Trading Symbol: TSX-V: ZFR
Shares Outstanding: 24,395,961
HALIFAX, Oct. 7, 2015 /CNW Telbec/ - Zephyr Minerals Ltd. ("Zephyr" or the "Company") (TSX-V: ZFR) is pleased to announce that a preliminary mine plan ("Mine Plan") on the Dawson Gold Project ("Dawson") located in Freemont County, Colorado, USA, will be filed on SEDAR (www.sedar.com). MineTech International Limited of Halifax, Nova Scotia completed the work at a preliminary economic assessment level of accuracy. The Mine Plan addresses all aspects pertaining to mine design, mine scheduling, mining method, proposed equipment, manpower, underground capital and operating cost, but does not include surface capital costs, processing, or the general and administrative costs of the proposed operation.
The following correction has been made to the Mine Plan. Previously, news release No. 07-15 stated a potential mineable tonnage of 422,000 tonnes grading 8.53 g/t. The restated values are 420,400 tonnes grading 8.93 g/t. This resulted in an upward revision of the overall potential mineable gold from 116,000 ounces to 120,700 ounces.
Loren Komperdo, president and CEO stated – "The favourable results from this study will provide strong support in the Company's efforts to raise the necessary capital to further the development of this well located, high grade gold deposit in Colorado."
- Recoverable ounces gold to mill – approx. 27,300 oz/year; total in current Mine Plan – 120,700 ounces
- Mining Cost* - Underground - US$80/ton (US$88/tonne)
- Open pit - US$36/ton (US$37/tonne)
- Capital Cost - US$12.3 million (Mining Only)
- Mining Rate - Daily Nominal Rate: 300 tons (272 tonnes)
Yearly Average Rate: – 105,000 tons (100,000 tonnes)
- Diluted Recoverable Resources** in current Mine Plan
- Dawson Segment – 448,700 tons @ 0.26 oz/ton (407,000 tonnes @ 8.92 g/t)
- Windy Gulch Segment – 14,800 tons @ 0.27 oz/ton (13,400 tonnes @ 9.20 g/t)
- Total – 463,500 [email protected] 0.26 oz/ton (420,400 tonnes @ 8.93 g/t)
- Dilution – 7.5 to 23%; average 14.5%
- Mine Access (U/G) – Portal and 15 ft. x 11 ft., -15% decline (4.6 x 3.4m) totaling approximately 2,500 ft. (762 m) to the 6125 ft level in year 1
- Mining Method – Predominantly fully mechanized, longhole sublevel open stoping
* Mining costs include all development and production costs. Capital costs are not included.
** Recoverable resources estimated utilizing a 3.0 g/t cutoff, 40 g/t cap and a 95% mine recovery. The entire mineral resource is currently classified as "Inferred." Inferred Mineral Resources are based upon widely spaced samples and are speculative in nature. They are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as "mineral reserves."
The report is titled Mine Design for the Dawson Property, located in Colorado, USA, dated August 26, 2015, and was prepared for Zephyr by Patrick Hannon, P.Eng., and Doug Roy, P.Eng. of MineTech International Limited.
About Zephyr Minerals Ltd.
Zephyr Minerals Ltd. is a gold exploration and development company focused on advancing its flagship Dawson Gold Project in Colorado, USA. Dawson is an advanced stage high-grade gold property with excellent blue sky potential. In the fall of 2013, Zephyr announced filing on SEDAR a technical report, prepared in accordance with National Instrument -- Standards of Disclosure for Mineral Projects ("NI 43-101") on Dawson. Zephyr has commenced base line environmental studies as part of its efforts to advance the Dawson Project with the ultimate goal of production, subject in part to a positive economic study.
Mr. Doug Roy, P.Eng., with MineTech International Limited, is a Qualified Person as defined under National Instrument 43-101 and has reviewed the scientific and technical information in this news release.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The forward-looking statements contained in this document are based on certain key expectations and assumptions made by the Company, including, with respect to the use of funds, expectations and assumptions concerning timing of receipt of required regulatory approvals and third party consents and the satisfaction of other conditions to the completion of the exploration work on the Dawson Gold Project.
The forward-looking statements contained in this document are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
SOURCE Zephyr Minerals Ltd.
For further information: Loren Komperdo, President & CEO, or David H. Felderhof, Executive Vice President, Zephyr Minerals Ltd., T: 902 446-4189, F: 866 941-4715