TSX : CUM
VANCOUVER, Aug. 20 /PRNewswire-FirstCall/ - Copper Mountain Mining Corporation ('CMMC' or the 'Company') reports that Mitsubishi Materials Corporation ('Mitsubishi') have now closed the purchase whereby Mitsubishi acquired a 25% interest in the Copper Mountain Project ('Project'), located near Princeton, BC.
The Project is an open pit porphyry copper mine that operated from 1972 to 1996 and over its life produced 1.74 billion pounds of copper, 730 thousand ounces of gold and 9.1 million ounces of silver. The current resource is estimated at 5 billion pounds of copper at a 0.15 % Cu cut-off. The resource estimate incorporates data from over 4,400 historical drill holes totalling approximately 400,000 metres, and 370 new drill holes, totalling 107,000 metres from the Company's 2007 and 2008 exploration programs.
To date, site activities have continued on schedule and were funded by the Company's equity contributions and a $28.75 million line of credit from Mitsubishi. This line of credit has now been fully repaid. Long lead items have been ordered with the SAG and ball mill manufacturing well underway to maintain the target production schedule for mid 2011. Detailed engineering is progressing and site geotechnical excavation for the concentrator is now complete. The office and warehouse complex is now fully functional with power, heat, water, telephones, internet, and sewerage. The Company plans to start pouring concrete foundations in September 2009 in preparation for a very busy Spring 2010 construction schedule. The Company has approximately 20 employees currently engaged at the site. It is estimated that the Project will provide employment for 200 construction workers at its peak and the ongoing operations will create 257 full time positions. Over the 17 year life of the Project, it is estimated that the mine will produce 1.47 billion pounds of copper, 452,000 ounces of gold, and 4.5 million ounces of silver.
About Mitsubishi Materials Corporation:
Established in 1950, Mitsubishi is one of the world's largest diversified materials companies. In addition to being a leader in metal smelting and refining, cement products and fabricated metals - notably Advanced Materials Tools - Mitsubishi is also a major supplier of Electronic Materials Components. Mitsubishi has invested in 4 (four) copper mines now under operation, namely Los Pelambres, Escondida (both in Chile), Huckleberry (Canada) and Batu Hijau (Indonesia). Mitsubishi's high-level research and development programs are instrumental in enabling it to maintain its dominant position in key markets.
