Business
Virgin Metals Files Technical Reports on Los Verdes and Cuatro Hermanos
TSX Symbol: VGM Shares Outstanding: 84,881,246
About this update from Minera Alamos Inc.
[{"type":"text","content":"\n\n\n\nTSX\n\n\nSymbol: VGM\n\n\nShares Outstanding: 84,881,246\n\n\nTORONTO, Sept. 11 /CNW Telbec/ - Virgin Metals Inc. ("Virgin Metals" or\nthe "Company") has filed technical reports on SEDAR on both of its 100% owned\nmolybdenum/copper projects in northern Mexico, Los Verdes and Cuatro Hermanos.\nThe reports may be accessed at www.sedar.com.\n\n\nThe Los Verdes report, entitled Pre Feasibility Study, Los Verdes Project\nreveals a project that demonstrates robust economics at metal prices well\nbelow current prices. The reserve demonstrated in the study of 7.05 million\ntonnes at grades of 0.137% molybdenum and 0.657% copper will support\nproduction through a little more than 7 years averaging approximately\n2 million pounds per year of molybdenum in concentrates and 12 million pounds\nper year of copper in concentrates. The study indicates that average annual\npretax cash flows of between US$45 and US$50 million will lead to a life of\nproject undiscounted pretax cash flow of US$220.5 million after capital costs\nof US$138.8 million. The project pre-tax net present value at an 8% discount\nrate is US$96.9 million. The study does not address potential additional\nrevenues from the tungsten content of the ore.\n\n\nThe Company also announces that an Environmental Impact Statement, Risk\nAssessment and application for Land Use Change for the Los Verdes project has\nbeen filed with the appropriate authorities in Mexico. These comprise the\napplications for the principal permits required for mining operations in\nMexico.\n\n\nThe Cuatro Hermanos report defines the first mineral resource calculated\nto National Instrument 43-101 standards on the property. Drilling over a\nrelatively small part of the known porphyry mineralization to a maximum depth\nof 300 meters defined a resource comprising 206.3 million tonnes of indicated\nresource at a grade of 0.407% copper equivalent and 557.5 million tonnes of\ninferred resource at a grade of 0.400% copper equivalent. Copper equivalents\nwere calculated at a price ratio between molybdenum and copper of 10:1. No\nmetallurgical testwork or economic estimates have yet been made for Cuatro\nHermanos.\n\n\nVirgin Metals CEO Chris Davie said; "The coincidence of these two reports\nappearing nearly simultaneously enables us to highlight the complementary\nnature of these ...