuations; loss of key employees; other risks of the mining industry as well as those factors discussed in the section entitled "Risk Factors" in the Company's Annual Information Form dated September 26, 2012. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. The Company disclaims any intent or obligation to update forward-looking statements or information except as required by law, and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the securities regulatory authorities in Canada. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that could cause results not to be as anticipated, estimated or intended. For more information on Nevada Copper and the risks and challenges of its business, investors should review Nevada Copper's annual filings that are available at www.sedar.com.
The Company provides no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
For further information call:
VP, Investor Relations & Communications
Toll free: 1-877-648-8266
Robert McKnight, P.Eng., MBA
Executive Vice President & CFO