Sep 11 2014
Excelsior Mining Corp. ("Excelsior" or the "Company") is pleased to announce that feasibility-level data collection has commenced at the Gunnison Copper Project in Arizona. This work will include archeological surveys, detailed site surveys, infrastructure and water studies. Data collection for input into the Feasibility Study will continue into 2015.
In addition to the data collection program, Excelsior is expected to shortly announce details concerning Metallurgical, Hydrological and Resource Upgrade drill programs. Information on these programs will be revealed in subsequent news releases.
Commenting on this news, Stephen Twyerould, President & CEO commented, "With the Gunnison Project now well-funded, we will begin the next phase of development in earnest. Going forward our sole focus will be on commencement of permitting and completion of a full Feasibility Study, leveraging the work done for completion of the Prefeasibility Study."
In January of this year, the Company announced the results of a comprehensive Prefeasibility Study ("PFS") on the North Star Deposit of the Gunnison Copper Project, located in southern Arizona. The PFS was completed by M3 Engineering & Technology Corporation ("M3") of Tucson, AZ and is effective as of January 13, 2014. The technical report summarizing the results of the PFS was prepared in accordance with National Instrument ("NI") 43-101 and is available on SEDAR at www.sedar.com and Excelsior's website.
Highlights of the North Star Gunnison Copper Project PFS "Acid Plant" option include:
- Pre-tax Net Present Value ("NPV") of $1.24 billion (after-tax $0.826 billion) at a 7.5% discount rate (using a copper price of $2.75/lb)
- Pre-tax Internal Rate of Return ("IRR") of 59.7% (after-tax 44.7%)
- Pre-tax payback period of 1.8 years (after-tax 2.4 years)
- Initial estimated capital cost (excluding sustaining capital) of $284.84 million
- Average life-of-mine operating costs of US$0.69 per pound
- Other costs of $0.13 per pound, including Royalties of $0.029 per pound
- Annual production rate of 110 million pounds of copper for the first 14 years, then declining for a 20 year mine life, with a total of 1.682 billion pounds of copper produced over the life of the mine.
Results of the PFS disclosed in this press release are in USD and pre-tax (except where otherwise indicated).
About Excelsior
Excelsior is a mineral exploration and development company that is advancing the Gunnison Copper Project. The Excelsior management team consists of experienced professionals with proven track records of advancing mining projects into production. Further information about the Gunnison Copper Project and the results of the PFS can be found in the technical report filed on SEDAR at www.sedar.com entitled: "Gunnison Copper Project, NI 43-101 Technical Report, Prefeasibility Study" dated February 14, 2014.
Dr. Stephen Twyerould, Fellow of AUSIMM, President and CEO of Excelsior, and a Qualified Person as defined by NI 43-101, has reviewed and approved the technical information disclosed in this news release.
For more information on Excelsior, please visit our website at www.excelsiormining.com.
ON BEHALF OF THE EXCELSIOR BOARD
Mark J. Morabito, Executive Chairman
Source: http://www.excelsiormining.com/