US Copper Corp Initiates an Updated Preliminary Economic Assessment on entire Moonlight-Superior Project
US Copper Corp Initiates an Updated Preliminary Economic Assessment on
entire Moonlight-Superior Project
TORONTO, CANADA, August 8, 2024 – US Copper Corp (“ US Copper” or the “ Company”)
(TSX Venture: USCU) (OTCQB: USCU F) (Frankfurt: C73) is pleased to announce that it has
retained Global Resource Engineering of Denver, Colorado (“ GRE”) to complete a Preliminary
Economic Assessment (“PEA”) on its entire 100% controlled Moonlight-Superior Copper Project
in Northeast California.
Results of the PEA are anticipated by the end of this year.
The Moonlight-Superior Copper Proj ect in Northeast California i ncludes four known copper
deposits (the “Project”), three of which host National Instrument 43-101 (“NI 43-101”) resources,
as referenced in the data section below. US Copper had a PEA prepared on the Moonlight deposit
on a stand-alone basis in 2018, which demonstrated positive eco nomics at US$3.15 per pound of
copper. The 2018 PEA recommended that incorporating higher grade ore from our Superior and/or
Engels deposits into the Moonlight mine plan, could substantially enhance the Project’s economics
by increasing cash flows in the initial years of production. T he Company’s recently completed
drill programs at Superior in 2021 and at Engels and Moonlight in 2023 were designed to both
convert inferred resources to the indicated category, and to be tter define any higher-grade ore at
these deposits for potential starter pits for the Moonlight pla nt. These soon to be updated Engels
and Superior NI-43-101 resources will provide the data for a revised PEA which will also include
a newly defined oxide resource at both the Moonlight and Engels deposits.
Management Commentary
“Encouraged by the recent addition of copper to the U.S. critical minerals list, we look forward to
conducting a preliminary economic assessment to evaluate the viability of a mining operation that
includes our three deposits with NI 43-101 resources as well as the oxide caps at both our
Moonlight and Engels deposits,” commented Stephen Dunn, President and CEO of US Copper.
“Results from our exploration drill programs at Moonlight and Engels last year confirmed a near-
surface copper oxide cap sits above the larger copper sulfide deposits below. These types of copper
oxide deposits are found in the major copper mini ng districts of the world and can typically be
economically extracted, usually through low-impact surface mining, and processed at lower cost
than copper sulfide ores. Furthermore, acid leaching of oxide copper produces high grade copper
cathodes, with grade A cathode typically selling for a premium” added Mr. Dunn.
Stephen Dunn also commented: “The Company is working hard to advance its Project back into
production and is excited about the opportunity to be an integral supplier of the copper metal
required by the U.S. domestic market for its energy transition. We are looking forward to working
with GRE, and drawing upon the extensive knowledge of their team."
Qualified Person
The scientific and technical content of this press release has been reviewed and approved by
George Cole, M.Sc., Director of US Copper who is a “Qualified P erson” as defined in NI 43-101
Standards of Disclosure for Mineral Projects. George Cole is a Registered Professional Geologist
through AIPG (CPG-11687).
About US Copper Corp
US Copper controls approximately 10 square miles of patented an d unpatented federal mining
claims in the Light’s Creek Copper District in Plumas County, NE California; essentially, the entire
District. The District contains s ubstantial copper (silver) sul fide and copper oxide resources in
three deposits – Moonlight, Superior and Engels, as well as sev eral partially tested and untested
exploration targets.
The Superior and Engels Mines operated from about 1915 to 1930 producing over 161 million
pounds of copper from over 4 million tons of rock containing 2. 2% copper with silver and gold
credits.
The Moonlight deposit was discovered and drilled by Placer Amex during the 1960s. Details of
the resources on US Copper’s property and the parameters used to calculate them can be found in
the “Technical Report and Preli minary Economic Assessment for t he Moonlight Deposit,
Moonlight-Superior Copper Project, California, USA” dated April 12, 2018 (the “2018 PEA”) on
both the Company’s website at www.uscoppercorp.com and SEDAR+ at sedarplus.ca under the
US Copper Corp profile.
The 2018 PEA, prepared by Tetra Tech Inc., had the following highlights:
After-tax NPV: US$179M at an 8% discount rate and a US$3.15 copper price
After-tax IRR: 14.6%
Initial Capital Cost: US$513M, including a contingency provision in the amount of
US$71M
Plant Processing Rate: 60,000 tons per day (STPD)
Average Copper Recovery: 86.0%
Mine Life: 17 years, based on the existing Mineral Resource estimate at Moonlight
Life of Mine Copper Production: 1.5 billion pounds
The Moonlight sulfide deposit hosts a current NI 43-101 indicated resource of approximately 252
million tons (154 million tonnes) averaging 0.25% copper and 0. 07 oz/silver per ton, and an
inferred resource of 109 million tons (62 million tonnes) averaging 0.24% copper and 0.08 oz/silver
per ton, both above a US$6.25 net smelter return cut-off. Contained indicated resources are 1.272
billion pounds of copper and 18 million ounces of silver, and i nferred resources of 534 million
pounds of copper and 9 million ounces of silver. The Moonlight sulfide deposit remains open to
the south and at depth. This resource estimate is contained in the 2018 PEA.
The Superior deposit is not inc luded in the 2018 PEA and it hos ts a current NI 43-101 inferred
mineral resource of 57 million metric tonnes at an average copper grade of 0.41%. Note no silver
or gold were included as part of this resource.
A PEA, as defined under the terms of NI 43-101, is an economic analysis intended to comment on
the potential viability of a mineral project. A PEA analyzes and assesses geological, engineering,
and economic factors to reach its conclusions. Please note the 2018 PEA is preliminary in nature
and includes inferred mineral resources that are considered too speculative geologically to have
the economic considerations applied to them that would enable them to be categorized as mineral
reserves. Furthermore, there is no certainty that the 2018 PEA will be realized. Mineral resources
that are not mineral reserves do not have demonstrated economic viability. Readers are encouraged
to read the technical report of the 2018 PEA.
For Further Information Contact:
Mr. Stephen Dunn, President, CEO and Director, US Copper Corp ( 416) 361-2827 or email
Neither the 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 press release.
This press release contains forward-looking statements within the meaning of applicable Canadian and U.S. securities
laws and regulations, including statements regarding th e future activities of the Company. Forward-looking
statements reflect the current beliefs and expectations of management and are identified by the use of words including
“will”, “hopes”, “anticipates”, “expected to”, “plans”, “p lanned”, “intends” and other similar words. Actual
results may differ significantly. The achievement of the resu lts expressed in forward-looking statements is subject to
a number of risks, including those described in the Company’s management discussion and analysis as filed with the
Canadian securities regulatory authorities which are available at www.sedarplus.ca. Investors are cautioned not to
place undue reliance upon forward-looking statements.