Phoenix, Arizona--(Newsfile Corp. - March 2, 2020) - Excelsior Mining Corp. (TSX: MIN) (FSE: 3XS) (OTCQX: EXMGF) ("Excelsior" or the "Company") is pleased to confirm that wellfield optimization at the Gunnison Copper Project in Southern Arizona is progressing as planned. Excelsior previously announced some changes to the production wellfield (see Excelsior news release dated February 4, 2020) in order to improve efficiency for long-term production performance. These changes are expected to be completed in March, 2020, and the Company is forecasting first copper production in Q2 of this year.
The goal of all the wellfield optimization is to assist in acid breakthrough and continued copper mobilization. Breakthrough will be achieved when free acid is detected at designated recovery wells; thereby maintaining the desired pH level (acidity level) where copper will remain in solution.
Specific optimizations that are being implemented include making the wellfield reversable in terms of fluid flow. Injection wells are being retrofitted with pumps; thereby, allowing them to be used as recovery wells when needed. In addition, recovery wells are in the process of being reconfigured to allow for injection. The current configuration of the wellfield comprises 70-foot spacing between injection and recovery wells. By making the wellfield reversable, Excelsior will have the option of moving mobilized copper only a portion of the full distance between the wells before reversing the fluid flow; thereby reducing the effective distance that the copper must travel before it is recovered. This new capacity to move fluids back and forth (push and pull) is expected to help achieve breakthrough, at which point copper would remain in solution throughout the production process.
In parallel, infrastructure is being installed that will allow for concentrated acid to be injected into each well, which will dissolve any reprecipitated copper (copper sulphate) in the area of the pumps, thereby ensuring effective fluid flow.
Additionally, Excelsior announces the promotion of Roger Baer to the position of Interim CFO. Mr. Baer is a CPA and has been Excelsior's Corporate Controller since July 2018; he brings over 30-years of financial management and progressive accounting experience within the mining industry, having held financial management roles with Alacer Gold, Thompson Creek Metals, Newmont Mining Corp, Kennecott (Rio Tinto) and Cyprus Amax. Mr. Baer is replacing Barry Dahl, who had been Excelsior's CFO since August, 2018. Mr. Dahl will be returning to Nevada for personal reasons. Commenting on his departure, Mr. Dahl said, "Although this is a very exciting moment for Excelsior in terms of proximity to first production, my family and I decided to return to the State of Nevada and I will pursue other opportunities there." Excelsior thanks Mr. Dahl for his service and wishes him the best of luck.
About Excelsior Mining
Excelsior "The Copper Solution Company" is a mineral exploration and production company that owns the Gunnison Copper Project in Cochise County, Arizona. The project is a low cost, environmentally friendly in-situ recovery copper extraction project that is permitted to 125 million pounds per year of copper cathode production. The Feasibility Study projected an after-tax NPV of US$ 807 million and an IRR of 40% using a US$ 2.75 per pound copper price and a 7.5% discount rate.
Excelsior's technical work on the Gunnison Copper Project is supervised by Stephen Twyerould, Fellow of AUSIMM, President & CEO of Excelsior and a Qualified Person as defined by National Instrument 43-101. Mr. Twyerould has reviewed and approved the technical information contained in this news release.
Additional information about the Gunnison Copper Project can be found in the technical report filed on SEDAR at www.sedar.com entitled: "Gunnison Copper Project, NI 43-101 Technical Report, Feasibility Study" dated effective December 17, 2016.
For more information on Excelsior, please visit our website at www.excelsiormining.com.
For further information regarding this press release, please contact:
Excelsior Mining Corp.
Concord Place, Suite 300, 2999 North 44th Street, Phoenix, AZ, 85018.
JJ Jennex, Vice President, Corporate Affairs
T: 604 723 1433
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" concerning anticipated developments and events that may occur in the future. Forward looking information contained in this news release includes, but is not limited to, statements with respect to: (i) the results of the Feasibility Study, including operating and capital cost estimates and the economic benefits from the Gunnison Copper Project; (ii) the schedule for production and first copper cathode sales; (iii) the success of the wellfield optimization plan; and (iv) the ability to mine the Gunnison Copper Project using in-situ recovery mining techniques.
In certain cases, forward-looking information can be identified by the use of words such as "plans", "expects" or "does not expect", "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", "occur" or "be achieved" suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Forward-looking information contained in this news release is based on certain factors and assumptions regarding, among other things, the estimation of mineral resources and mineral reserves, the realization of resource and reserve estimates, copper and other metal prices, the timing and amount of future development expenditures, the estimation of initial and sustaining capital requirements, the estimation of labour and operating costs, the progress of construction activities, receipt of and compliance with necessary regulatory approvals, the estimation of insurance coverage, and assumptions with respect to currency fluctuations, environmental risks, title disputes or claims, and other similar matters. While the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.
Forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include risks inherent in the construction of mineral deposits, including risks relating to changes in project parameters as plans continue to be redefined including the possibility that mining operations may not commence at the Gunnison Copper Project, risks relating to variations in mineral resources and reserves, grade or recovery rates, risks relating to the ability to access infrastructure, risks relating to changes in copper and other commodity prices and the worldwide demand for and supply of copper and related products, risks related to increased competition in the market for copper and related products, risks related to current global financial conditions, uncertainties inherent in the estimation of mineral resources, access and supply risks, reliance on key personnel, operational risks inherent in the conduct of mining activities, including the risk of accidents, labour disputes, increases in capital and operating costs and the risk of delays or increased costs that might be encountered during the construction process, regulatory risks, financing, capitalization and liquidity risks, risks related to disputes concerning property titles and interests, environmental risks and the additional risks identified in the "Risk Factors" section of the Company's reports and filings with applicable Canadian securities regulators.
Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information is made as of the date of this news release. Except as required by applicable securities laws, the Company does not undertake any obligation to publicly update or revise any forward-looking information.
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