TORONTO, Oct. 7, 2014 /CNW/ - Copper One Inc. (CUO-TSX:V) ("Copper One" or the "Company"), through its wholly-owned subsidiary 8815046 Canada Ltd., has entered into a Pre-Development Agreement (the "PDA") for the Troilus project with the Cree Nation of Mistissini, the Grand Council of the Crees (Eeyou Istchee) and the Cree Nation Government.
Through the PDA, the parties have agreed to promote a cooperative and mutually respectful relationship concerning the exploration and pre-development activities of Copper One on and in respect of the Troilus project and to set out a framework for the parties to continue their on-going relationship in a mutually beneficial manner, all in the interest of re-establishing a successful mining project at Troilus.
The PDA provides for business and employment opportunities for the Crees in connection with Copper One'spre-development activities, the completion of a comprehensive business and employment capacity study to assess the potential for Cree business and employment opportunities from an eventual mine at the Troilus project and, when appropriate based on the activities of Copper One relating the project, the hiring of a community member as an environmental monitor.
The Crees have agreed to support the Troilus project and, should Copper One advance the project sufficiently, to cooperate with Copper One in the preparation of all necessary environmental and social impact assessment studies relating to the project and to use their best efforts to ensure that the project proceeds through the environmental and social assessment process provided for in the James Bay and Northern Québec Agreementand that Copper One obtains all related governmental approvals.
The PDA contemplates the completion of an Impacts and Benefits Agreement upon the demonstrated economic viability of the Troilus project with the completion of a positive pre-feasibility study.
Scott Moore, Copper One's President and CEO, stated: "We are extremely pleased to have signed our pre-development agreement with the Cree Nation of Mistissini, The Grand Council of the Crees (Eeyou Istchee) and the Cree Nation Government. We look to continue the excellent rapport of our predecessors Inmet Mining and First Quantum with a renewal of the Troilus gold project in the spirit of co-operation and mutual benefit for all stakeholders."
"This agreement marks the beginning of a collaborative and fruitful relationship between the Crees and Copper One, a relationship based on an alignment of interests, founded on environmental and economic sustainability and the respect of Cree rights." said Dr. Matthew Coon Come, Grand Chief of the Grand Council of the Crees(Eeyou Istchee). "It demonstrates the very essence of social acceptability and that the respect for Aboriginal rights and natural resources development can go hand-in-hand."
Mr. Richard Shecapio, Chief of the Cree Nation of Mistissini, stated: "The Cree Nation of Mistissini welcomes the approach taken by Copper One regarding the Troilus Project. This approach, based on building a respectful and mutually beneficial relationship, takes into consideration our interests, our values, our culture and our way of life. This is how long lasting partnerships are built."
About the Troilus Project
Troilus is a past-producing gold-copper project operated by Inmet Mining Corporation from 1995-2010. In total, the Troilus Mine produced 2 million ounces of gold and 70,000 tonnes of copper metal plus by-product silver, primarily from the main Z87 Zone open pit and the satellite J4 Zone open pit.
The Troilus project hosts total indicated mineral resources of 2.28 million ounces of gold and 160 million pounds of copper, consisting of open pit resources of 60.9 million tonnes grading 0.91 grams per tonne gold and 0.095% copper and underground resources of 11.2 million tonnes grading 1.37 grams per tonne gold and 0.13% copper, and total inferred mineral resources of 0.85 million ounces of gold and 48 million pounds of copper, consisting of open pit resources of 18 million tonnes grading 0.76 grams per tonne gold and 0.068% copper and underground resources of 10.9 million tonnes grading 1.16 grams per tonne gold and 0.088% copper. The Troilus project has excellent resource expansion and new discovery potential. For additional details, please see the technical report entitled "Technical Report on the Troilus Gold-Copper Mine Mineral Resource Estimate, Quebec, Canada" effective June 30, 2014 and prepared for Copper One by RPA Inc.(Toronto). The technical report is available under Copper One's profile on SEDAR (www.sedar.com) and on Copper One's website (www.copperone.com).
On April 8, 2014 Copper One signed a definitive purchase agreement to acquire from First Quantum Minerals Ltd. (FM-TSX) ("First Quantum") a 100% interest in the Troilus project, subject to a 2.5% NSR royalty payable to First Quantum. The acquisition includes all infrastructure, specifically roads, power lines, buildings, a permitted tailings pond and an associated water treatment facility. Completion of the acquisition remains subject to the satisfaction of certain conditions precedent, including governmental and third party consents.
The scientific and technical information in this new release was reviewed and approved by Dr. William Stone, P.Geo., Copper One's Chief Consulting Geologist and a Qualified Person as defined in National Instrument 43-101.
About Copper One Inc.
Copper One is focused on development of high-value copper projects in infrastructure rich areas of safe and secure mining jurisdictions. The Company is part of the Forbes & Manhattan Group of Companies, which has built, operated and sold mines in Canada and globally. Copper One's pipeline of projects includes the Rivière Doré copper-nickel project near Val d'Or, Quebec, and the Queylus copper-gold project in the Chibougamaumining district, Quebec. On April 8, 2014, Copper One entered into a purchase agreement to acquire from First Quantum the past-producing Troilus property, located near Chibougamau, Quebec. Copper One is working to satisfy the closing conditions under the purchase agreement with First Quantum.
Cautionary Note Regarding Forward-looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements regarding the impact of the PDA on the Company, the estimation of mineral resources and the completion of the Company's acquisition of the Troilus project. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved".Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, political and social uncertainties; the actual results of current exploration activities; future prices of mineral prices; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and shortages and other risks of the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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SOURCE Copper One Inc.