Camino Announces Filing of Pre-Feasibility Study Technical Report and Provides Update on Previously Announced Acquisition of the Puquios Copper Project
LEGAL*67578594.10
Camino Announces Filing of Pre-Feasibility Study Technical Report and Provides
Update on Previously Announced Acquisition of the Puquios Copper Project
Vancouver, BC – March 17, 2025 - Camino Minerals Corporation (TSXV: COR) (OTC PINK: CAMZF)
(“Camino” or the “Company”) is pleased to provide an update on its previously announced 1 acquisition
(the “Proposed Transaction”) of all of the issued and outstanding shares of Cuprum Resources Chile SpA
(“Cuprum”), which owns the construction -ready Puquios copper project located in Chile (the “Puquios
Project”). The Company is pleased to announce that it has filed an independent technical report (the
“Puquios Project Technical Report ”) entitled “Puquios Project - NI 43-101 Technical Report and Pre -
feasibility Study, La Higuera, Coquimbo Region, Chile ” with respect to the Puquios Project , which is
expected to be one of the Company’s principal material properties for the purposes of Canadian securities
laws upon completion of the Proposed Transaction.
The results of the PFS on the Puquios Project demonstrate a robust project, with low pre-production capital
and capital intensity requirements and a strong production profile . Specifically, t he Puquios Project
Technical Report highlights an estimated project after -tax net present value ( “NPV”) (8% discount rate)
of US$118 million with an after-tax internal rate of return (“IRR”) of 23.4% at a fixed copper price of US$4.28
per pound. All in sustaining costs for the life of mine are projected at US$2.00 per pound.
“The transaction for the Puquios Project with partners Denham Capital and Nittetsu Mining from Japan, is
expected to close during the first week of April 2025 . The Puquios Project has received its primary
environmental permit, Resoluciones de Calificacion Ambiental (RCA) , to build and operate a mine, so
following the closing of the transaction, we are ready to complete any outstanding sectoral permits and
engineering studies and accelerate the project towards copper production ,” stated Jay Chmelauskas,
President and CEO of the Company. “Heap leach copper production is one of the most cost-effective ways
to build a copper mine and these mines are very common in Northern Chile. The results of our PFS
demonstrate robust economics in the current market for copper , providing the pathway for Camino to
become a new copper producer and to realize our growth strategy that includes advancing our copper
assets in Peru,” said Mr. Chmelauskas.
Separately, the Company also announces that it has filed an amendment (the “Amendment”) to its
management information circular dated February 12, 2025 (the “Circular”) previously filed in respect of its
special meeting (the “Meeting”) of shareholders (the “Camino Shareholders ”) to be held on Monday,
March 31, 2025 at 10:00 a.m. (Vancouver time) , in order to provide shareholders with supplementary
financial information in respect of Cuprum and revise certain financial information in respect of Cuprum
originally included in the Circular.
PRE-FEASIBILITY STUDY HIGHLIGHTS
Project Economics
The following table presents the economic highlights from the PFS.
General LOM Total / Avg.
Copper Realization Price (US$/lb) 4.28
Mine Life (year) 14.2
Production LOM Total / Avg.
1 See the Company’s news releases of June 27, 2024 and October 7, 2024
LEGAL*67578594.10
- 2 -
Total Mill Feed Tonnes (kt) 25,973
Mill Head Grade Cu (%) 0.49%
Mill Recovery Rate (%) 78.80%
Total Copper Recovered (M lb) 223
Operating Costs LOM Total / Avg.
Mining Cost (US$/t Mined) $2.27
Processing Cost (US$/t Milled) $8.94
G&A Cost (US$/t Milled) $1.24
Total Operating Costs (US$/t Milled) $15.14
Cash Costs* (US$/lb Cu) $1.95
AISC** (US$/lb Cu) $2.00
Capital Costs LOM Total / Avg.
Initial Capital (US$M) $141.90
Sustaining Capital (US$M) $20.70
Closure Costs (US$M) $7.90
Salvage Value (US$M) $16.80
Financials – Pre-Tax LOM Total / Avg.
NPV (8%) (US$M) $161
IRR (%) 26.70%
Payback (year) 3.1
Financials – Post-Tax LOM Total / Avg.
NPV (8%) (US$M) $118
IRR (%) 23.40%
* Cash costs consist of mining costs, processing costs, mine-level G&A, sales & marketing charges and royalties.
