Highlights:
- Pre-production capital requirements $261
million
- Mill throughput of 2 million tonnes of ore per annum - 6,000
tonnes per day
- Life of Mine 9.5 years
- Life of Mine Production: 239,000 tonnes of copper concentrate,
122,000 tonnes of lead concentrate
and 770,000 tonnes of zinc concentrate
- Total Net Smelter Return Revenue $1,246
million
- Further metallurgical studies planned
- Excellent exploration upside with additional drilling plans on
adjacent Camel Back Claims
VANCOUVER, July 23, 2013 /CNW/ - El Nino Ventures Inc.
("ELN" and the "Company") (TSX.V: ELN) (OTCQX: ELNOF) (Frankfurt:
E7Q) is pleased to announce the SEDAR filing of the NI 43-101
Preliminary Economic Assessment ("PEA") for the Murray Brook
polymetallic massive sulfide deposit, New
Brunswick (the "Project"). The results of the PEA
demonstrate the potential technical and economic viability of
establishing a new mine and mill complex on the Murray Brook
property. The projected cash flows indicate an after-tax NPV
at a 5% discount rate of $96.4
million, an IRR of 11.4%, and a payback period of 5.4 years
(see table 1).
The PEA was prepared by P&E Mining
Consultants Inc. under the supervision of Eugene Puritch, P. Eng. of P&E Mining
Consultants Inc. Mr. Puritch is an independent QP in accordance
with NI 43-101.
Qualified Persons Statement
The PEA was prepared under the supervision of
Eugene Puritch, P. Eng. of P&E
Mining Consultants Inc. Mr. Puritch is an independent QP in
accordance with NI 43-101 and has reviewed and approved the
technical information in this release.
The information in this release was reviewed
by Dr. William Stone, Executive Vice President
of Exploration of ELN and a QP as defined by NI43-101.
About El Niño Ventures Inc. Bathurst
Projects
El Niño Ventures Inc. has two active projects in
the Bathurst Mining Camp;
1. Murray Brook Project
The Murray Brook Project is located 60 km west
of Bathurst, in the northwest part
of the Bathurst Mining Camp (Figure 1). The Murray Brook deposit is
a zinc-lead-copper-silver massive sulphide which is the subject of
a recently completed Preliminary Economic Assessment. The
project is supported by excellent infrastructure including paved
roads, grid electricity and communities to provide goods, services
and skilled labour.
ELN and VMC currently own 100% of the Murray
Brook Project and VMC is the operator. Under a purchase agreement
signed by VMC on August 28, 2012 with
Murray Brook Minerals and Murray Brook Resources Inc. (collectively
the "Owners"), VMC acquired the right to purchase, in addition to
its 35% interest, the additional 30% of the Murray Brook Project
from the Owners. The purchase agreement between VMC and the Owners
provides for staged payments totaling $6
million over 5 years and a 0.25% NSR payable to the Owners
after one year of commercial production. VMC provided ELN with the
option to purchase an additional 15% in the Murray Brook Project as
required by an underlying Amending Agreement dated September 30, 2010 between Xstrata Zinc (now
Glencore Xstrata PLC), VMC and ELN (see reference to the BOJV
Tri-Party Agreement above). ELN did not elect to exercise the
option and consequently at this time the Joint Venture remains at
VMC 65%: ELN 35%.
Figure 1. Murray Brook Project and Camel Back property
location map, Bathurst Mining Camp, New
Brunswick.
(http://www.elninoventures.com/s/NewsReleases.asp?ReportID=594115)
To date, more than 28,000 metres of drilling has
been completed on the Murray Brook Project. The first
NI43-101 mineral resource estimation and the first metallurgical
results were published in press releases dated February 2012 and January
2013, respectively. On June 5,
2013 a positive Preliminary Economic Assessment was
announced (see news release). The results of the PEA
demonstrate the potential technical and economic viability of
establishing a new mine and mill complex on the Murray Brook
property. The projected cash flows indicate an after-tax NPV
at a 5% discount rate of $96.4
million, an IRR of 11.4%, and a payback period of 5.4 years
(see news release). The NI43-101 Technical Report is now
filed on SEDAR and is also available on the ELN website (see
www.elnventures.com).
2. Bathurst Option Joint Venture
The BOJV project is a Tri‐Party Agreement with
Xstrata Zinc Canada (now Glencore) and VMC covering much of the
area of the Bathurst Mining Camp in northeastern New Brunswick (Figure 1). The project
commenced in July 2009. VMC can earn
50% by spending $10 million over 5
years. VMC can further increase its interest to 70% by spending an
additional $10 million over 2 more
years. Exploration expenditures to date by VMC total about
$6.7 million.
BOJV project originally consisted of 4712 claims
owned 50% ELN and 50% Xstrata Zinc and 2907 claims owned 100% by
Glencore, together with an Area of Interest in which ELN and
Glencore hold equal interest. Due to the Area of Interest,
the BOJV generates new projects for ELN at no initial cost.
An example of such project generation for ELN is the Murray Brook
Project.
Votorantim Metals Canada Inc.
Statement
Technical details in this news release were
provided by VMC whose professional geologists conduct operations
consistent with mineral industry best practices. VMC accepts
no responsibility for this news release or any inferences made from
the technical details provided herein.
About Votorantim Metals Canada Inc.
VMC is a subsidiary of Votorantim Metais a
company that is part of the Votorantim Group that was founded in
Brazil in 1918. The Votorantim
Group operates in twenty countries and has over 40,000
employees. Votorantim Metais is the largest electrolytic
nickel producer in Latin America
and one of the world's leaders in the production of zinc, aluminum
and nickel. VMC in conjunction with Glencore and El
Nino Ventures is operator of the Bathurst Option and Joint Venture
which is actively exploring for base metal deposits within the
Bathurst Mining Camp.
About El Nino Ventures Inc.
El Niño Ventures Inc. is an international
exploration company, focused on exploring for zinc, lead, copper,
silver and gold in New Brunswick,
Canada and copper in the Democratic Republic of Congo ("DRC").
On Behalf of the Board of Directors
Harry
Barr
Chairman & CEO, El Niño Ventures
Inc.
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.
Cautionary Note Regarding Forward Looking
Statements. Note: This release contains forward-looking
statements that involve risks and uncertainties. These
statements may differ materially from actual future events or
results and are based on current expectations or beliefs. For
this purpose, statements of historical fact may be deemed to be
forward-looking statements. In addition, forward-looking
statements include statements in which the Company uses words such
as "continue", "efforts", "expect", "believe", "anticipate",
"confident", "intend", "strategy", "plan", "will", "estimate",
"project", "goal", "target", "prospects", "optimistic" or similar
expressions. These statements by their nature involve risks
and uncertainties, and actual results may differ materially
depending on a variety of important factors, including, among
others, the Company's ability and continuation of efforts to timely
and completely make available adequate current public information,
additional or different regulatory and legal requirements and
restrictions that may be imposed, and other factors as may be
discussed in the documents filed by the Company on SEDAR
(www.sedar.com), including the most recent reports that identify
important risk factors that could cause actual results to differ
from those contained in the forward-looking statements. The
Company does not undertake any obligation to review or confirm
analysts' expectations or estimates or to release publicly any
revisions to any forward-looking statements to reflect events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated events. Investors should not place undue
reliance on forward-looking statements.
SOURCE El Nino Ventures Inc.