VANCOUVER,
Jan. 29, 2013 /PRNewswire/ - Copper
North Mining Corp. ("Copper North" or "the Company") (TSX.V: COL)
is pleased to announce it has signed a Letter of Intent ("LOI")
with the Yukon Energy Corporation ("YEC") setting out essential
elements of a Power Purchase Agreement ("PPA") and ancillary
agreements to be negotiated, executed and delivered between the
parties for the supply of electricity by YEC to the Company at the
Carmacks Copper Project ("the Project") Yukon, Canada.
The PPA will contain the terms and conditions
upon which YEC will supply Copper North with the electricity
requirements for the Project from YEC's grid-based electricity
generation through YEC's transmission grid (the "Grid") and
transmission connection from the Project to the Grid.
Subject to the approval of the Yukon Utilities
Board (the "YUB"), the LOI provides that key provisions of the PPA
will include:
- Specification of project power requirements, including maximum
megavolt-ampere loads as well as projected annual energy
demand during the life of the project;
- Funding arrangements for grid connection, system upgrades,
operating costs related to grid connection and removal and
decommissioning costs; and
- Rate charges applicable to all major industrial customers.
The Company anticipates that YEC will serve the
Project from the existing Carmacks-Stewart 138 kV transmission line,
built along the Klondike Highway. A new substation (tap-off) in the
vicinity of McGregor Creek would
feed an 11 km 34.5 kV transmission spur-line to the Project's main
substation, terminating on a dead-end structure ahead of the site
substation.
Copper North will provide the capital (currently
estimated at $9.7 million) for the
design, permitting and construction of the tap-off from the
existing Grid, and 11 km 34.5 kV transmission line.
President and Chief Executive Officer, Dr.
Sally Eyre stated "we have reached
yet another milestone at the Carmacks Copper Project. Following
completion of the Feasibility Study at the end of 2012, the LOI now
enables us to advance negotiations with YEC regarding a PPA for the
supply of electricity".
About Copper North
Copper North is a Canadian mineral exploration
and development company. Copper North's assets include the Carmacks
Copper Project located in the Yukon, and the high-grade, stratiform-copper
Redstone Property, located in the Northwest Territories. Copper North trades on
the TSX Venture Exchange under the symbol COL.
Please visit www.coppernorthmining.com.
On behalf of the Board of Directors:
"Sally L. Eyre"
Dr. Sally L.
Eyre
President, CEO and Director
This news release includes certain
forward-looking information or forward-looking statements
(collectively "Forward-Looking Information") for the purposes of
applicable securities laws. Forward-Looking Information includes,
but is not limited to, statements with respect to the PPA, the
ancillary documents thereto and provisions to be included therein;
possible events, conditions or performance that are based on
assumptions about future courses of action; activities relating
Carmacks and the matters
contemplated under the LOI, the PPA and the documents and
agreements ancillary thereto; design, permitting, construction and
infrastructure time lines and requirements; capital cost
estimates. In certain cases, Forward-Looking Information can
be identified by the use of words and phrases such as "plans",
"expects" or "does not expect", "scheduled", "estimates",
"anticipates", "potential", "recommends" or variations of such
words and phrases or statements that certain actions, events or
results "may", "could", "would" or "will be taken", "occur" or "be
achieved". These statements address future events and conditions
and, as such, involve known and unknown risks, uncertainties and
other factors, which may cause the actual results, performance or
achievements to differ materially from those anticipated in such
statements. Important factors that could cause actual results to
differ materially from the Company's expectations include, among
others, the timing and success of negotiations and finalization of
the PPA and the documents and agreements ancillary thereto, market
prices, availability of capital and financing, general economic,
market or business conditions, uninsured risks, regulatory changes,
availability of personnel, materials and equipment, timeliness of
government and other regulatory approvals, unanticipated
environmental impacts on operations and other exploration risks
detailed herein and from time to time in the filings made by the
Company with securities regulators. In making the
forward-looking statements, the Company has applied several
material assumptions including, but not limited to, the assumptions
that the matters contemplated under the LOI will proceed as
planned, approval of the YUB will be obtained in a timely manner,
market fundamentals will result in sustained metals and mineral
prices, current exploration and other objectives concerning
Carmacks can be achieved and that
the Company's other corporate activities will proceed as expected
and any additional financing needed will be available on reasonable
terms. Although the Company has attempted to identify important
factors that could affect the Company and may cause actual actions,
events or results to differ materially from those described herein,
there may be other factors that cause actions, events or results
not to be as anticipated, estimated or intended. There can be no
assurance that Forward-Looking Information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on
Forward-Looking Information. The Company expressly disclaims 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 otherwise required by applicable securities
legislation.
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 release.
SOURCE Copper North Mining Corp.