** All-in Sustaining Cost (AISC) includes cash costs plus sustaining capital, closure cost and salvage value.
Mineral Resources
The following table presents the mineral resource estimation for the Puquios Project.
Classification Tonnes (kt)
Grade
Contained Metal (kt)
CuT% CuS% CuCN%
Measured 26,496 0.475 0.117 0.232 126
Indicated 5,664 0.399 0.111 0.167 23
Measured + Indicated 32,160 0.462 0.116 0.22 149
Inferred 660 0.295 0.133 0.059 2
Notes:
1. Mineral Resources are classified using the 2014 CIM Definition Standards.
2. The Qualified Person for the estimates is Mr. Cristian Quiñones, RM CMC, AsGeoMin SpA.
3. Mineral Resources have an effective date of March 8, 2021.
4. Mineral Resources are reported using a cut-off grade of 0.15% total copper (CuT).
5. Mineral Resources are constrained by preliminary pit shells derived using a Lerchs–Grossmann algorithm and the following
assumptions: six geotechnical domains (52.3° to 59.8°); mining cost of US$2.10/t mined, processing cost of US$5.69/t
processed, including general and administrative (G&A) costs; variable processing recoveries derived from four regression
models; and a metal price of US$3.45/lb Cu.
6. Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade, and
contained metal content. Metal content based on CuT.
LEGAL*67578594.10
- 3 -
7. Tonnage measurements are in metric units. Copper is reported as percentages.
Mineral Reserves
The following table presents the mineral reserves estimation for the Puquios Project.
Reserves Ore (kT) CuT (%) NSR ($/t)
Proven 21,805 0.506 24.64
Probable 4,168 0.43 20.19
Total 25,973 0.494 23.92
Notes:
1. The Mineral Reserves estimates were prepared by Jesse Aarsen , P.Eng. (who is also an Independent Qualified Person),
reported using the 2014 CIM Definition Standards, and have an effective date of September 21, 2021.
2. The cut-off grade used for ore/waste determination is NSR >= US$5.59/t. Cut -off grade assumes US$3.19 /lb Cu, block
recoveries from the block model, US$75/t cathode premium, 2% vendor royalty and US$0.30/lb SX/EW costs.
3. The average associated metallurgical recovery for copper is 79%.
4. Mineral Reserves are converted from Measured and Indicated Mineral Resources through the process of pit optimization, pit
design, production schedule and are supported by a positive cash flow model.
5. The Mineral Reserves reported are the tonnages delivered to the crusher, pre-delivery to the heap leach pad.
6. Mineral Reserves are a sub-set of the Mineral Resources.
7. Rounding as required by reporting guidelines may result in summation differences.
8. Factors that may affect the Mineral Reserve estimate include metal prices, changes in the interpretations of mineralization,
geometry and continuity of mineralization zones, geotechnical and hydrogeological assumptions, ability of the mining
operation to meet the annual production rate, process plant and mining recoveries, the ability to meet and maintain permitting
and environmental license conditions, and the ability to maintain the social license to operate.
The Puquios Project Technical Report was prepared in accordance with National Instrument 43 -101 -
Standards of Disclosure for Mineral Projects (“NI 43-101”) and has an effective date of January 24, 2024.
The Puquios Project Technical Report is available on SEDAR+ (www.sedarplus.ca) under the Company’s
issuer profile, and the Company encourages readers to review the Puquios Project Technical Report in its
entirety, including all assumptions, qualifications, and exclusions expressed therein.
THE MEETING
Purpose of the Meeting
The purpose of the Meeting is to consider the items of business set forth in the notice of special meeting
dated February 12, 2025 (the “Notice of Meeting”), which are, to approve, as more particularly described
therein: (i) the Proposed Transaction and certain matters ancillary thereto; and (ii) the creation of Santiago
Metals Investment Holdings II SLU and Santiago Metals Investment Holdings II-A LLC (being, the vendors
disposing their interest in Cuprum to the Company under the Proposed Transaction ) as new “Control
Persons” (as such term is defined in the rules and policies of the TSX Venture Exchange) of the Company
in connection with the Proposed Transaction.
