DENVER, CO, April 10 /CNW Telbec/ - Constellation Copper Corporation
(CCU: TSX) wishes to report production data for its wholly-owned Lisbon Valley
copper mine located in San Juan County, Utah.
The first quarter showed good improvement in the operating parameters of
the plant. Pregnant leach solution (PLS) flow rates to the plant increased
from 4140 gallons per minute (gpm) to 4908 gpm, an increase of 19%. The daily
plating rate of copper in the electrowinning facility increased from almost
60,000 pounds per day to almost 90,000 pounds per day.
Copper production for the quarter was 5,391,000 pounds (all LME Grade A).
The company carried an inventory of 329,000 pounds into April.
Sales in March totaled 1,724,000 pounds of cathode copper at an average
price of $2.76/lb. Cathode harvested during the month totaled 1,776,000
pounds. This is below expectations and guidance as the plant continued to cope
with cold weather issues and associated flow limitations throughout most of
The conversion of the solvent extraction circuit to 5,000 gpm flow was
fully commissioned on March 29th. This is an increase of 16% over original
design capacity. The increase in settling capacity will allow us to operate at
full flow during periods of extreme cold, which caused reduced flows in
January through March. We are forecasting copper production for the second
quarter of 2007 of 8 million pounds of cathode copper.
Crushing and stacking throughput has also increased significantly with
improvement in weather conditions. Ore through the system has averaged 17,400
tons per day for the first week of April, a 30% improvement over the average
for March and a 35% improvement over the average for the first quarter. More
tons to the pad, along with higher grades predicted by the mine plan as we go
deeper into the ore bodies, should be reflected in higher PLS grades and thus
higher copper production as we go forward.
In other related matters, The Mine Plan Amendments for the Centennial Pit
expansion, Intermediate Leach Solution (ILS) Pond construction and re-design
of the Stage 3 and Stage 4 Leach Pad expansions have all been approved by the
BLM and the State of Utah. Construction of the Stage 3 Leach Pad and ILS Pond
are scheduled to commence in early May. Once completed, the ILS Pond will
establish a staged leaching process designed to further increase PLS grade and
increase copper cathode production through the remainder of 2007.
On the exploration front, our extended exploration Plan of Operations was
approved by the BLM, and we anticipate approval from the State of Utah in the
next few weeks. The plan covers an area of approximately seven square miles in
the area of lower Lisbon Valley and includes the approval for drilling of up
to 175 drill holes in several target areas. Once final approval is received we
will stake specific hole locations and seek archaeological clearance of each
proposed drill site before commencing exploration drilling operations. A
phased approach to the drilling of these new target areas will be undertaken
with drilling slated to start in the next few months. Drilling continues at
the Flying Diamond deposit and we expect to announce additional drill results
during the month of April.
We are pleased that we have most of the cold weather issues behind us,
and look forward to increasing our copper production month-to-month as we go
With the improvement in operations commencing in April we will henceforth
report production on a quarterly basis only, as is more customary for the
industry, and provide quarterly production guidance until we achieve
steady-state operations later in 2007.
Micheal Attaway, VP-Operations and a Professional Engineer, is the
Qualified Person responsible for the content of this release.
This press release contains certain forward-looking statements. In
certain cases, forward-looking statements can be identified by the use of
words such as "plans", "expects" or "does not anticipate", or "believes", or
variations of such words and phrases or statements that certain actions,
events or results "may", "could", "would", "might" or "will be taken", "occur"
or "be achieved". Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company to be materially different from any
future results, performance or achievements expressed or implied by the
forward-looking statements. Such factors include, among others, risks related
to changes in commodity and power prices, changes in interest and currency
exchange rates, inaccurate geological and metallurgical assumptions (including
with respect to the size, grade and recoverability of mineral reserves and
resources), unanticipated operational difficulties (including failure of
plant, equipment or processes to operate in accordance with specifications,
cost escalation, unavailability of materials and equipment, delays in the
receipt of government approvals, industrial disturbances or other job action,
and unanticipated events related to health, safety and environmental matters),
political risk, social unrest, and changes in general economic conditions or
conditions in the financial markets. Although the Company has attempted to
identify important factors that could cause actual actions, events or results
to differ materially from those described in forward-looking statements, there
may be other factors that cause actions, events or results to differ from
those anticipated, estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
For further information:
For further information: Constellation Copper Corporation: Gregory A.
Hahn, President & CEO; Michelle Hebert, Manager-Corporate Affairs, (720)
228-0055, Toll Free: 1-877-370-5400, Fax: (303) 863-1736,
firstname.lastname@example.org, www.constellationcopper.com; Renmark Financial
Communications Inc.: Neil Murray-Lyon, email@example.com;
Barbara Komorowski, firstname.lastname@example.org; Media - Lynda Martineau,
email@example.com, (514) 939-3989, Fax: (514) 939-3717,