Nevada Copper Corp.
TSX : NCU

Nevada Copper Corp.

April 28, 2011 08:30 ET

Nevada Copper Provides Update on Feasibility Study & Engages Merit for Pre-Construction Services

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 28, 2011) - Nevada Copper Corp. (TSX:NCU) ("Nevada Copper") is pleased to provide an update on the progress of its Definitive Feasibility Study ("DFS"). The DFS is progressing well on detailed mine process plant design and capital and operating cost estimates. General surface layouts are largely complete with the locations of Phase 1 and 2 process plants, underground shaft facilities along with the ultimate pit outlines, waste rock and dry stack tailings storage facility ("TSF") areas, as well as conveyor connections. The DFS is being prepared by Tetra Tech and targeted for completion by June 30, 2011.

Construction Management

Nevada Copper has engaged Merit Consultants International Inc. ("Merit"- See below) to provide pre-construction services in support of rapid advancement of the Project. Merit focuses on mine construction management and has extensive worldwide experience in this specialty, including shaft sinking. Initially, their work will concentrate on the critical shaft sinking activity, and include:

  • Preparing a request for proposals ("RFP") for the advanced exploration, underground development work including the review and analysis as well as award recommendation;
  • Identify and coordinate with a head frame consultant for the identification of a permanent hoist;
  • Working with the selected underground contractor to set up the work program and prepare for construction as early as possible;
  • Review design drawings for constructability for the head frame and winch buildings;
  • Other work including concrete and QA/QC specifications and supply; and,
  • Establish a cost control system that will take the DFS costs and convert them to a workable budget for site use in reporting costs.

Merit will also review the DFS capital cost estimates and develop a detailed project implementation timeline including key project milestones. Additionally, Merit may assist Nevada Copper in developing a RFP for the design of the Phase 1-8,000 tons per day processing plant as well as the procurement of the required capital equipment.

Mining

The Whittle open pit mine designs are complete. Work continues on location of the in-pit crusher, truck haul profiles and productivities. On the Phase 1 underground mine and mill on private lands, detailed mine designs are underway that incorporate rock mechanics information and backfill design. Testing of paste backfill sample mixtures and strengths is ongoing. Paste backfill plant locations and delivery systems are well advanced. Mine equipment selection, including capital and operating costs is underway.

Shaft Design

Shaft diameters, depth, initial geotechnical ground support requirements have been determined. Quantity take-offs for the shaft construction are approximately 90% complete. Equipment selection for shaft construction has also begun. Selection of a hoist will start with an assessment of the availability of used hoist equipment, timelines for the supply of new equipment, and an evaluation of options to establish a temporary hoist and head frame, or a permanent production hoist and head frame.

Process

Crushing and grinding test work has been completed and design criteria are being established with equipment selection underway. Wardrop Engineers, a TetraTech subsidiary, is providing process design services for the DFS.

Civil, Surface Geotechnical and Tailings

Preliminary layouts of the TSF for the Phase 1 underground and the Phase 2 open pit developments have been prepared. The combined Phase 1 and Phase 2 TSF footprint has been sized to store 400 metric tonnes of tailings. Geotechnical laboratory testing of tailings samples is currently in progress. Laboratory test results will be used to refine stability analyses for the TSF and for water flow modeling. TSF layouts will form the basis to develop the conveyor tailings delivery system.

Giulio Bonifacio, President & CEO of Nevada Copper, commented, "Our Definitive Feasibility Study is advancing on schedule and we are very pleased to have engaged Merit whose experience in construction management will prove invaluable. Nevada Copper has also identified a number of very qualified applicants that will provide mine development and construction experience who along with that with Merit will provide Nevada Copper with the capabilities to advance the Project quickly and meet our development timelines."

Since 1983, Merit has been providing Project and Construction Management services. Merit has worked with clients in the mining and resource industry worldwide, successfully participating in projects in the USA, Canada, Australia, China, Turkey, Philippines, Papua New Guinea, Chile, Guyana, Myanmar, Peru and Portugal. Merit acts as an extension of the development team and assists in the selection and co-ordination of resources best suited to a particular project. Merit is not directly involved in engineering, manufacturing or construction businesses, which enables project decisions to be focused and unbiased.

Qualified Person

The Pumpkin Hollow project is under the supervision of Gregory French, CPG #10708. Mr. Robert McKnight, P.Eng., and Mr. French are both Qualified Persons as defined in Canadian National Instrument 43-101 and are responsible for the preparation of the technical information 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

We seek safe harbor.

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