YUKON The feasibility study prepared for WESTERN COPPERs wholly owned Carmacks copper project 200 km north of Whitehorse indicates that the proposed project would pay for itself in 3.9 years. Based on 100%-equity financing of a $144-million for development, the project would generate an after-tax internal rate of return of 15.7%.
The study is based on an average annual production rate of 1.73 million t of ore for an estimated six years of operation. Life-of-mine operating costs are estimated to be US$0.83/lb of copper. Oxide measured and indicated resources are 10.37 million t grading 1.13% Cu, 0.52 g/t Au and 4.00 g/t Ag. The measured and indicated resource of sulphide material is 5.66 million t grading 0.77% Cu, 0.18 g/t Au and 2.00 g/t Ag. The project might be optimized by increasing minable reserves, recovery of gold, and exploitation of the sulphide zones.
The feasibility study was compiled by M3 ENGINEERING & TECHNOLOGY Tucson, Arizona, with resource estimation by WARDROP ENGINEERING of Vancouver and reserve estimation and mine costing by INDEPENDENT MINING CONSULTANTS, also of Tucson. Geotechnical input to the study was provided by GOLDER ASSOCIATES of Burnaby, B.C., and environmental input was provided by ACCESS CONSULTING of Whitehorse, YT.
The Carmacks copper project is outlined in more detail at www.WesternCopperCorp.com.