VANCOUVER, July 12, 2016 /CNW/ - Copper Mountain Mining Corporation (TSX: CUM) (the "Company" or "Copper Mountain") announces production results for the second quarter of 2016, from the Copper Mountain Mine located in southern British Columbia.
Second Quarter 2016 Production Highlights:
- Annual production on track: Produced 21.2 million pounds of copper, 7,980 ounces of gold, and 74,910 ounces of silver during the second quarter, bringing the first half year production totals to 40.1 million pounds of copper, 15,600 ounces of gold, and 139,300 ounces of silver, which is on track to meet production guidance for the year.
- Gold production contribution increased: Gold and silver prices to provide a favourable contribution to the operation and account for over 20% of the mine revenue.
- Mill throughput: Milled 3.4 million tonnes of ore at an average rate of 37,480 tpd, with 91.6% operating time. Copper recovery for the period was 82.4% treating an average grade of 0.343% copper.
- Mine production strong: Mined approximately 196,900 tonnes of material per day during the second quarter, ahead of budget expectations.
Mining activities continued from the Pit 2, Saddle and Virginia Pit areas. A total of 17.9 million tonnes of material was mined, including 5.7 million tonnes of ore and 12.2 million tonnes of waste, resulting in a strip ratio of 2.14 to 1. High equipment mechanical availability was maintained during the quarter which helps contribute to the above average mining rates achieved during the quarter.
Mr. Jim O'Rourke, President and Chief Executive Officer of Copper Mountain Mining, said "The mine continues to improve each quarter. Mill throughput for the month of June averaged 38,900 tpd, which is above our guidance of 37,500 tpd for the year. Gold production continues to provide a strong by-product credit. With 30,000 ounces of gold forecasted for 2016, the recent $250 increase in the price of gold has a material positive affect on the bottom line numbers. This combined with the mine's aggressive cost saving initiatives has greatly strengthened the mine's ability to weather the current global economic environment."
In addition, the Company has signed an amended agreement with the Senior Credit Facility Bankers to extend the guarantee for the debt service reserve account and the capex reserve account for an additional year ending on June 27, 2017.
About Copper Mountain Mining Corporation:
Copper Mountain's flagship asset is the 75% owned Copper Mountain mine located in southern British Columbia near the town of Princeton. The Company has a strategic alliance with Mitsubishi Materials Corporation who owns the remaining 25%. The Copper Mountain mine commenced production in the latter half of 2011, and has continued to improve its operations since start-up. The 18,000 acre site has a large resource of copper that remains open laterally and at depth. The mine has significant exploration potential that will need to be explored over the next few years to fully appreciate the property's full development potential. Additional information is available on the Company's web page at www.CuMtn.com.
A conference call and audio webcast will be held on Monday, August 8, 2016 at 7:30 am (Pacific Daylight Time) for management to discuss the second quarter 2016 results. This discussion will be followed by a question-and-answer period with investors.
Live Dial-in information
Toronto and international: 647-427-7450
North America (toll-free): 888-231-8191
To participate in the webcast live via your computer go to: http://event.on24.com/r.htm?e=1224652&s=1&k=19F8DDE9C7DEEBDD11DCD4E6D6EADD1E
Replay call information
Toronto and international: 416-849-0833, passcode 49108323
North America (toll-free): 1-855-859-2056, passcode 49108323
The conference call replay will be available from 10:30 am (PDT) on August 8, 2016, until 11:59 pm PST on Monday, August 15, 2016
Participant audio webcast will also be available on the Company's website at http://www.cumtn.com
On behalf of the Board of
COPPER MOUNTAIN MINING CORPORATION
Jim O'Rourke, P.Eng.
Chief Executive Officer
Note: This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents, filed by the Company on SEDAR at www.sedar.com, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company undertakes no obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statement.
SOURCE Copper Mountain Mining Corporation
For further information: please contact: Dan Gibbons, Investor Relations, 604-682-2992 ext. 238, Email: [email protected]; Rod Shier, Chief Financial Officer, 604-682-2992 ext.222, Email: [email protected]; Website: www.CuMtn.com