El Capitan Precious Metals, Inc., (OTCQB: ECPN) announced today that it has reached an agreement in principle on the terms and conditions for the sale of 600,000 metric tons of head ore. This agreement is an annual agreement with options to renew for five additional years. Finalization and publication of this agreement are subject to certain conditions, the most significant of which is that El Capitan successfully repeats the recovery demonstration of the precious metals, consistent with results of the recently completed demonstration.
The agreement also provides that title to the ore will transfer to the buyer at the mine site once it is loaded into the transport vehicles provided by the buyer. Prepayment will be provided for all ore transfers. The required demonstrations are currently being scheduled for this month, thereby satisfying all the conditions that are required of El Capitan. Details of the agreement will be disclosed when all requirements are met.
In support of the demand for El Capitan ore, the Company has recently completed the filing of claims on an additional 2,000 acres proximate to the current mining operation site. According to John F. Stapleton, Chairman and CEO, these new claims had been identified previously by Clyde Smith, Ph.D., geologist and El Capitan Director, as valuable to the Company’s strategic mining plan.
The Company’s 2016 Shareholders’ Meeting is slated for September 28, 2016 at The Inn of the Mountain Gods in Ruidoso, New Mexico.
About El Capitan Precious Metals, Inc.:
El
Capitan Precious Metals, Inc. is a mining company based in Scottsdale,
Arizona that is principally engaged in the mining of precious metals and
other minerals. The Company’s primary asset is its wholly owned
subsidiary El Capitan, Ltd., an Arizona corporation, which holds the
100% equity interest in the El Capitan property located near Capitan,
New Mexico. www.elcapitanpmi.com
Forward-Looking Safe Harbor Statement:
The statements included in
this press release concerning predictions of economic performance and
management’s plans and objectives constitute forward-looking statements
made pursuant to the safe harbor provisions of Section 21E of the
Securities Exchange Act of 1934, as amended, and Section 27A of the
Securities Act of 1933, as amended. Forward-looking statements are
statements that are not historical facts. Words such as “expect(s),”
“feel(s),” “believe(s),” “will,” “may,” “anticipate(s)” and similar
expressions are intended to identify forward-looking statements. These
statements include, but are not limited to, statements regarding the
expected completion, timing and results of metallurgical testing,
interpretation of drill results, the geology, grade and continuity of
mineral deposits, results of initial feasibility, pre-feasibility and
feasibility studies and expectations with respect to the engaging in
strategic transactions. All of such statements are subject to risks and
uncertainties, many of which are difficult to predict and generally
beyond the control of the Company, that could cause actual results to
differ materially from those expressed in, or implied or projected by,
the forward-looking information and statements. Specifically, there can
be no assurance regarding the timing and terms of any transaction
involving the Company or its El Capitan property, or that such a
transaction will be completed at all. In addition, there can be no
assurance that periodic updates to the Company’s geological technical
reports will support the Company’s prior claims regarding the
metallurgical value and make-up of the ore on the New Mexico property.
Additional risks and uncertainties affecting the Company include, but
are not limited to, the possibility that future exploration,
development, testing or mining results will not be consistent with past
results and/or the Company’s expectations; discrepancies between
different types of testing methods, some or all of which may not be
industry standard; the ability to mine precious and other minerals on a
cost effective basis; the Company’s ability to successfully complete
contracts for the sale of its products; fluctuations in world market
prices for the Company’s products; the Company’s ability to obtain and
maintain regulatory approvals; the Company’s ability to obtain financing
for continued operations and/or the commencement of mining activities on
satisfactory terms; the Company’s ability to enter into and meet all the
conditions to consummate contracts to sell its mining properties that it
chooses to list for sale; and other risks and uncertainties described in
the Company’s filings from time to time with the Securities and Exchange
Commission. Readers are cautioned not to place undue reliance on these
forward-looking statements that speak only as of the date hereof, and we
do not undertake any obligation to revise and disseminate
forward-looking statements to reflect events or circumstances after the
date hereof, or to reflect the occurrence of or non-occurrence of any
events.
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