Nevada Copper Corp. – Developing Nevada’s Next Major Copper Mine

Nevada Copper

Overview

Nevada Copper Corp. (TSX:NCU) is an exploration and development company focused on its Pumpkin Hollow Copper Property in western Nevada.

Pumpkin Hollow is a large advanced stage development copper property with substantial reserves and resources including copper, gold, silver, as well as a large iron resource.

Investment Highlights

  • 100% owned advanced stage copper project in Nevada.
  • Reserve Upside – Updated Resource Announced September 2012. Deposits Remain Open. Western Deposit Mineral Reserve to be Published in early 2013.
  • Drilling continues to test newly discovered mineralization.
  • Development Flexibility – Integrated Open Pit and Underground Operation OR Phased High Grade Underground followed by Open Pit operation.
  • Feasibility Study Results on Integrated Underground-Open pit operation to be published in early 2013.
  • Low Risk Profile & Premier Permitting Site – Underground Mining Permits expected in early 2013 with Open Pit Mining Permits expected in 2013.
  • Excellent Infrastructure – Water secured, Power, Rail, Roads, Full Service Community.

Key Property

Pumpkin Hallow Copper Property – Lyon County, Nevada, United States

Nevada Copper’s 100% owned Pumpkin Hollow Copper Property is eight miles southeast of Yerington, Lyon County, Nevada, an hour and a half away from Reno. Pumpkin Hollow covers 22 square miles of claims, accessible by paved road. Its infrastructure includes a power line on the property, a nearby natural gas supply and rail siding, and a local labor force.

The high-grade deposit lies within the Walker Lane belt in the Yerington copper porphyry district. Up to 2001, over 180,000 meters of drilling, several economic studies, and metallurgical and geophysical testing were carried out at Pumpkin Hollow. Nevada Copper acquired the property in 2005 and conducted over 45,000 meters of drilling in its 2007 and 2008 programs, along with metallurgical, geotechnical, and environmental studies.

Pumpkin Hollow Project Animation 

  • Proven and Probable Mineral Reserves of 4.29 billion pounds of copper; 952,000 ounces of gold and 27.3 million ounces of silver based on drill data to October 2010;
  • As at September 2012, the Measured and Indicated Resources in the Western Open Pit Deposits total 5.4 billion pounds of copper, 981,000 ounces of gold, 34 million ounces of silver, plus additional Inferred Resources of 1.4 billion pounds of copper, 219,000 ounces of gold and 9.3 million ounces of silver (all using a 0.15% copper cutoff grade);
  • As at March 2011, the Measured and Indicated Resources in the Eastern Underground Deposits total 1.5 billion pounds of copper, 449,000 ounces of gold, 10.8 million ounces of silver plus additional Inferred Resources of 268 million pounds of copper, 24,000 ounces of gold and 792,000 ounces of silver (all using a 0.75% copper cutoff grade);
  • As at September 2012, 129 million tons of contained iron in 400 million tons at an average grade of 32.2% iron at a 20% iron cutoff in the Measured and Indicated Category.

A positive Feasibility Study on Pumpkin Hollow was announced in January 2012. The Feasibility Study confirms the technical and financial viability of constructing and operating a 67,500 ton-per-day copper mining and processing operation at Pumpkin Hollow. Highlights of the Feasibility Study are as follows:

  • Production Start: Q2 2015 with successful acquisition of BLM administered Federal land by the City of Yerington (“Land Transfer”).
  • Average Annual Copper Production (Year one to five) – 274 million pounds.
  • Year one to five cash costs – $1.28 per pound/copper, net of gold and silver.
  • NPV @ 8% – US$1.26 billion.
  • Year one to five: Average Annual Operating Cash Flow – $450 Million (Base Case).

