ZINC-LEAD: Caribou PEA puts IRR at 56.9%, pre-tax NPV at $150 million

NEW BRUNSWICK – Trevali Mining Corp. of Vancouver is encouraged by the preliminary economic assessment of its Caribou zinc-lead-silver project in the Bathurst Mining Camp. The base case gives the project a 56.9% internal rate of return (post tax) and a post tax net present value of $106 million at a 5% discount rate.

Pre-production capital expenditures would be only $36.3 million to refurbish the 3,000-t/d conventional flotation mill and redevelop the underground mine with a ramp to provide access. Three hundred permanent jobs could be created.

Average annual payable production from Caribou will be 93 million lb of zinc, 32.5 million lb of lead, 3.1 million lb of copper, 730,000 oz of silver, and 1,500 oz of gold. The PEA puts life-of-mine costs for zinc equivalent at US$0.46/lb and operating costs at C$74.77 per tonne milled.

Trevali is confident that opportunities exist for optimizing the plans and enhancing the economics.

Measured and indicated resources at Caribou at 7.23 million tonnes grading 6.99% Zn and 2.93% Pb plus inferred resources of 3.66 million tonnes grading 6.95% Zn and 2.81% Pb.

Please see Trevali.com for more information.