bcMetals Corporation

bcMetals Corporation

February 01, 2006 19:17 ET

bcMetals Corporation: Carl Zuber Resigns as Executive Chairman

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 1, 2006) - bcMetals Corporation (TSX VENTURE:C) announces the resignation of Carl Zuber as Executive Chairman, effective today, for personal reasons. Mr. Zuber will remain on the Company's Board of Directors. He has also resigned his positions of Chief Executive Officer and Director of Red Chris Development Company Ltd. ("RCDC"), the Company's wholly-owned subsidiary and the owner of the Red Chris copper-gold porphyry project in Northwestern BC.

Bob Buchan has agreed to assume the position of Chairman of the Company's Board of Directors. Mr. Buchan currently serves as Executive Chairman of Quest Capital Corporation. Prior to joining Quest in April 2005, Mr. Buchan was CEO and Chairman of Kinross Gold Corporation, a company that he initiated in 1993 and grew from 25,000 ounces of gold production to the seventh largest primary producer of gold in the world. Prior to Kinross, Mr. Buchan participated in the formation of CMP Funds Management Ltd. This company raised over $1 billion for the Canadian resource industry in the period 1984-1990. In 1987 he participated in the creation of associated companies, DCC Equities Limited (President), a resource focused merchant banking company and Dundee Capital Inc. (Vice-Chairman), a financial services company. Mr. Buchan received a degree in Mining Engineering from Herriot-Watt University in Edinburgh in 1969 and a Masters in Mineral Economics from Queen's University in Kingston, Ontario in 1971.

Carl Zuber was the driving force behind the October 2002 acquisition of the Red Chris project. Under the helm of his leadership, Red Chris advanced from an exploration project to an advanced-stage development project, soon to be Canada's newest and largest open pit copper-gold mine. This will be Carl's third attempt at retirement and he goes with the very best wishes of his fellow Board members and co-workers. On behalf of all of us, we wish him all the very best for the future. We look forward to Carl's continued active participation in, and valuable contributions to, the Company at the Board level.

RCDC is in the final stages of concluding US$110 million in project debt finance with Investec Bank (UK) Limited and is finalizing contracts with buyers of Red Chris's concentrates for the first five years of production. One of the concentrate buyers has also agreed to provide up to US$12 million in working capital financing upon commencement of production. Red Chris was issued its BC Environmental Assessment Certificate on August 24, 2005. The Red Chris Copper-Gold Mine Project Screening Report by the Federal Departments of Fisheries & Oceans and Natural Resources under the Canada Environmental Assessment Act was issued for a one-month review on January 10, 2006. Letters of Intent for the project Engineering and Procurement and Construction Management have been issued to AMEC Americas Limited and Merit Consultants International Inc., respectively.

Bill Bennett, BC's Minister of State for Mining, continues to be an active supporter of the extension of the North American power grid in Northwestern BC and the Company is hopeful of a positive announcement that will permit construction of its 23km access road to commence in March. This much needed infrastructure will be the catalyst to spur development of this mineral rich Northwest region of the Province. During 2005, this area accounted for almost half ($100 million) of the total $220 million spent on exploration throughout the province.

The Red Chris open pit copper-gold project will be BC's first new metal mine in approximately 8 years when it comes on stream, currently scheduled for late 2007. During the first five years of production the mine is projected to produce 395,000 ounces of gold and 562 million pounds of copper in concentrates. Current life-of-mine production projections are 1.85 billion pounds of copper and 1.18 million ounces of gold contained in concentrates.

For more information on the Red Chris project and the Highway 37 power line extension, readers are directed to the Company's website www.bcmetalscorp.com and to www.highway37.com respectively.

Ian Smith, President and CEO

This release contains forward-looking statements within the meaning of the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • bcMetals Corporation
    Ian Smith
    President and CEO
    (604) 683 0140
    (604) 683 0126 (FAX)