|April 23, 2015
Nevada Copper Pumpkin Hollow Project Update
|April 23, 2015 – Nevada Copper Corp. (TSX: NCU) (“Nevada Copper” or the “Company”) is pleased to announce results for an initial three diamond drill holes from the current open pit drilling program and to provide a project update at the Company’s 100 percent owned Pumpkin Hollow project located near Yerington Nevada.
Open Pit Drilling Results
The drill program which started in late February currently has three drill rigs on site. The current drill program will consist up to 74,000 feet (22,600 meters) of drilling. The first drill holes were drilled in the North Deposit to follow up open prospective areas identified in early 2013 drilling. Drill hole NC15-02 was drilled along the edge of the South deposit where mineralization was open. The table below summarizes the drilling results received for drill holes NC13-10; NC-15-01 and NC15-02. Assays for the remaining drill holes will be posted as results are received.
Greg French, Vice President of Project Development & Exploration, commented, “The current drill program is focused on the saddle zone mineralization located between the North and South pits and the open and inferred mineralized areas on the edges of the open pit deposits. The initial drill holes reported continue to expand mineralization. NC15-02 drilled along the southern portion of the South Deposit, discovered at shallow depths, a 125.5 meter zone averaging 0.42% copper. Mineralization remains open and the drill hole location in the current pit design is expected to upgrade currently classified waste material in that area.”
Drill hole NC13-10 was drilled in the Saddle Zone between the North and South open pit deposits. The mineralization correlates well with adjacent holes and bottomed in mineralization. This hole finished up a pre-collared hole from the previous 2013 drilling. The lower zone of intersected 62.4 meters (204.8 feet) true thickness averaging 0.27% copper and continues to push mineralization out and should convert mineral classification.
Drill hole NC15-01 also drilled in the Saddle Zone between the North and South deposits intersected two thick mineralized zones that correlate with adjacent holes but with slightly lower grade. The largest zone intersected 103.7 meters (340.3 feet) true thickness averaging 0.23% copper. There are also localized zones of high grade within low grade. The hole expanded mineralization within the present designed pit.
Drill hole NC15-02: South Deposit, intersected several zones of shallow mineralization along the southern edge of the deposit. The upper zones have expanded the existing mineralization. The lower zone 125.5 meters (411.7 feet @ 0.42% Cu), 88.7 meters (291feet) true thickness, is new, as several adjacent holes were only drilled as shallow pre-collars. Drill hole NC15-02 has expanded the mineralization. Follow up drilling for this expanded area and newly discovered mineralization is planned.
* Cu Equiv using Cu 3.00, Au $1200 and Ag $18; recoveries 89.3%, 67.3% and 57.3% respectively
A map showing drill holes location is shown below:
Underground Drill Program
Underground drilling of the East deposit is expected to commence in May 2015 from drill stations on the 1,900 foot level. The underground drilling 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. This drilling program will also provide additional data for mine development designs while expanding the open mineralized areas.
Management believes that the program has the potential to improve the overall copper production grades especially in the early years while also allowing for expansion of the combined Eastern underground copper reserve boundaries that remains open in several directions.
Integrated Feasibility Study
Federal Land Acquisition and Permits
Upon closing of the land conveyance, the City will convey 6,430 acres of private land to Nevada Copper. Adding this acreage to the 1,560 acres of private land that Nevada Copper currently controls, means that the Company will have a total of 7,990 acres (12.8 square miles) available for the large scale integrated open pit and underground mine development.
Permitting of the large open pit and underground integrated project is continuing according to plan. This permitting involves modification of our existing State air pollution control and reclamation permits to allow for the larger open pit operation and a 70,000 tons/day concentrator. Permitting is scheduled to be completed by mid-2015 concurrently with closing of the land acquisition.
Iron Concentrate Study
Along with low cost power, Pumpkin Hollow has close proximity to rail infrastructure which is important for moving the larger tonnages associated with any future iron ore production. The possibility of adding iron revenues at minimal or no cost has not been factored into any previous feasibility studies, nor in the current IFS to be released in May.
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 in mid-2015, expectations as to the possible results of the Integrated Feasibility Study when completed, expectations as to any future revenues from an possible iron magnetite operation, 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.