The Feasibility Study, as filed in accordance with National Instrument 43-101 can be accessed at http://www.nevadacopper.com/i/pdf/NI_43-101_Pumpkin_Hollow_Project_NCC_FinalR2.pdf 

Management

Giulio T. Bonifacio – President and CEO
Mr. Bonifacio has over 26 years in senior executive positions in the mining industry. Mr. Bonifacio is the founder, President & CEO of Nevada Copper Corp. and has a successful track record of raising equity and project capital for development projects of merit. Mr. Bonifacio is a professional accountant with extensive experience and knowledge in areas of corporate finance, securities matters, project finance and mergers & acquisitions.

Mr. Bonifacio has held senior executive roles with Getty Resources Limited, TOTAL S.A. and Vengold Inc.

Robert McKnight – Executive Vice President and Chief Financial Officer
Mr. McKnight is a Professional Engineer and MBA with over 30 years of experience in the resource business with a wealth of knowledge in project finance, mergers and acquisitions, feasibility studies and valuations. Mr. McKnight is a geological engineer with broad experience in the mining industry having held senior roles with Brascan Resources, Wright Engineers, Getty Resources, TOTAL S.A., Endeavour Financial, Pincock Allen & Holt Ltd., AMEC, Yukon Zinc and most recently Selwyn Resources. Mr. McKnight is a graduate of the University of British Columbia and Simon Fraser University with degrees in Geological Engineering and Business Administration.

Greg French - Vice President and Senior Project Manager
Mr. French is a geologist with over 25 years of exploration experience in the western US and Canada. He has worked in various capacities for Homestake Mining Co., Atlas Precious Metals, and Cornerstone Industrial Minerals as well as consulting for numerous junior mining companies. Mr. French has a Nevada gold discovery to his credit and extensive project development experience including two projects taken through feasibility and production.

Timothy M. Dyhr – Vice President of Environment and External Relations
Mr. Dyhr has 35 years of experience in mining. He has led multidisciplinary teams to successfully permit copper and gold mines in Nevada since 1983, and worked on projects in Arizona, California, Washington, Montana, Wyoming, Peru, Chile, Argentina, Australia, Africa, Turkey, China and Papua New Guinea. His experience includes environmental, regulatory, land and legal affairs; and government, media, NGO and public relations. He has worked as a mine site environmental manager, environmental consultant, natural resources manager, and group environmental manager for BHP Copper.

Timothy Dake – General Manager of Project Construction
Mr. Dake has over 30 years of experience in the mining and construction industries. He has worked in diverse capacities in mining and mineral processing in Indonesia, Chile, Russia and Brazil as well as Montana, Arizona, Alaska and Nevada. He is a mechanical engineer with a successful record of project leadership from concept to completion.

Joe Chan – Vice President and CFO 
Mr. Chan is a professional accountant with over 25 years of accounting, administration and system experience in the mining industry. From 1992 to 2002, Mr. Chan held various positions with Teck Cominco Limited including 6 years as Controller for its wholly own subsidiary Quintette Operating Corporation and four years in a senior financial role for its US $2.5 billion Antamina copper project in Peru. Mr. Chan has served in senior financial roles for various public companies since 2003.

Hank Ohlin – Senior Project Geologist 
Mr. Ohlin is a geologist with 31 years of experience in research and mineral exploration. He began his career with the U.S. Geological Survey performing geologic studies in support of resource evaluation. Since 1985 he has worked on exploration projects in the western United States and Mexico, including the Black Pine gold mine in Idaho. As an employee for Cyprus Mining Corporation he was senior geologist on all western U.S. base metal exploration projects including the Crypto iron zinc skarn deposit and the Pumpkin Hollow deposits.

Eugene Toffolo – Corporate Communications 
Mr. Toffolo has over 25 years of experience in the investment sector. He has an in-depth understanding of public companies in the resource industry, raising capital and is
responsible for the liaison with Investment Advisors, Retail and Institutional investors. Mr. Toffolo joined the company in 2006.

Gus McDonald – Corporate Controller
Mr. McDonald joined the Company earlier this year from Quadra Mining, a unit of KGHM, which has copper operations in eastern Nevada. Mr. McDonald is a chartered accountant with several years of industry experience and formerly worked with PricewaterhouseCoopers.