Pacific Copper Corp.: Agreement to Purchase the El Corral and Venado (Chile) Copper Oxide Properties
Pacific Copper Corp. (OTCBB: PPFP) (CUSIP # 69412U 10 0) through its Chilean subsidiary, has executed a Letter of Intent (“LOI”) with a single vendor to acquire a 100% interest in the Venado oxide copper project located 45 km northeast of the city of Copiapo, Atacama Region III, Chile, and a 100% interest in the El Corral oxide-chalcocite copper property located 110 km southeast of Copiapo, Chile and in Atacama Region III.
The Venado property, which consists of nearly 3600 hectares, is road-accessible and is characterized by mineralized breccias and shear zones, containing various forms of oxide copper over considerable strike lengths, of up to 1500 meters at surface, throughout the property. Pending geochemical results from surface sampling, these oxides appear to contain ore grade material. The vendor will receive 2 million shares of the Company at closing in exchange for this property, along with a 2% Net Smelter Return (“NSR”) royalty capped at US$6 million, 1% of which can be repurchased prior to commercial production for the sum of US$2 million. Major companies active in this district include Teck-Cominco, BHP, Yamana, and Xstrata.
The El Corral property, which consists of nearly 4000 hectares, is road-accessible and is characterized by oxide copper and chalcocite mineralization in various volcanic and volcanoclastic sedimentary units encountered at the surface. Multiple mineralized zones are found throughout an area of 10km long by 4km wide. Selected surface samples at the property analyzed in 1999 yielded copper grades from .01% to in excess of 5% of which 96 channel and chip samples have average grade of 1.1% copper. The vendor will receive 2 million shares of the Company at closing in exchange for El Corral, and a 2% NSR royalty subject to the same repurchase terms as above. Major companies with a presence in the general area include Freeport, Teck Cominco and Xstrata.
The Company anticipates that both El Corral and Venado, subject to confirmation of resources, a mine plan and feasibility, would eventually be the subject of open pit, heap leaching copper oxide operations. Currently, Pacific Copper anticipates commencing an immediate exploration and definitional drilling campaign at both properties which will be pursued through the end of calendar year 2008.
You can find more detailed information with respect to the company’s projects, corporate information and leadership team at the company’s website: www.pacificcopper.com.
Should you have any questions or comments, please do not hesitate to contact the Company or our Investor Relations people at the referenced numbers above.
FORWARD-LOOKING STATEMENTS: This news release contains certain “forward-looking statements” to the effect that certain events or conditions “may” or “will” occur. Any estimate of potential mineralized material is a forward looking statement. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made based upon information available to management, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other ecological data, the uncertainties related to third-party reports that have not been confirmed by management or the Company, and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.
Contacts: Pacific Copper Corp. Hal Johnston Investor Relations Toll Free: 1-877-306-7979 Pacific Copper Corp. Mike Parker Investor Relations Toll Free: 1-877-306-7979 Email: firstname.lastname@example.org Website: www.pacificcopper.com
SOURCE: Pacific Copper Corp.