VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 16, 2014) - Nevada Copper Corp.(TSX:NCU) ("Nevada Copper" or the "Company") is pleased to provide a project and financing update. Highlights -- Shaft sinking reaches mid-shaft pumping level, and is at a current depth of 1,000 feet; -- Sinking rates increased and stabilized at design rate of 6 to 7 feet per day. Access to the main ore haulage level expected in Q1-2015; -- Detailed engineering of process plant advanced, now 40% complete; -- Multiple financing proposals being evaluated. Completion of project capital funding for Stage 1 targeted for Q4-2014; -- Steps taken to conserve cash. Most non-shaft sinking expenditures temporarily reduced; -- Initial ore production ramp-up now forecast in Q2-2016; and -- BMO Capital Marketsengaged as strategic and financial advisor.
We continue to progress the permitting of Stage 2, and are awaiting the completion of the final procedural steps required for passage of the land bill. We have been advised that this remains one of the top priorities of the
Project activities continue to be focused on shaft sinking. The shaft has now reached its approximate mid-point, a depth of 1,000 feet. Sinking rates have improved, and have stabilized at between 6 and 7 feet per day, in line with our projections. A mid-shaft pump station has been successfully excavated, and will be equipped with high head positive displacement pumps and associated electrical and piping infrastructure. Detailed engineering and procurement has advanced in the quarter, and is now 40% complete.
Water inflows into the shaft remain limited and ground conditions are good. Grouting requirements have been minimal. Assuming that no unusual ground conditions or water inflows are encountered, sinking is expected to continue at between 6 and 7 feet per day, reaching the main ore haulage level in Q1-2015.
With shaft completion modestly delayed, and while financing discussions are ongoing, the level of all non-shaft related activities, including engineering and construction expenditures, has been being temporarily curtailed. This prudent action allows the Company the time to fully evaluate the financing options that will provide the balance of funding for Stage 1. Shaft construction and related activities, being critical path items, will continue at the current rate. The Company is now targeting the start of ramp up to full ore production in Q2-2016.
The Company continues to evaluate several financing opportunities including additional debt, precious metal streams, joint ventures and off-take structures to provide the remaining funding for both Stage 1 and Stage 2. Numerous proposals have been received for the Stage 1 underground financing, and term sheets are currently being reviewed in this capacity. Completion of Stage 1 funding is targeted by Q4 2014.
The Company's advanced stage Pumpkin Hollow project in
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We seek safe harbor.
FOR FURTHER INFORMATION PLEASE CONTACT:
Nevada Copper Corp. Eugene ToffoloVP, Investor Relations & Communications604-683-8266 or Toll free: 1-877-648-8266 firstname.lastname@example.org Nevada Copper Corp. Robert McKnight, P.Eng., MBA Executive Vice President & CFO 604-683-1309 email@example.com Source: Nevada Copper Corp.