June 24, 2015 - Nevada Copper Corp. (TSX: NCU) (“Nevada Copper” or the “Company”) is pleased to announce additional results of diamond drilling on the North and South open pit deposits and provide a project update at the Company’s 100% owned Pumpkin Hollow project located near Yerington Nevada.
Open Pit Drilling Results
Drilling continues to expand the open extent of mineralization in the North and South open pit deposits including areas that may have economic copper mineralization but are currently categorized as inferred, or waste, due to limited drill data. Phase 1 of the drill program, which started in late February, has been completed. Currently 21 holes have been completed for a total of 34,600 feet (10,600 meters). The results for 10 holes have previously been released. This news release provides the results for five drill holes bringing the total holes released to 15. The results for the remaining 6 holes are pending.
The holes were drilled in the North and South deposits and the Connector zone between the deposits. Drill holes NC15-08 and NC15-10 were drilled in the Connector zone. NC15-11 was drilled in the center of the North deposit where mineralization was expanded and copper grades were higher than the adjacent holes. Drill hole NC15-15 expanded mineralization within the current pits limits on the north edge of the North deposit and NC15-12, drilled in the South deposit, expanded mineralization to the north toward the Connector zone.
Drill holes NC15-08 and NC15-10 are located in the Connector zone between the North and South open pit deposits. Both holes intersected narrow zones of mineralization.
Drill hole NC15-11, located in the center of the North deposit, intersected multiple zones of mineralization in the center of the deposit. The largest zone, 116.3 meters (381.5 feet) true thickness averaging 0.53% copper is higher grade and thicker than adjacent holes. The new lower zones below this intercept fill in areas where drill density was limited and the material was previously classified as waste or inferred. Additional drilling is currently under review.
Drill hole NC15-12 which is located on the northern edge, and within the designed South pit limit, intersected multiple zones of mineralization. The highest grade was 50.6 meters (166.0 feet @ 0.75% Cu), 38.8 meters true thickness. The mineralization is continuous with adjacent holes and remains open. Additional off set holes are planned.
Drill hole NC15-15 is located along the northern edge and within the designed North pit limit. The mineralization is continuous with adjacent holes and is open to the north.
Greg French, Vice President of Project Development & Exploration, commented, “We continue to be very pleased with our drilling results to date within the design limits of the Western open pit deposits. Mineralization is expanding into areas currently classified as waste or inferred material. With the current breakeven cut-off for the open pits at 0.16% copper, the addition of this mineralization should have a positive effect on mine design and strip ratios. Drill hole NC15-11 has intersected mineralization projected below previous shallow drilling, as was the case for the previously-released drill hole NC15-04. These lower zones will expand mineralization in the center of the North deposit. The thickest intercept, 381 feet averaging 0.53% copper not only expanded mineralization, but is higher grade than adjacent holes.”
The table below summarizes the results received. Assays for the remaining drill holes will be posted as results are received.
* Cu Equiv. used Cu $3.00, Au $1,200 and Ag $18; recoveries 89.3%, 67.3% and 57.3% respectively.
A map showing drill holes location is shown below:
Underground Drill Program
The underground drilling program began during the last week in May. This program will consist of up to 26,000 feet (7,900 meters) of delineation and development drilling which will focus on further enhancing the high grade zones within the current mineral reserve, especially in areas planned for mining in the early years.
Management believes the program has the potential to improve the copper production grades in the early years and continue to expand mineralization which remains open in several directions. This drilling will also provide additional geotechnical data for updated mine designs.
Iron Concentrate Study
Drilling in the South pit area for the bulk sample for iron metallurgical test work has been completed and assays are pending. On April 23, 2015, the Company announced a Memorandum of Understanding (“MOU”) with a large multi-national steel producer to assess opportunities to exploit the large Pumpkin Hollow iron resource. The assessments would include drill sampling consisting of six holes for a total of 8,500 feet (2,600 meters). Drill results from this drilling will be released as they become available and the results will report both iron and copper assays.
Additionally mine planning, engineering studies and metallurgical work will also be completed. These studies will determine if a byproduct magnetite (iron oxide) stream from the copper tailings at a future Pumpkin Hollow concentrator would be suitable as feed for downstream iron ore processing for use in steelmaking.
Permitting and Land Acquisition Update
The Federal land acquisition administrative process is progressing as planned, with land surveying and official land records maps completed, and official deeds and land valuation appraisal 90% complete.
State permitting activities for the Integrated project are continuing and are now in the final phase, with issuance of all key construction and operating permits expected by August. Subject to project financing, commencement of project construction would then be able to proceed on closing of the land acquisition from the Bureau of Land Management.
For further information please visit the Nevada Copper corporate website (www.nevadacopper.com) and visit our Pumpkin Hollow virtual tour.
The technical information in this release has been reviewed and approved by Gregory French, P.G., Vice-President, Exploration & Project Development, Timothy D. Arnold, P.E., Vice President Operations, and Robert McKnight, P. Eng., Executive Vice-President and CFO of Nevada Copper, all of whom are Non-independent Qualified Persons within the meaning of NI 43-101.
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 are forward-looking statements. Such forward-looking statements and forward-looking information specifically include, but are not limited to, statements concerning: management’s expectations of completion of the permitting and land acquisition by Q3-2015, expectations as to the results of the planned underground and surface drilling programs, as well as the Company’s plans in general at the Pumpkin Hollow Project.
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 mineral 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: requirements for additional capital; 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; unanticipated political events in the United States, 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 March 17, 2015. 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