CAMINO SHAREHOLDERS ARE URGED TO CAREFULLY REVIEW THE MEETING MATERIALS (AS
DEFINED BELOW), INCLUDING THE NOTICE OF MEETING, THE CIRCULAR, and THE AMENDMENT,
WHICH CONTAIN A DETAILED DESCRIPTION OF THE ITEMS OF BUSINESS TO BE CONSIDERED
AT THE MEETING AND THE PROPOSED TRANSACTION, AS WELL AS OTHER IMPORTANT
INFORMATION.
Key Benefits and Recommendation of the Board of Directors
The Company believes that it is acquiring the Puquios Project for less than the cost that it would otherwise
take to bring a similar asset to the same stage of development, and in doing so, eliminating years from the
project development timeline for a comp arable copper asset. The Puquios Project is of a scale that the
LEGAL*67578594.10
- 4 -
Company believes it could (together with its business partners, Denham Capital Management LP and
Nittetsu Mining Co., Ltd.) build by sourcing the necessary funding from capital markets. The construction
and operation of the Puquios Project is expected to p rovide synergies to the Company’s other advanced
exploration assets in Peru (particularly its Los Chapitos Project).
The independent members of the board of directors of the Company (the “Board”) (with Mr. Justin Machin
abstaining due to the conflict of interest described in the Circular) unanimously support the Proposed
Transaction on the basis that it is fair and in the best interest of the Company, as it will, among other things,
add a construction-ready copper project to the Company’s portfolio of properties.
THE BOARD UNANIMOUSLY (WITH MR. JUSTIN MACHIN ABSTAINING DUE TO THE CONFLICT OF
INTEREST DESCRIBED IN THE CIRCULAR) RECOMMENDS THAT CAMINO SHAREHOLDERS VOTE
FOR EACH OF THE MATTERS TO BE PRESENTED TO THE SHAREHOLDERS FOR APPROVAL AT
THE MEETING WHICH ARE SET FORTH IN THE CIRCULAR.
AMENDMENTS TO MANAGEMENT INFORMATION CIRCULAR
Following the mailing and public filing of the Circular, the interim financial statements of Cuprum for the
nine months ended September 30, 2024 (the “ Cuprum Interim Financial Statements ”) and the audited
financial statements of Cuprum for the financial years ended December 31, 2023 and 2022 (the “Cuprum
Annual Financial Statements ”) originally included in Schedule E of the Circular were amended and
reissued to include the basic net loss per share for the applicable periods presented in the said financial
statements. In addition, the Cuprum Annual Financial Statements were amended and reissued to (i) revise
Note 10 of the Cuprum Annual Financial Statements, in order to update the fair value of the identifiable
assets acquired and liabilities assumed by Cuprum in connection with certain merger by absorption
transaction (the “ Proyecto Merger ”) completed by Cuprum , and (ii) revise the statement of cash flows
included in the Cuprum Annual Financial Statements to reflect the impact of the Proyecto Merger under the
“Financing Activities” subheading therein.
Following the mailing and public filing of the Circular, the management’s discussion and analysis of Cuprum
for the three and nine months ended September 30, 2024 was also amended to (i) restate the table under
the heading “Selected Financial Information” therein , and (ii) correct the amount of working capital of
Cuprum as at September 30, 2024.
The Amendment amends the Circular in order to give effect to the foregoing changes. Except as expressly
provided in the Amendment, the Amendment is in addition to, and not in replacement of, the original Circular
(which remains unamended , in the form previously mailed to the Camino S hareholders and filed on
SEDAR+). There are no changes to the previously distributed Notice of the Meeting and related meeting
materials.
The Notice of Meeting, the Circular, the Amendment, and certain related meeting materials for the Meeting
(collectively, the “Meeting Materials”) and the Puquios Project Technical Report are available on SEDAR+
(www.sedarplus.ca) under the Company’s issuer profile. The Meeting Materials are also available on the
Company’s website at https://caminocorp.com/investors/#2025specialmeeting.
About Camino
Camino is a discovery and development stage copper exploration company. On October 7, 2024, Camino
signed a definitive share purchase agreement to purchase the construction-ready Puquios copper mine in
Chile. Camino is focused on developing copper producing assets such as Puquios, and advancing its IOCG
Los Chapitos copper project located in Peru through to resource delineation and develo pment, and to add
new discoveries. Camino has also permitted the Maria Cecilia copper porphyry project for exploration
discovery drilling to add to its NI 43-101 resources. In addition, Camino has increased its land position at
its copper and silver Plata Dorada project. Camino seeks to acquire a portfolio of advanced copper assets
LEGAL*67578594.10
- 5 -
that have the potential to deliver copper into an electrifying copper intensive global economy. For more
information, please refer to Camino’s website at www.caminocorp.com.
