VANCOUVER, Oct. 29,
2014 /PRNewswire/ - Catalyst Copper Corporation
(TSX-V: CCY) ("Catalyst" or "the Company") announces
that, following a review by the British Columbia Securities
Commission, it has amended and refiled the September 30, 2012 Technical Report titled "La
Verde Copper Project Michoacán State, Mexico Technical Report". The
original and amended report disclosed a Preliminary Economic
Assessment ("PEA") on the La Verde Copper Project, which was
prepared by AMC Mining Consultants (Canada) Ltd. ("AMC").
None of the changes made in the amended report
materially affect AMC's opinions, conclusions or recommendations,
and the effective date remains September 30,
2012. The principal amendments have been made in the
interest of transparency to show conceptual post-tax cash flow, in
addition to both upside and downside sensitivity to the conceptual
project economics as a result of changes in the assumed copper
price.
Taxation has been accounted for in a simplified
manner in the amended PEA and is based on an indicative 28%
corporate tax rate. Depreciation is computed on a straight-line
basis assuming a weighted average depreciation rate of 12%.
- Net Present Value ("NPV") as a function of varying discount
rates:
- If the discount rate is 0%, the NPV is US$1,625M pre-tax, US$1,050M post-tax
- If the discount rate is 5%, the NPV is US$904Mpre-tax,
US$510M post-tax
- If the discount rate is 8%, the NPV is US$617M pre-tax, US$300M post-tax
- If the discount rate is 10%, the NPV is US$471M pre-tax, US$192M post-tax
- Internal Rate of Return: 21.2% pre-tax and 13.5% post-tax
The PEA is preliminary in nature and includes
inferred mineral resources that are considered too speculative
geologically to have the economic considerations applied to them
that would enable them to be categorized as mineral reserves, and
there is no certainty that the PEA will be realized.
The amended technical report can be found on the
Company's website (www.catalystcopper.com) or on SEDAR
(www.sedar.com).
Qualified Persons
The following
independent Qualified Persons under the standards set forth by NI
43-101, have reviewed the information in relation to the PEA in
this press release: Mr. Pat
Stephenson, P.Geo., General Manager and Principal
Geologist with AMC with over 40 years of experience in the mining
industry; Mr. Mo Molavi, P.Eng.,
Principal Mining Engineer with AMC with over 34 years of
experience; Ms. Margaret Harder,
P.Geo., Geologist formerly with Tetra Tech WEI Inc. with over 8
years of experience; and Mr. Alan
Riles, MAIG, Associate Principal Consultant Metallurgist
with AMC with over 40 years of experience.
About Catalyst Copper:
Catalyst Copper
Corporation is a copper and base metal company with a focus on
copper mining projects in Mexico.
The Company's 60%-owned La Verde Copper Project
(40%-owned indirectly by Teck Resources Limited through a
wholly owned subsidiary) is situated in the Sierra Madre del Sur
approximately 320 kilometres west of Mexico City in Michoacán State and
has excellent infrastructure. The amended September 30, 2012 Preliminary Economic
Assessment contemplate La Verde to
be an open pit producing over 200 million pounds of copper per year
over a 20 year mine life.
ON BEHALF OF THE BOARD OF DIRECTORS
OF
CATALYST COPPER CORPORATION
"Richard Warke"
Richard Warke –
CEO, President & Director
Certain information contained in this press
release constitutes forward-looking statements. All
statements, other than statements of historical facts, are forward
looking statements including statements with respect to the
Company's intentions for the La Verde Copper project in
Michoacán State, Mexico
including, without limitation, the amount of mineral resources,
expected future mineral production, expected metal grades and metal
recoveries, expected future capital and operating costs, expected
realizable metal prices and other factors that impact the
conceptual cash flows. Forward-looking statements are
often, but not always, identified by the use of words such as may,
will, seek, anticipate, believe, plan, estimate, budget, schedule,
forecast, project, expect, intend, or similar expressions.
The forward-looking statements are based on a
number of assumptions which, while considered reasonable by
Catalyst, are subject to risks and uncertainties. In addition
to the assumptions herein, these assumptions include the
assumptions described in Catalyst's management's discussion and
analysis for the year ended December 31,
2013 ("MD&A"). Catalyst cautions readers that
forward-looking statements involve and are subject to known and
unknown risks, uncertainties and other factors which may cause
actual results, performance or achievements to differ materially
from those expressed in or implied by such forward-looking
statements and forward-looking statements are not guarantees of
future results, performance or achievement. These risks,
uncertainties and factors include general business, economic,
competitive, political, regulatory and social uncertainties; actual
results of exploration activities and economic evaluations;
fluctuations in currency exchange rates; changes in project
parameters; changes in costs, including labour, infrastructure,
operating and production costs; future prices of copper and other
minerals; variations of mineral grade or recovery rates; operating
or technical difficulties in connection with exploration,
development or mining activities, including the failure of plant,
equipment or processes to operate as anticipated; delays in
completion of exploration, development or construction activities;
changes in government legislation and regulation; the ability to
maintain and renew existing licenses and permits or obtain required
licenses and permits in a timely manner; the ability to obtain
financing on acceptable terms in a timely manner; contests over
title to properties; employee relations and shortages of skilled
personnel and contractors; the speculative nature of, and the risks
involved in, the exploration, development and mining business; and
the factors discussed in the section entitled "Risk Factors" in the
MD&A.
Although Catalyst has attempted to identify
important risks, uncertainties and other factors that could cause
actual performance, achievements, actions, events, results or
conditions to differ materially from those expressed in or implied
by the forward-looking information, there may be other risks,
uncertainties and other factors that cause performance,
achievements, actions, events, results or conditions to differ from
those anticipated, estimated or intended. Unless otherwise
indicated, forward-looking statements contained herein are as of
the date hereof and Catalyst disclaims any obligation to update any
forward-looking statements, whether as a result of new information,
future events or results or otherwise, except as required by
applicable law.
Neither
the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of
the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this
release.
SOURCE Catalyst Copper Corp.