VANCOUVER, BC / ACCESSWIRE / December 5, 2017 / CopperBank Resources Corp. ("CopperBank" or the "Company") (CSE: CBK) (OTC PINK: CPPKF) is pleased to report that it has initiated a strategic review for its 100%-owned Contact Copper Oxide Project (the "Contact Project") located in Elko County, Nevada.
The Company is interviewing consultants with expertise in heap leach copper, and specifically, mine plan optimization. This internal review will be based on assumptions from previous technical reports, including the October 2013 pre-feasibility study ("PFS") conducted by Hard Rock Consulting LLC. Subject to the outcome of this review, the Company would contemplate a cost-effective work program, which could include shallow in-fill and metallurgical drill holes to assist in greater confidence with the Company's optimization plans. It is anticipated that the completion of these optimization studies would be complete by the end of the first quarter of 2018. A copy of the 2013 PFS can be found on the Company's website www.copperbankcorp.com.
The Company is also pleased to report that it is reviewing options to unlock shareholder value, including a partnering with third parties who have expressed interest in the Contact Project and who have experience in the development and operation of solvent extraction and electrowinning ("SX-EW") copper cathode projects.
Selected parameters of the proposed Contact Project mine plan optimization review currently being considered include:
- Conducting a detailed review of the geological block model for project optimization;
- Reviewing the potential for a two-phase development plan with the initial phase targeting the higher-grade core of the project, which could allow for improved economics of the second-phase development of lower-grade reserves;
- Reviewing capital versus operating budget items such as owner-operated mine fleet versus contract mining, especially in the context of lower initial throughput;
- Assessing the value of attributing a 1%, 1.5%, and 2% gross revenue royalty to areas of the Contact Project that are entirely situated on private property owned by the Company and do not bear any royalties at present; and
- Creating updated sensitivity schedules to include corporate tax rates ranging from 20% to 35%, discount rates of 10%, 8% and 5%, and, copper price sensitivities ranging from USD $2.50 per pound to $5.00 per pound in $0.25 increments.
CopperBank Executive Chairman, Gianni Kovacevic, commented, "The 2013 pre-feasibility study demonstrated strong after-tax economics for the Contact Project at USD $3.20 per pound copper prices and very robust numbers at $3.50 per pound. Many parameters have changed in the past four years since that study was completed. With increased interest in copper projects, and especially copper oxide projects, these reviews engage our specialists to economically review previous assumptions on the desk-top. Subject to these outcomes, we can organize a simple but important work programs that will enable our management team to better assess the near and longer term value of the project, while offering greater confidence to parties who have expressed interest in the Contact Project."
This press release was reviewed and approved by William Willoughby, a Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects.
About the Contact Project
The Contact Project is a 100% owned pre-feasibility stage, copper oxide project located on private property in Elko County, Nevada. U.S Highway 93 runs along the east side of the project along with a transmission line. The project is located in an area of arid rolling hills, and the project geology has the advantage of being conducive to the low-cost heap leach SX-EW method of extraction.
About CopperBank Resources Corp.
CopperBank is a Canadian exploration mining company focused on energy related metal exploration in the United States of America. The Company trades on the Canadian Securities Exchange (CSE) under the symbol "CBK". For more information on CopperBank visit our website at www.copperbankcorp.com.