Ecuador Gold & Copper Corp.

TSX VENTURE : EGX


Ecuador Gold & Copper Corp.

May 29, 2014 08:30 ET

Ecuador Gold to Undertake Additional Metallurgical Testwork and Mining Optimization for Santa Barbara Preliminary Economic Assessment

TORONTO, ONTARIO--(Marketwired - May 29, 2014) -

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Ecuador Gold & Copper Corp. (TSX VENTURE:EGX) (the "Company" or "EGX") announces that the Company's Consulting Engineers, GBM Minerals Engineering Limited ("GBM") who are currently undertaking a 43-101 Preliminary Economic Assessment Technical Report ("PEA") on the Company's flagship Santa Barbara Project, have recommended that additional metallurgical test work be undertaken to establish a metallurgical flow sheet that will produce a saleable copper concentrate and further optimization of the mine plan based on this metallurgical test work.

The Company expects that this additional metallurgical test work and mine optimization will enhance the overall economic viability of the Santa Barbara Project.

Preliminary Metallurgical Test work and Recoveries to Date

Metallurgical test work to date using 'whole ore' cyanide leaching and a two stage flotation process has resulted in an 86% recovery of gold and a 64% recovery of copper.

Further Metallurgical Test Work

GBM have recommended that additional metallurgical test work and flow sheet optimization which incorporates alternative flotation reagents, fine grinding, and possibly a hydrometallurgical process be undertaken that could result in a copper concentrate and gold doré being produced at the mine site.

Mine Optimization

GBM have further recommended that based on the anticipated improved recoveries and the production of an upgraded copper concentrate, that the mine plan and processing rate be optimized to establish a lower capital cost alternative, which will improve the overall economic return and viability of the Santa Barbara Project.

Enhanced Economics and Viability

The Company aims to achieve the maximum extraction of all metals from its mineral resources through optimized metallurgical recoveries into saleable products that are produced from the most optimal mine plan from this mineral resource. The Company expects that this additional metallurgical test work and mine throughput optimization will enhance the overall economic viability of the Santa Barbara Project.

Qualified Person

Mit Tilkov, P.Geo., Vice-President Exploration of Ecuador Gold and Copper Corp. is a qualified person, as defined by National Instrument 43-101 ("NI 43-101"), and is responsible for the preparation of the technical information in this news release.

Cautionary Note

The Company has not completed a preliminary economic assessment or feasibility study of the Condor Gold and Copper Project under NI 43-101, and there is no assurance that the exploration and subsequent development operations of the Condor Gold and Copper Project will be economically or technically viable.

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.

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