White Sulphur Springs, Montana – November 9, 2018 – Sandfire Resources America Inc. (“Sandfire America”or the “Company”) is pleased to provide an update on permitting and feasibility activities relating to its underground Black Butte Copper Project.
Permitting of the Black Butte Project is continuing following a slight delay to the process which has arisen due to the Project being the first new copper mine in Montana required to meet a new statewide numeric standard for nitrogen during the growing season.
By working with the MT Department of Environmental Quality (MT DEQ) to meet these new requirements of the accompanying Montana Pollution Discharge Elimination System (MPDES) permit, the Company has chosen to enhance its project design to include a treated water reservoir. This enables the Company to meet these strict Montana non-degradation standards year-round.
This work has resulted in a minor delay due to the time needed to add additional information to the Environmental Impact Statement (EIS) for review. The schedule for completing the draft EIS has now been extended to the Winter of 2019. The issuance of the Draft EIS will be followed by a public comment period.
Sandfire America’s CEO and VP of Project Development, Rob Scargill, stated: “While this slight delay in completing the draft EIS is disappointing, we now have significant momentum towards making the Black Butte underground copper mine a reality. The newly-incorporated enhancement further underlines the project’s credentials as a state-of-the-art, 21st century mine development.
“The synergy between the top shelf Feasibility Study team we have assembled, and our exceptional staff will continue driving this critical path. With the completion of this work, we can build an underground mine showcasing best practices that all involved will be proud of.”
Kick-off meetings for the Feasibility Study led by Denver-based GR Engineering Services Limited took place in White Sulphur Springs, MT November 5th and 6th. Under GR Engineering Services Limited’s lead, Mining Plus Pty Ltd will prepare the Mineral Reserve Statement and SRK Consulting will prepare the Mineral Resource Statement.
A target completion date is scheduled for the June Quarter 2019. In order to augment the Feasibility Study, the Company’s Autumn 2018 drilling program commenced in the last week in October and is collecting additional data required for resource verification and geotechnical data.
On the political front, Montana voters defeated an anti-mining ballot initiative I-186 by an incredible margin. VP of Communications, Nancy Schlepp, shared: “This is a vote of confidence for mining and for our project. Montanans declared that mining continues to be an important element of a healthy economic/environmental balance.”
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Cautionary Note Regarding Forward-Looking Statements: Certain disclosures in this document constitute “forward looking information”within the meaning of Canadian securities legislation, including statements regarding the completion of the Feasibility Study, permitting timelines and the Company’s plans for advancing the Black Butte Copper Project and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, that the Company will continue to be able to access sufficient funding to execute its plans, and that the results of exploration and development activities will be consistent with management’s expectations. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including factors relating to the Company’s operation as a mineral exploration and development company and the Black Butte Copper Project, that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including that results of exploration and development activities will not be consistent with management’s expectations, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding and all of the other risks generally associated with the development of mining facilities. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and 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 required by law.
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.