ESIA approval demonstrates support from the
Argentinian government and marks an important milestone on the
pathway to developing the Josemaria Copper-Gold-Silver
Project
VANCOUVER. BC, April 11,
2022 /CNW/ - Josemaria Resources Inc. (TSX:
JOSE) (OMX: JOSE) (OTCQB: JOSMF) ("Josemaria" or the
"Company"), 100% owner of the Josemaria Copper-Gold-Silver Project
("the Project") with proven and probable mineral reserves of 6.7
billion pounds copper, 7 million ounces of gold, and 30.7 million
ounces of silver, is pleased to announce that the Mining Authority
of San Juan, Argentina has
approved the Environmental Social Impact Assessment ("ESIA") for
the Josemaria Project. The approval marks a significant milestone
in the permitting process for Josemaria and solidifies the
Project's staged development timeline. View PDF
Adam Lundin, President and CEO
comments "Josemaria and the broader Lundin Group companies
have always strived to be long-term leaders in responsible
exploration, development and operation of natural resource
projects. We began environmental and social baseline studies at
Josemaria in 2013, and we are very pleased to receive ESIA approval
for the Project from the Mining Authority of San Juan. The approval
recognizes our commitment to setting a leading example for resource
projects in Argentina, and it
moves us closer toward the construction stage of the Project. The
ESIA approval brings the opportunity for jobs and economic
development at both the local and national levels for Argentinians.
It also shows Argentina's
commitment to playing a role in supplying copper to the market
while the world continues to transition toward a greener economy.
The approval is a credit to the excellent work of our technical
team and consultants, and our ongoing professional relationship
with the San Juan authorities."
Josemaria continues to work with the national and provincial
authorities to progress the Project through the next stages of
development. The Company is engaged in ongoing discussions
regarding commercial agreements, and the securing of additional
environmental and sectorial permits is underway.
Additionally, the Company is progressing the Project through Basic
Engineering and is obtaining quotations on long-lead equipment
while expanding the exploration camp to support the ongoing
development and infill drilling program.
ABOUT JOSEMARIA
Josemaria Resources Inc. is a natural resources company focused
on developing its advanced stage, 100% owned Josemaria Copper-Gold
Project in the San Juan Province of Argentina. The Company is a reporting issuer
in all Provinces and its corporate head office is in Vancouver, BC. The Company's shares are listed
on the TSX and on Nasdaq Stockholm under the symbol "JOSE", and
trade on the OTCQB under the symbol "JOSMF".
Table 1 - The mineral reserve statement for the Josemaria
Project, San Juan Province, Argentina, 28 September
2020
|
Category
|
Tonnage
|
Grade
|
Contained
Metal
|
|
(Mt)
|
Cu (%)
|
Au (g/t)
|
Ag (g/t)
|
Cu lbs
(Millions)
|
Au oz
(Millions)
|
Ag oz
(Millions)
|
|
Proven
|
197
|
0.43
|
0.34
|
1.33
|
1,844
|
2.14
|
8.43
|
|
Probable
|
815
|
0.27
|
0.19
|
0.85
|
4,861
|
4.87
|
22.29
|
|
Total Proven and
Probable
|
1,012
|
0.30
|
0.22
|
0.94
|
6,705
|
7.02
|
30.72
|
|
|
Notes to
accompany Josemaria Mineral Reserve
statement:
|
|
1.
|
Mineral reserves have
an effective date of 28 September 2020. The Qualified Person for
the estimate is Mr. Robert McCarthy, P.Eng.
|
|
2.
|
The mineral reserves
were estimated using the Canadian Institute of Mining, Metallurgy
and Petroleum (CIM), Definition Standards for Mineral Resources and
Reserves, as prepared by the CIM Standing Committee on Reserve
Definitions and adopted by CIM Council.
|
|
3.
|
The mineral reserves
were based on a pit design which in turn aligned with an ultimate
pit shell selected from a WhittleTM pit optimization
exercise. Key inputs for that process are:
|
|
•
|
Metal prices of
$3.00/lb Cu, $1,500/oz Au; $18.00/oz Ag
|
|
•
|
Variable Mining
cost by bench and material type. Average costs are $1.351/t,
$1.36/t and $1.65/t for ore, NAG waste and PAG waste,
respectively.
|
|
•
|
Processing costs vary
by metallurgical zone, ranging from $3.77/t tonalite ore milled to
$3.71/t supergene.
|
|
•
|
Infrastructure On and
Off-site $0.43/t milled
|
|
•
|
Indirect Costs $0.46/t
miled
|
|
•
|
Sustaining capital
costs of $0.54/t
|
|
•
|
Pit overall slope
angles varying from 33° to 45°
|
|
•
|
Process recoveries for
Cu and Au are based on grade. The average recovery is estimated to
be 85% for Cu and 63% for Au. Ag recovery is fixed at
72%.
|
|
4.
|
Mining dilution is
accounted for by averaging grades in adjacent blocks across a
thickness of 2.5 m into each block (5.0 m per block
contact).
|
|
5.
|
The mineral reserve has
an economic cut-off for prime mill feed, based on NSR, of $5.22/t,
$5.21/t, $5.18/t and $5.16/t milled for tonalite, rhyolite,
porphyry and supergene material respectively and an additional
$0.53/t for stockpiled ore.
|
|
6.
|
There are 991 Mt of
waste in the ultimate pit. The strip ratio is 0.98
(waste:ore).
|
|
7.
|
All figures are rounded
to reflect the relative accuracy of the estimate. Totals may not
sum due to rounding as required by reporting guidelines.
|
QUALIFIED PERSONS
The technical information in this
press release has been reviewed and approved by Mr. Bob
Carmichael, P. Eng. (BC), the Company's Vice President of
Exploration, and Mr. Dustin Smiley, P. Eng. (BC), the
Company's Engineering Manager. Both Mr. Carmichael and Mr. Smiley are Qualified Persons under National
Instrument 43-101 Standards of Disclosure for Mineral Projects.
