VANCOUVER, British Columbia, Jan. 18, 2016 /PRNewswire/ –Capstone Mining Corp. (“Capstone”) (TSX: CS) today announced the results of the Pre-Feasibility Study – Mine Life Extension (“PV3 PFS”) for its wholly owned Pinto Valley Mine in Arizona, US.
- Proven and Probable Mineral Reserves increased to 473.8 million tonnes grading 0.31% copper, resulting in minelife to 2039, a 13 year increase over the previously published PV2 PFS (2014).
- Life of Mine (“LOM”) average annual production of copper in concentrate is estimated at 122.8 million pounds of copper and 1.9 million pounds of molybdenum.
- Mill production increases to 20.4 million tonnes per year (56,000 tonnes per day (“tpd”)) in 2017 from 19.8 million tonnes (54,000 tpd) in 2016 through improvements in maintenance and operational practices.
- Expected LOM cash costs are estimated to be $2.05 per pound of payable copper (net of by-product credits and including capitalized stripping as an operating cost).
- No significant capital is required for PV3 until stripping commences in 2020.
“The PV3 PFS adds significant value to the Pinto Valley Mine by more than doubling the remaining mine life to 23 years and increasing throughput by 8% without any major capital investment,” said Darren Pylot, President and CEO of Capstone.
The PV3 PFS project was directed by Capstone with contributions from Kirkham Geosystems Ltd. (geology, resource estimation), Independent Mining Consultants, Inc. (reserve, geotechnical, mine design and schedule, equipment selection), KWM Consulting Inc. (metallurgy), Amec Foster Wheeler Environment & Infrastructure, Inc. (tailings), SRK Consulting (U.S.), Inc. (environmental), and Capstone (infrastructure and financial modelling). Personnel from each of these companies will be signing off as a Qualified Person (“QP”) as defined in National Instrument 43-101 Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators (“NI 43-101”) for their specific responsibilities.