VANCOUVER, March 19, 2012 /CNW/ - Coronado Resources Ltd. (TSX-V: CRD) reports that the Company as of date has not been able to secure a long-term contract with the mill that has been previously processing some of the Company's ore into salable copper concentrates, which previously generated cash flow and contributed to funding ongoing operations. Under the current circumstances, Coronado is therefore currently uncertain if further underground development work at the Madison project will continue as a consequence of the Company's ability to mill sufficient quantities of ore, which will result in cash constraints.
Coronado is now reviewing its options in regards to the future of the Madison project and reassessing the overall forward plan and development strategy, which could result in an outright sale of the property or refocusing the Company's attention to gold/copper exploration targets identified within the claim group, provided that additional funding can be secured.
The Madison Project is located near Silver Star, Montana in the United States.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The foregoing information may contain forward-looking information relating to Coronado, including but not limited to statements with respect to: the Company's ability to secure a contract with a suitable mill to process the Company's copper ore from the Madison project; and the Company's overall forward plan and development strategy for the Madison project. Actual results may vary from the forward-looking information contained in this news release. Material risk factors that could cause actual results to differ materially from the forward-looking information contained in this news release include, but are not limited to, the risk that: no suitable mill exists to process the Company's copper ore from the Madison project or that the Company is not able to secure a contract with such a mill; the Company is unable to complete a reassessment of its overall forward plan and development strategy for the Madison project; any funding required for the Company's strategy for the Madison project cannot be obtained by the Company. The following material factors and assumptions were used to develop the forward-looking information contained in this news release; that a suitable mill to process the Company's copper ore from the Madison project exists and that the Company can secure a contract with such mill; that the strategy for the Madison project can be created and that, if required, the funding necessary to execute this strategy can be obtained by the Company. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information 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 forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
For further information:
Coronado Resources Ltd. at [email protected] or telephone at 604-683-6338.