Capstone Mining obtains new water use licence for Canada’s Minto Mine

6 August 2015 (Last Updated August 6th, 2015 18:30)

Capstone Mining has secured the new water use licence (WUL) for the Minto Mine located in Yukon, Canada, which is the final stage of permit for the project.

Capstone Mining has secured the new water use licence (WUL) for the Minto Mine located in Yukon, Canada, which is the final stage of permit for the project.

The licence will enable the company to commence stripping of the high-grade, shallow Minto North deposit. It also completes the final stage of permitting for all of the mineral reserves that were identified in the phase VI pre-feasibility study conducted in July 2012.

Capstone Mining president and CEO Darren Pylot said: "Access to the high-grade mineralisation at Minto North will have a very positive impact on the continuation of jobs and economic benefit in Yukon.

"Access to the high-grade mineralisation at Minto North will have a very positive impact on the continuation of jobs and economic benefit in Yukon."

"The mining of the Minto North deposit also makes a significant contribution to the economics of the mine and to Capstone's cash flow in 2016."

Following the receipt of the licence, the company plans to commence ramp-up in preparation for pre-stripping the Minto North pit with immediate effect.

In December 2015, ore from the mine is expected to start to feed the mill, which will continue to process underground and stockpiled ore for the balance of 2015.

The mill will process ore from Minto North supplemented by underground and stockpiled ore in 2016.

In 2016, Capstone expects the mine to produce about 60 million pounds of copper.

The Minto Mine commenced operations in 2007 with a six year mine life, successful exploration has extended its life to 2021 since then.

Yukon's regulatory process requires new permits each time additional reserves are brought into the mine plan.