ADDITIONAL INFORMATION
The information was submitted for publication, through the
agency of the contact person set out below, on April 11, 2022 13:0
EDT.
On behalf of Josemaria,
Adam Lundin,
President and CEO
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TSX: JOSE | OTCQB: JOSMF | Nasdaq Stockholm: JOSE | WKN: A2PN5S
| ISIN: CA48086P1009
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release includes certain "forward-looking
information" and "forward-looking statements" (collectively
"forward-looking statements") within the meaning of applicable
Canadian securities legislation. All statements, other than
statements of historical fact, included herein, including, without
limitation, the potential future development of the Josemaria
Project and the future operating or financial performance of the
Company; ; costs and timing of the development of the Josemaria
Project; the opportunity that the ESIA approval presents for jobs
and economic development; mineral reserves and resource estimates
future price of copper, gold and silver; the effect of government
regulations (or changes thereto) with respect to the potential
development of the Project, restrictions on production, export
controls and duties, income taxes, royalties, expropriation of
property, repatriation of profits, environmental legislation, land
use, water use, mine safety, approval processes and the receipt of
necessary permits are forward-looking statements. Forward-looking
statements are frequently, but not always, identified by words such
as "expects", "anticipates", "believes", "intends", "estimates",
"potential", "possible", and similar expressions, or statements
that events, conditions, or results "will", "may", "could", or
"should" occur or be achieved. These forward-looking statements may
also include statements regarding perceived merit of properties;
exploration plans and budgets; work programs; capital expenditures;
timelines; strategic plans; market prices for precious and base
metals; or other statements that are not statements of fact. In
addition, statements relating to "mineral resources" and "mineral
reserves" are deemed to be forward-looking information, as they
involve the implied assessment, based on certain estimates and
assumptions that the mineral resources and mineral reserves
described can be profitably produced in the future.
Forward-looking statements involve various risks and
uncertainties. There can be no assurance that such statements will
prove to be accurate, and actual results and future events could
differ materially from those anticipated in such statements.
Important factors that could cause actual results to differ
materially from the Company's expectations include the Company's
ability to finance the development of the Josemaria Project;
commodity price fluctuations; assumptions and discount rates being
appropriately applied to the Feasibility Study, uncertainty as to
whether there will ever be production at the Company's Josemaria
Project and any other future mineral exploration and development
properties; risks related to the Company's ability to commence
production and generate revenues or obtain adequate financing for
its planned exploration and development activities; risks related
to lack of infrastructure including but not limited to the risk
whether or not the Josemaria Project will receive the requisite
permits and, if it does, whether the Company will build the
Josemaria Project; risks related to inclement weather which may
delay or hinder activities at the Company's mineral properties;
risks related to the Company's dependence on third parties for the
development of its projects; uncertainties relating to the
assumptions underlying resource and reserve estimates; mining and
development risks, including risks related to infrastructure,
accidents, equipment breakdowns, labor disputes, bad weather,
non-compliance with environmental and permit requirements or other
unanticipated difficulties with or interruptions in development,
construction or production; the geology, grade and continuity of
the Company's mineral deposits; the uncertainties involving success
of exploration, development and mining activities; permitting
timelines; risks pertaining to the outbreak of the global
pandemics, including COVID-19; government regulation of mining
operations; environmental risks; unanticipated reclamation
expenses; prices for energy inputs, labour, materials, supplies and
services; uncertainties involved in the interpretation of drilling
results and geological tests and the estimation of mineral reserves
and mineral resources; the need for cooperation of government
agencies and indigenous groups in the development and operation of
properties including the Josemaria Project; unanticipated variation
in geological structures, metal grades or recovery rates;
fluctuations in currency exchange rates; unexpected cost increases
in estimated capital and operating costs; the need to obtain
permits and government approvals; uncertainty related to title to
the Company's mineral properties, the ability of the Company to
satisfy the conditions of the terms and conditions of the
debentures issued pursuant to credit facilities, including
repayment thereof upon their respective maturity dates and the
issuance of Common Shares thereunder and the timing and success in
obtaining requisite regulatory (including TSX) approvals and other
risks and uncertainties disclosed in the Company's periodic filings
with Canadian securities regulators and in other Company reports
and documents filed with applicable securities regulatory
authorities from time to time, including the Company's Annual
Information Form available under the Company's profile at
www.sedar.com. In addition, these statements involve assumptions
made with regard to the Company's ability to develop the Josemaria
Project and to achieve the results outlined in the Feasibility
Study; the ability to raise the capital required to fund
construction and development of the Josemaria Project; and the
results and impact of future exploration at the Josemaria Project.
The Company's forward-looking statements reflect the beliefs,
opinions, and projections on the date the statements are made. The
Company assumes no obligation to update the forward-looking
statements or beliefs, opinions, projections, or other factors,
should they change, except as required by law.
SOURCE Josemaria Resources Inc.
