TORONTO, Sept. 12,
2022 /CNW/ - Adventus Mining Corporation
("Adventus Mining") (TSXV: ADZN) (OTC-QX: ADVZF) and
Salazar Resources Limited ("Salazar") (TSXV: SRL)
(OTC-QX: SRLZF) (collectively the "Participants") are
pleased to provide a technical update on development progress for
the Curipamba - El Domo copper-gold project in central Ecuador (the "Project"). The 2022 work program
continues to advance all facets of the Project from the feasibility
study and environmental and social impact assessment ("ESIA")
completed in the fourth quarter of 2021.
Mining Contract
Agreement
The Participants have signed a Letter of Intent ("LOI") for the
award of a mining and construction contract to a joint venture
between STRACON S.A., a well-established Peruvian mining contractor
with operations throughout Latin
America, and RIPCONCIV, a large and respected Ecuadorian
infrastructure construction contractor ("STRACON-RIPCONCIV JV").
The LOI allows the parties to immediately commence activities
relating to local community-targeted training and employment,
constructability reviews, logistics studies, and execution
planning. These are value-add activities which directly support the
Participants' plan to formally commence construction of the Project
in the second quarter of 2023.
A definitive agreement is expected to be executed in the fourth
quarter of 2022, which will be structured in an
alliance-partnership model to ensure focus on the best solutions
for the Project while ensuring that risks are allocated to the
parties best equipped to manage and mitigate. The STRACON-RIPCONCIV
JV will be responsible for the successful construction of the open
pit, tailings facilities, and associated mine infrastructure as
well as the first two years of mine operation.
Pre-Construction Site
Activities
Focus on site work has been on drilling to support the detailed
engineering program (see August 29,
2022 news release), and the implementation of health,
safety, security, and environmental management plans in
anticipation for formal construction commencement in the second
quarter of 2023. Key additional hires in areas of security,
community engagement, and technical field services have been
completed. The Participants have also entered into a security
contract with an Ecuadorian security provider to enhance safeguards
and procedures to further protect the Project's personnel and
facilities as the level of project activities continues to
increase.
Work continues to advance on site with an ongoing
pre-construction program involving activities such as geotechnical
and hydrogeological drilling, camp installation, IT,
infrastructure, logistics planning, community hiring, public and
private security provisions, water management and electrical power
systems.
Tailings & Waste Rock Facility
Design – Optimization & Savings
A contract for the detailed engineering and design of the
tailings storage facility ("TSF"), waste rock facilities ("WRF"),
and associated infrastructure was awarded to engineering firm Klohn
Crippen Berger ("KCB") in June 2022.
Design work has commenced and is expected to be completed in the
first quarter of 2023, prior to the start of construction. The
detailed design builds upon the feasibility study design for which
the Project received technical approval from the Government of
Ecuador's Ministry of Energy and
Mines (see May 31, 2022 news
release).
In June 2022, KCB completed a
study to optimize the use of waste rock during the pre-strip period
for use as construction material. This work resulted in an
anticipated overall reduction of pre-strip volume of approximately
3 million tonnes of waste which is expected to reduce construction
costs and provide more schedule flexibility during the
pre-production period of project development. An updated mine plan
based on the reduced pre-strip quantities is expected to be
completed in September 2022, which
will then be used by the STRACON-RIPCONCIV JV to finalize fleet
selection and manpower planning.
Engineering &
Procurement
Engineering for the Project process plant and surface
infrastructure is now well underway by engineering firm DRA Global
Limited, the lead detailed engineering consultant for the Project
(see February 15, 2022 news release).
Work is on schedule and currently focused on the negotiation and
award of long lead equipment packages from mining equipment
vendors, with a 30% progress milestone review planned for late
September 2022. The Participants
intend to procure certified equipment data for long lead equipment
in the fourth quarter 2022 in order to allow engineering to advance
but will only release equipment for fabrication once full approval
for construction is received from the Adventus Mining Board of
Directors – anticipated for the second quarter of 2023. This
approach will allow engineering to progress to greater than 80%
completion prior to start of construction and the development of an
updated control budget based on firm equipment pricing prior to a
construction decision.
