January 21, 2010 - Nevada Copper Corp. (TSX: NCU) (“Nevada Copper”) is pleased to announce additional high grade copper results at its 100% owned Pumpkin Hollow Copper Development Property located in Nevada. Drill results continue to demonstrate the continuity of mineralization and further expand the significant copper resources in the East Deposit. These very encouraging results are the first assays to be reported from the 25,000 meter, 2009 - 2010 drill program that is part of Pumpkin Hollow’s Pre-Feasibility Study currently underway and scheduled for completion by the beginning of the third quarter.
Three holes were drilled in the East Deposit. NC09-02 was along the southern edge of the deposit and intersected 31.1 meters (102.0 ft) averaging 2.45% copper, which includes a very high grade zone of 7.1 meters (23.4 ft) averaging 4.17% copper. This hole intersected higher grade mineralization than nearby MN-22, 200 feet east of NC09-02, which intersected 17 meters (56 ft) averaging 1.53% copper and 5.8 meters (19 ft) averaging 1.72% copper. Drill hole NC09-01, drilled to determine the extent of mineralization along the open northeastern boundary of the East Deposit, intersected 18.9 meters (62.0 ft) averaging 2.24% copper.
Since both holes have extended the high grade mineralization along strike, follow up drill holes are planned. NC08(09)-56 drilled in the extreme northeast corner of the deposit closed off mineralization. A plan map and geological cross-section through NC09-02 can be found at http://www.nevadacopper.com/s/PumpkinHollow.asp?ReportID=345667.
“We’re very confident with the grade and continuity demonstrated by this infill drilling. It confirms our view that the East Deposit continues to have significant upside that will increase the Project’s mine-life. These results are expected to improve an already robust economic profile for the Eastern Resource at Pumpkin Hollow.” commented Greg French, Project Manager of the Pumpkin Hollow Project.
Drill results announced here represent true thicknesses.
EAST DEPOSIT - Assays greater than 1% Cu
|Drill Hole #||From (m)||To (m)||Length (m)||Length (ft)||Copper (%)||Gold (g/t)||Silver (g/t)||Iron (%)|
Three infill drill holes were drilled in the South Deposit in the area of a possible starter open pit. The information gathered will be used for metallurgy and pit design. Drill hole NC09-06 intersected a thick zone of shallow mineralization, 50.3 meters (165.0 ft) averaging 0.75% copper. Several shallow mineralized zones were also encountered in hole NC09-04; 16.8 meters (55.0 ft) averaging 0.76% copper and 9.6 meters (31.5 ft) averaging 0.36% copper.
An updated drill hole plan map for the South Deposit is available at http://www.nevadacopper.com/site/assets/files/4020/southdepositplanview-20100119.pdf.
SOUTH DEPOSIT - Assays greater than 0.3% Cu
|Drill Hole #||From (m)||To (m)||Length (m)||Length (ft)||True Length |
|Copper (%)||Gold (g/t)||Silver (g/t)||Iron (%)|
About Nevada Copper
Nevada Copper is an emerging copper company, responsibly developing its advanced stage Pumpkin Hollow copper-gold-silver-iron property into Nevada’s next copper mine. Concurrent with a resource delineation drilling program, metallurgical, geotechnical, hydrological, and environmental baseline data are being collected and processed for inclusion in a Pre-Feasibility Study currently in progress.
To date over 530 drill holes containing in excess of 223,000 meters of drilling have been incorporated into the resource database. In December 2009, Nevada Copper updated its National Instrument 43-101 Preliminary Economic Assessment (“PEA”) for its 100% owned Pumpkin Hollow IOGC Property in Nevada which incorporated a High Grade Case. This is an update to the PEA results published on March 17, 2008.
The updated PEA evaluates an integrated underground and open pit mining operation with a standard milling and floatation plant that will produce high grade copper concentrates. Highlights from the PEA high grade case at copper prices from $2.00 to $3.00 per lb. copper are as follows:
- Net present Value $211 Million to $784 Million with an 8% discount rate;
- Internal Rate of Return 25.3% to 60.4%;
- Operating Cost $1.06/lb total, net of by-product credits;
- Capital Cost Estimate $192 Million including contingencies and working capital;
- Project payback from
start of construction 1.9 to 3.6 years
The designed mining operation would have a 7,500 ton per day concentrator throughput. Metallurgical recoveries are estimated at 89% for copper, 70% for gold and 68% for silver.
The Pumpkin Hollow drilling program is under the supervision of Gregory French, CPG #10708, a Qualified Person as defined in Canadian National Instrument 43-101, who is responsible for the preparation of the technical information in this news release. All assaying and whole rock geochemistry is processed at the American Assay Laboratories (AAL) in Reno, Nevada. Samples are delivered from the project core logging facility to AAL by Nevada Copper or AAL personnel. A Quality Assurance and Quality Control Assay Protocol have been implemented whereby blanks and standards are inserted into the assay stream and check samples are sent to Chemex-Reno and Inspectorate-Reno laboratories.
Nevada Copper has 45 million shares outstanding and is well financed. 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 that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, including the likelihood of commercial mining and possible future financings are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include unsuccessful exploration results, changes in metals prices, changes in the availability of funding for mineral exploration, unanticipated changes in key management personnel and general economic conditions. Mining is an inherently risky business. Accordingly the actual events may differ materially from those projected in the forward-looking statements. For more information on the Company and the risks and challenges of its business, investors should review the Company’s annual filings that are available at www.sedar.com
For further information call:
Eugene Toffolo, Corporate Communications
Giulio T. Bonifacio, President & CEO