ON BEHALF OF THE BOARD
/S/ “Jay Chmelauskas”
President and CEO
For further information, please contact:
Camino Investor Relations
Tel: (604) 493-2058
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Technical Information
Scott C. Elfen , P.E., Ausenco Engineering Canada ULC., James Millard, P.Geo., Ausenco Sustainability
ULC., Tommaso Roberto Raponi, P. Eng., Ausenco Engineering Canada ULC., Jesse Aarsen, P.Eng.,
Moose Mountain Technical Services, and Cristian A. Quiñones, RM CMC, AsGeoMin SpA., are the authors
of the Puquios Project Technical Report, are independent of the parties to the Proposed Transaction, and
are “qualified persons” as defined in NI 43 -101. Mr. Elfen, Mr. Millard, Mr. Raponi, Mr. Aarsen, and Mr.
Quiñones have prepared or supervised the preparation of the applicable scientific and technical information
included herein which has been derived from the section(s) of the Puquios Project Technical Report for which
they are individually responsible, as noted therein.
Further details with respect to the Puquios Project are available in the Puquios Project Technical Report,
filed on SEDAR+ (www.sedarplus.ca) under the Company’s issuer profile.
Cautionary Statements
Completion of the Proposed Transaction is subject to a number of conditions, including but not limited to, the
acceptance of the TSX Venture Exchange and disinterested shareholder approval. The Proposed
Transaction cannot close until the required sharehold er approval is obtained. There can be no assurance
that the Proposed Transaction will be completed as proposed or at all.
Investors are cautioned that, except as disclosed in the Circular, any information released or received with
respect to the Proposed Transaction may not be accurate or complete and should not be relied upon. Trading
in the securities of Camino should be considered highly speculative.
The TSX Venture Exchange has in no way passed upon the merits of the Proposed Transaction and has
neither approved nor disapproved the contents of this news release.
Certain disclosures in this news release constitute forward-looking information. In making the forward-looking
disclosures in this news release, the Company has applied certain factors and assumptions that are based
on the Company’s current beliefs as well as assumptions made by and information currently available to the
Company. Forward-looking information in t his news release includes, without limitation, statements with
respect to the Meeting (including , the timing thereof and the business to be considered thereat); the
Proposed Transaction and the acquisition of the Puquios Project; the relevance of the Puquios Project to the
Company following the completion of the Proposed Transaction; the Company’s ability to build the Puquios
Project, including by completing engineering studies; and the anticipated synergies from the construction
and operation of the Puquios Project. Although the Company considers these assumptions to be reasonable
based on informatio n currently available to it, they may prove to be incorrect, and the forward -looking
information in this news release is subject to numerous risks, uncertainties and other factors that may cause
future results to differ materially from those expressed or implied in such forward-looking information. Such
risk factors and uncertainties include, among others, the risk that the Proposed Transaction will not be
completed as anticipated, or at all; the risk that the Company will not obtain from the TSX Venture Exchange
LEGAL*67578594.10
- 6 -
a waiver of the sponsorship requirement in respect of the Proposed Transaction; the risk that the Company
will not obtain the requisite regulatory (including, the approval of the TSX Venture Exchange) and/or
shareholder approvals or satisfy the customary conditions in respect of the Proposed Transaction as
anticipated, or at all; the risk that the anticipated synergies and benefits expected from the Proposed
Transaction will not be realized as contempla ted, or at all; the risk that actual results of the Com pany’s
exploration activities may be different than those expected by management; the risk that the Company may
be unable to obtain or will experience delays in obtaining any required authorizations and approvals;
uncertainties relating to the availability and costs of financing required in the future; risks and uncertainties
associated with fluctuations in general macroeconomic conditions , securities markets, spot and forward
prices of copper and other base metals and/or certain other commodities, and/or currency markets; change
in national and local government, legislation, taxation, controls, regulations and political or economic
developments; risks and hazards associated with the business of mineral exploration, development and
mining; and other general business risks and uncertainties, including those related to the state of equity and
commodity markets. Readers are cautioned not to place undue reliance on forward-looking statements. The
Company does not intend, and expressly disclai ms any intention or obligation to, update or revise any
forward-looking statements whether as a result of new information, future events or otherwise, except as
required by law.