Nevada Copper Corp.
TSX : NCU

Nevada Copper Corp.

November 09, 2010 12:04 ET

Nevada Copper Announces Positive Metallurgical Test Results

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 9, 2010) - Nevada Copper Corp. (TSX:NCU) ("Nevada Copper") is pleased to announce the results of latest feasibility-level metallurgical test work on its Pumpkin Hollow project ore composites. These results, which confirm the preliminary metallurgical test work disclosed in a January 2010 Preliminary Economic Assessment, will be incorporated into the recently-announced Definitive Feasibility Study ("DFS") which is anticipated for completion by June 30, 2011. Preliminary work on the DFS is expected to commence within a week.

The recent primary metallurgical test work was conducted at G&T Metallurgical Services Ltd. lab during 2009-10 as part of a feasibility work program. This work built on earlier program completed at Hazen Research Inc. in 2007.

Summary of Results

The results on composite samples from the four ore zones indicate uncomplicated metallurgy and ores with a moderate work index that can produce gold and silver-bearing, high grade copper flotation concentrates with high copper recoveries and a relatively coarse primary grind.

Copper Recovery vs. Concentrate Grade*

Deposit Copper Recovery % Copper Concentrate Grade %
North 90.1 25.4
East 94.8 23.6
South 85.4 28.5
E2 93.5 30.3
* "Optimum" results based on maximizing Net Smelter Return.

Gold and silver are expected to be recovered to the copper concentrates at levels high enough to receive payment by smelters. The recoveries of these precious metals will be variable, dependent on the grades in the mill feed. The optimum primary grinds were determined to be P80 = 150 microns for the North and South deposits and P80 = 100 microns for the higher grade East and E2 deposits.

Nevada Copper's Executive Vice President, Robert McKnight, commented as follows: "The above results are significant for the Pumpkin Hollow project as we continue to remove technical risks from the project. The project is capable of producing a high-quality saleable copper concentrate and we expect to be able to secure a very favourable off-take agreement for this product going forward."

Process Flow Sheet

The primary metallic minerals include chalcopyrite, pyrite and magnetite, with magnetite representing 20-30% of the total content of three of the four composites. The process flow sheet is conventional, with primary and secondary crushing followed a SAG/ball milland rougher and cleaner copper concentrate flotation and regrind circuits. Use of high pressure grinding roll (HPGR) technology will be investigated as an alternative to the SAG mill for reduced power consumption. Because the E2 and South deposits are elevated in pyrite, the facility will also incorporate a pyrite flotation circuit in order to recover, thicken, filter and ultimately sequester this mineral, to reduce acid generation potential.

The final process flow sheet will be finalized once the project scope and phasing of mine development has been established by the DFS.

Copper Concentrates Quality

The anticipated quality of the copper concentrates has been assessed by copper concentrates market experts and determined to be quite marketable and materially free of deleterious elements. The gold and silver values recovered to the copper concentrates are expected to be high enough to generate additional byproduct revenues. The copper concentrates are expected to be marketed in the USA and Asia. Transportation options are primarily truck and rail, to west coast port facilities in the case of export sales. Two possible rail load-out sites are located within 20 road miles of the project site.

Tailings Disposal

Testing on process tails indicate that they can be adequately dewatered by pressure or vacuum filtration methods to meet the requirements necessary for a dry-stacked tailings disposal scheme.

Additional Planned Work

Additional ore variability test work is planned and, as mentioned earlier, the possible use of high pressure grinding roll (HPGR) technology to achieve more efficient grinding and lowered power costs.

Qualified Person

The G&T test program was directed by three senior consulting mineral processing engineers: Ed Bentzen of Lyntek Inc. (USA), Jim King P. Eng. (BC), and Gary Hawthorn, P. Eng. (BC). Mr. Hawthorn is the Independent Qualified Person that has reviewed the metallurgical technical information contained in this News Release.

For additional information about Nevada Copper please visit our website at www.nevadacopper.com.

NEVADA COPPER CORP.

Giulio T. Bonifacio, President & CEO

This news release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, including the likelihood of commercial mining and possible future financings are forward-looking statements. Although Nevada Copper believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include unsuccessful exploration results, changes in metals prices, changes in the availability of funding for mineral exploration, unanticipated changes in key management personnel and general economic conditions. Mining is an inherently risky business. Accordingly the actual events may differ materially from those projected in the forward-looking statements. Mineral resources that are not mineral reserves do not have demonstrated economic viability. For more information on Nevada Copper and the risks and challenges of its business, investors should review Nevada Copper's annual filings that are available at www.sedar.com.

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