Canadian Copper’s Combined Strategy PEA Delivers After-tax C$171M NPV7%, 36% IRR

• After-tax base case NPV_7% of C$171 M, IRR of 36%, and payback of 2 years using US$4.25/lb copper, US$1.30/lb zinc, US$27/oz silver, and US$1.10/lb lead price assumptions (pre-tax NPV_7% of C$264 M and IRR of 49%).
• Study economics supported by local vendor quotes for key areas including mine contracting, haul road construction, haulage from mine to process plant, concentrate trucking rates to Port of Belledune deepwater port, ocean freight rates, and historical operating costs from former Caribou process plant operation.
• Project combines the Murray Brook open pit mine project and the permitted Caribou copper, lead, zinc process plant and tailings complex located 13 km to the east.
• Initial capital expenditure (“CAPEX”) of C$64 M, resulting in an NPV/CAPEX ratio of 2.7x.
• Average annual payable production during a plus 13 year mine life (“LOM”) of:
  • 8 million pounds (“M lbs”) copper
  • 47 M lbs zinc
  • 783k thousand ounces of silver
  • 10 M lbs lead
  • Or 30 M lbs copper equivalent (“CuEq”) or 98 M lbs zinc equivalent (“ZnEq”).
• All-in sustaining cash cost (“AISC”) of US$3.14 per lb CuEq or AISC of US$0.96 per lb ZnEq.
• Total after-tax LOM free cash flow of C$353M and revenue of C$2.3B
• Use of existing process plant complex, initial tailings storage facility, power, water, and necessary infrastructure to process the adjacent Murray Brook deposit will reduce execution risk.

Canadian Copper Inc. (CSE:CCI) (“Canadian Copper” or the “Company”) announces the results of a positive Preliminary Economic Assessment (“PEA”) by Ausenco for its Combined Strategy of processing the 100%-owned Murray Brook Deposit (“Murray Brook”) at the existing, permitted, and recently operated Caribou Process Plant (“Caribou”) located near Bathurst New Brunswick, Canada.

The asset combination as envisioned in the PEA considers mining the 100%-owned Murray Brook via open pit mining methods and transporting 3,300 tonnes per day (“tpd”) for processing at Caribou. The plan includes the construction of a new dedicated 13 km haul road connecting Murray Brook with Caribou. Essential infrastructure including water, power, administration facilities, and initial tailings deposition capacity will be available at Caribou at the commencement of mining operations.

Continue at Canadian Copper