Environmental Licensing
Progress
Following the successful receipt of ESIA technical approval from
the Government of Ecuador in
May 2022 (see May 31, 2022 news release), the Participants are
continuing to plan for the public consultation process (Citizens
Participation Process). The Government of Ecuador is in the process of redefining the
requirements for this consultation process and the President of
Ecuador is expected to enact a
corresponding decree in 2022. The Participants anticipate that once
signed into law, the improved consultation process is likely to
require the first quarter of 2023 to be fully implemented
nationally which would result in the receipt of approvals for the
Project in the second quarter of 2023. This timeline is in
alignment with current Project plans to commence construction in
the second quarter of 2023. While the final environmental license
issuance was previously expected by year-end 2022, the additional
time required for the full approval and issuance is not expected to
impact construction commencement due to a buffer included in the
Project schedule to account for potential delays such as this.
Processing delays across all sectors nationally were caused by the
protests in Ecuador earlier in
2022 and subsequent government position changes.
As such the final control capital budget for the Project is
expected to be announced in the second quarter of 2023. To date,
the Participants have seen some reductions in projected capital
costs such as from improvements in the TSF design, which are
tending to offset cost pressures associated with inflation and
global geopolitical instability. Ecuador continues to experience monetary
stability with the US dollar as legal tender since 2000, and lower
inflation levels than seen in the G7.
Qualified Person
The technical information of this news release has been reviewed
and verified as accurate by Mr. Dustin
Small, P.Eng., Vice President Projects for Adventus Mining,
a non-Independent Qualified Person, as defined by NI 43-101.
About Adventus
Mining
Adventus Mining Corporation is an Ecuador-focused copper-gold exploration and
development company. Adventus Mining is majority owner of the 215
sq. km Curipamba copper-gold project, which has a completed
feasibility study on the shallow and high-grade El Domo deposit. In
addition, Adventus Mining is engaged in a country-wide exploration
alliance in Ecuador, which has
incorporated the Pijili and Santiago copper-gold porphyry projects to
date. Outside of Ecuador, Adventus
Mining owns an exploration project portfolio in Ireland with South32 Limited as the funding
participant. Its strategic shareholders include Altius Minerals
Corporation, Greenstone Resources LP, Wheaton Precious Metals
Corp., and the Nobis Group of Ecuador. Adventus Mining is based in
Toronto, Canada, and is listed on
the TSX Venture Exchange under the symbol ADZN and trades on the
OTCQX under the symbol ADVZF.
About Salazar
Salazar Resources Limited is focused on creating value and
positive change through discovery, exploration, and development in
Ecuador. The team has an
unrivalled understanding of the geology in-country and has played
an integral role in the discovery of many of the major projects in
Ecuador, including the two newest
operating gold and copper mines. Salazar Resources has a wholly
owned pipeline of copper-gold exploration projects across
Ecuador with a strategy to make
another commercial discovery and farm-out non-core assets. The
Company actively engages with Ecuadorian communities and together
with the Salazar family it co-founded The Salazar Foundation, an
independent non-profit organization dedicated to sustainable
progress through economic development. The Company already has
carried interests in three projects. At its maiden discovery,
Curipamba, Salazar Resources has a 25% stake fully carried through
to production. At two copper-gold porphyry projects, Pijili and
Santiago, the Company has a 20%
stake fully carried through to a construction decision.
This press release contains "forward -looking information"
within the meaning of applicable Canadian securities laws.
Forward-looking statements are based on the beliefs, expectations,
and opinions of the management of the Participants as of the date
the statement is published, and the Participants assume no
obligation to update any forward-looking statement, except as
required by law. In certain cases, forward–looking statements can
be identified by the use of words such as "plans", "expects",
"outlook", "guidance", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "believes", or variations
of such words and phrases or statements that certain actions,
events or results "may", "could", "would", "might", "will be
taken", "occur" or "be achieved" or the negative of these terms or
comparable terminology.
Forward-looking information herein includes, but is not limited
to, statements that address activities, events, or developments
that Adventus Mining and Salazar expect or anticipate will or may
occur in the future. Although Adventus Mining and Salazar have
attempted to identify important factors that could cause actual
actions, events, or results to differ materially from those
described in forward-looking information, 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
such information will prove to be accurate, and actual results and
future events could differ materially from those anticipated in
such information. Accordingly, readers should not place undue
reliance on forward-looking information. Adventus Mining and
Salazar undertake to update any forward-looking information except
in accordance with applicable securities laws.
*Precious Metals Summit Beaver Creek* – Adventus
Mining will be attending the 2022 Precious Metals Summit Beaver
Creek and is available to meet with interested investors on
Tuesday, Sept. 13, Wednesday, Sept. 14, and Thursday, Sept. 15. To schedule a meeting, please
contact Christian Kargl-Simard
directly.
SOURCE Adventus Mining Corporation