WATER LICENCE: Western Copper to appeal Carmacks project denial

VANCOUVER - Western Copper has filed a petition with the Yukon Supreme Court seeking leave to appeal the decision of the Yukon Water Board made on May 10, 2010, denying a water licence for Western's Carmacks copper project 200 km north of Whitehorse, YT.

The executive committee of the Yukon Environmental and Socio-economic Assessment Board issued its report recommending the Carmacks project be allowed to proceed in July 2008. Subsequently, the Yukon Minister of Energy, Mines and Resources issued a Quartz Mining Licence for the Carmacks development on April 15, 2009. This licence addresses the development and production of the mine, including requirements for construction plans, a reclamation and closure plan, financial security, and environmental protection plans.

Western Copper alleges that the water board failed to follow recommendations of previous Yukon and federal government decisions and ignored the mining licence that has been granted.

The Carmacks project is to be an open pit mine and heap leach operation that will produce copper cathodes. It could produce 32 million lb of copper annually for at least six years. Cash costs are estimated to be US$0.84/lb. Proven and probable reserves total 10.6 million tonnes grading 1.04% Cu, 0.48 g/t Au and 4.62 g/t Ag or 1.39% CuEq. At peak production it will employ 180 people.

The Carmacks fact sheet is posted at www.WesternCopperCorp.com.