VANCOUVER, BC, Feb. 7, 2022 /CNW/ - Panoro Minerals
Ltd. (TSXV: PML) (Lima: PML) (Frankfurt: PZM) (OTCQB: POROF)
("Panoro" or the "Company") is pleased to provide an update on the
Company's plans for the Cotabambas Project in 2022. In the
first quarter of 2022 Panoro will commence the studies to support
the prefeasibility study for the Cotabambas Project. This work will
begin with the step-out and infill drilling programs
and includes technical and environmental studies. The work
programs will commence soon and continue to the end of the year
with additional drilling contemplated in 2023. Additionally
in 2022, technical studies including an update to geologic
modelling, geo-metallurgical modelling, metallurgical testing,
geotechnical and hydrogeological studies will be commenced. An
updated resource study will be completed as a part of the planned
prefeasibility study.
The infill drilling program goal is to upgrade 100% of inferred
category resource included in the Preliminary Economic assessment
("PEA") mine plan to the indicated category. The infill
drilling will include an estimated 12,200 meters at both the
proposed North and South Pits.
Step-out drilling of approximately 4,400 m will target the growth of both the copper
oxide and sulphide resource for inclusion into the mine plan for
the prefeasibility study. The additional oxide resource,
together with oxide resources in the current PEA, will be evaluated
for the addition of a heap leach and SX/EW circuit to the project,
resulting in increased copper production at a lower operating to
the PEA processing plan.
Metallurgical testing will focus on three key objectives:
- Improve flotation recoveries from the transition material in
the PEA mine plan. Low recoveries in the PEA were a result of
a lack of sampling and testing,
- Optimize flotation recoveries with additional testing, and
- Design leach process and estimate recoveries for the copper
oxides.
Luquman Shaheen, President & CEO, states, "It is an
important new phase for both Panoro and the Cotabambas Project with
the funding to be focused on the completion of a
prefeasibility study. There is much work to be completed in
2022 with the infill and step out drilling, metallurgical testing,
and other technical studies. After additional drilling in
2023, we plan to have the prefeasibility study completed later in
2023. Our objectives at Cotabambas are two-fold. After
completing the prefeasibility study, we will also add important new
value to the project with additional oxide and sulphide resource
target areas, improved metallurgical recoveries, and the addition
of cathode production from the SX/EW circuit.
We have succeeded in funding the prefeasibility study without
diluting our shareholders and are now focused on the execution of
the PFS."
About Panoro
Panoro is a uniquely positioned Peru-focused copper development company. The
Company is advancing its flagship Cotabambas Copper-Gold-Silver
Project located in the strategically important area of southern
Peru.
The Company's objective is to complete a Prefeasibility study in
2023 with work programs commencing in Q1 2022.
At the Cotabambas Project, the Company will first focus on
delineating resource growth potential and optimizing metallurgical
recoveries. These objectives are expected to further enhance
the project economics as part of the Prefeasibility studies during
2022 and 2023. Exploration and step-out drilling from 2017,
2018 and 2019 have already identified the potential for both oxide
and sulphide resource growth.
Summary of Cotabambas Project Resources
Project
|
Resource
Classification
|
Million
Tonnes
|
Cu (%)
|
Au (g/t)
|
Ag (g/t)
|
Mo (%)
|
CuEq
%
|
Cotabambas1 Cu/Au/Ag
|
Indicated
|
117.1
|
0.42
|
0.23
|
2.74
|
0.001
|
0.59
|
Inferred
|
605.3
|
0.31
|
0.17
|
2.33
|
0.002
|
0.44
|
@ 0.20% CuEq cutoff,
effective October 2013, Tetratech
|
|
1. Cotabambas
Project, Apurimac, Peru, NI 43-101 Technical Report on Updated
Preliminary Economic Assessment, amec foster wheeler and Moose
Mountain Technical Services, 22 September 2015
|
A PEA has been completed for the Cotabambas Project, the key
results are summarized below:
Summary of Cotabambas Project PEA Results
Process Feed, life of
mine
|
million
tonnes
|
483.1
|
Process Feed,
daily
|
tonnes
|
80,000
|
Strip Ratio, life of
mine
|
|
1.25 : 1
|
Before
Tax1
|
NPV7.5%
|
million
US$
|
1,053
|
IRR
|
%
|
20.4
|
Payback
|
years
|
3.2
|
After
Tax1
|
NPV7.5%
|
million
US$
|
684
|
IRR
|
%
|
16.7
|
Payback
|
years
|
3.6
|
Annual Average
Payable
Metals
|
Cu
|
thousand
tonnes
|
70.5
|
Au
|
thousand
ounces
|
95.1
|
Ag
|
thousand
ounces
|
1,018.4
|
Mo
|
thousand
tonnes
|
-
|
Initial Capital
Cost
|
million
US$
|
1,530
|
1. Project
economics estimated at commodity prices of; Cu = US$ 3.00/lb, Au =
US$ 1,250/oz, Ag = US$ 18.50/oz, Mo = US$ 12/lb
|
PEAs are considered preliminary in nature and include Inferred
Mineral Resources that are considered too speculative to have the
economic considerations applied that would enable classification as
Mineral Reserves. There is no certainty that the conclusions within
the PEAs will be realized. Mineral Resources are not Mineral
Reserves and do not have demonstrated economic viability.
