ABBOTSFORD, BC, Jan. 7 /CNW/ - ICS Copper Systems Ltd. (ICX:TSX.V)
Following an evaluation of the NI 43-101 Report prepared by Coffey Mining
on the sulphide mineral resource, and a verbal report from Coffey Mining on
the oxide drilling program, the Board is of the opinion that the grade and the
tonnage of the sulphide resource and oxide deposit will not support a mining
operation and that further drilling will not significantly increase tonnage
and grade. Results of the evaluation of the sulphide resource and the 43-101
report prepared by Coffey Mining have previously been reported on and Coffey
Mining advise that "results of the mineral resource modeling have indicated
that there will be insufficient tonnage and metal concentration and recoveries
for the project to be viable."
The Board has therefore decided to abandon the Mokambo project. Further
expenditures will therefore be minimized and the option agreement with NW
Plant Hire has been terminated through an intentional default. The equipment
currently on site will be dismantled and stored on company owned property
located at Murundu, approximately 6 kilometers from the Mokambo Site pending
The capitalized mineral property expenditures and non-moveable equipment
related to Mokambo totaling $7.9 million at October 31, 2008 will be
written-off in the Company's 2nd quarter financial statements to January 31,
2009 and the necessary material change filing with the BCSC will be
President and CEO of ICS, Graham Chisholm comments: "This was a difficult
decision which followed the disappointments coming from delays in the drilling
program and results that were poorer than what we anticipated. We believe that
abandoning the Mokambo property is the right decision and in the best
interests of our company. We look forward to moving on to new projects which
include two separate tailings projects that have recently come to our
Kathleen Body, Pr.Sci.Nat., of Coffey Mining and an independent qualified
person under NI 43-101, has approved the information in this news release.
The Company has been approached by two different investor groups to
consider developing separate tailings projects in the Kitwe area using the
Company's EMEW electrowinning equipment, crushers, acid tank storage,
generators and other mobile equipment and the Company's management and Board
is currently assessing these opportunities.
AGM and New Board Structure
The Company's AGM took place on Dec 29th at 10:30am. At this meeting a
resolution was passed by disinterested shareholders approving the re-pricing
of 2,150,000 stock options to Directors and Officers to an exercise price of
$0.10. It was also announced that Messrs Whitelaw, Makepeace and Smale have
resigned from the Board. The Board recorded their thanks to all of these
individuals for their contributions to the company, and in particular to Mr.
Mel Smale for his past role as Director and Chairman and wished him every
success in his retirement.
The Company was also pleased to make the appointment of Stephen Peter
Gregory to the Board of Directors. Mr. Gregory is a registered Professional
Engineer with a B.Sc. in Mining Engineering from the University of the
Witwatersrand. He has 28 years experience in the mining industry including 12
years with Anglo American Corporation in numerous production and technical
management positions on large gold, nickel, copper and chromite operations.
Stock options were granted to Stephen Gregory under the Company's 2006
Incentive Stock Option Plan, there are 2,971,387 options available to purchase
Common Shares of the Company. The Company has previously issued 2,150,000
options to Directors and Officers. On December 29th, 2008 the Company issued
a further 200,000 options to Stephen Gregory at an exercise price of $0.10 per
share. These options will expire on December 29th, 2013. The Company has
621,387 options remaining for issuance under the plan.
ICS COPPER SYSTEMS LTD.
Signed "Graham Chisholm"
Graham Chisholm, President & CEO
This release includes certain statements that are "forward-looking
statements". All statements in this release, other than statements of
historical facts that address future exploration, development and production
activities, and other circumstances, events and developments that the Company
expects, are forward-looking statements. Although management 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, events and developments may differ materially
from those in the forward-looking statements. The occurrence of certain risk
factors, the probability of which is unknown, may also affect actual results,
events and developments expected by the Company.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
For further information:
For further information: Graham Chisholm, firstname.lastname@example.org, Office:
(604) 859-3007, Cell: (604) 302-0746, Web Page: www.icscopper.com