Luis Vela, a Qualified Person
under National Instrument 43-101, has reviewed and approved the
scientific and technical information in this press release.
On behalf of the Board of Panoro Minerals Ltd.
Luquman Shaheen. M.B.A., P.Eng, P.E.
President & CEO
CAUTION REGARDING FORWARD LOOKING STATEMENTS:
Information and statements contained in this news
release that are not historical facts are "forward-looking
information" within the meaning of applicable Canadian securities
legislation and involve risks and uncertainties.
Examples of forward-looking information and statements contained
in this news release include information and statements with
respect to:
- Panoro delineating growth potential at the Cotabambas Project,
while optimizing project economics;
- mineral resource estimates and assumptions; and
- the PEAs, including, but not limited to, base case parameters
and assumptions, forecasts of net present value, internal rate of
return and payback.
Various assumptions or factors are typically applied in drawing
conclusions or making the forecasts or projections set out in
forward-looking information. In some instances, material
assumptions and factors are presented or discussed in this news
release in connection with the statements or disclosure containing
the forward-looking information and statements. You are cautioned
that the following list of material factors and assumptions is not
exhaustive. The factors and assumptions include, but are not
limited to, assumptions concerning: metal prices and by-product
credits; cut-off grades; short and long term power prices;
processing recovery rates; mine plans and production scheduling;
process and infrastructure design and implementation; accuracy of
the estimation of operating and capital costs; applicable tax and
royalty rates; open-pit design; accuracy of mineral reserve and
resource estimates and reserve and resource modeling; reliability
of sampling and assay data; representativeness of mineralization;
accuracy of metallurgical test work; and amenability of upgrading
and blending mineralization.
Forward-looking statements are subject to a variety of known and
unknown risks, uncertainties and other factors which could cause
actual events or results to differ materially from those expressed
or implied by the forward-looking statements, including, without
limitation:
- risks relating to metal price fluctuations
- risks relating to estimates of mineral resources, production,
capital and operating costs, decommissioning or reclamation
expenses, proving to be inaccurate
- the inherent operational risks associated with mining and
mineral exploration, development, mine construction and operating
activities, many of which are beyond Panoro's control
- risks relating to Panoro's or its partners' ability to enforce
legal rights under permits or licenses or risk that Panoro or its
partners will become subject to litigation or arbitration that has
an adverse outcome
- risks relating to Panoro's or its partners' projects being
in Peru, including political,
economic and regulatory instability
- risks relating to the uncertainty of applications to obtain,
extend or renew licenses and permits
- risks relating to potential challenges to Panoro's or its
partners' right to explore or develop projects
- risks relating to mineral resource estimates being based on
interpretations and assumptions which may result in less mineral
production under actual circumstances
- risks relating to Panoro's or its partners' operations being
subject to environmental and remediation requirements, which may
increase the cost of doing business and restrict operations
- risks relating to being adversely affected by environmental,
safety and regulatory risks, including increased regulatory burdens
or delays and changes of law
- risks relating to inadequate insurance or inability to obtain
insurance
- risks relating to the fact that Panoro's and its partners'
properties are not yet in commercial production;
- risks relating to fluctuations in foreign currency exchange
rates, interest rates and tax rates
- risks relating to Panoro's ability to raise funding to continue
its exploration, development, and mining activities; and
- counterparty risk under Panoro's agreements.
This list is not exhaustive of the factors that may affect the
forward-looking information and statements contained in this news
release. Should one or more of these risks and uncertainties
materialize, or should underlying assumptions prove incorrect,
actual results may vary materially from those described in the
forward–looking information. The forward–looking information
contained in this news release is based on beliefs, expectations,
and opinions as of the date of this news release. For the
reasons set forth above, readers are cautioned not to place undue
reliance on forward-looking information. Panoro does not
undertake to update any forward-looking information and statements
included herein, except in accordance with applicable securities
laws.
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 Panoro Minerals Ltd.