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Press release from Marketwire

Nevada Copper Submits Mine Development Permit Applications and Announces Drill Results

Tuesday, July 10, 2012

Nevada Copper Submits Mine Development Permit Applications and Announces Drill Results08:30 EDT Tuesday, July 10, 2012VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 10, 2012) -Nevada Copper Corp. (TSX:NCU) ("Nevada Copper") is very pleased to announce that it has submitted mine development and operating permit applications to the State of Nevada for its 100% owned Pumpkin Hollow Property located near Yerington, Nevada. These documents take the form of applications to modify Nevada Copper's existing State permits as outlined below. Nevada regulations provide for six months to review and approve mine permit applications which will result in mine development and operating permits being issued in Q1-2013. Nevada Copper will work closely with State agencies to ensure that the applications are thoroughly reviewed and that permits are issued within the statutory review period.Drill results are also reported, representing results from the current step-out and expansion drilling program that commenced in November 2010. To date, 94 holes totaling 47,000 meters have been drilled. These drill results will be incorporated into an updated resource estimate that will be released in early August, 2012. The updated resource estimate will be incorporated into feasibility study updates as described in press release dated June 20, 2012. Permitting Nevada Copper has submitted requests for modification of our existing Nevada Water Pollution Control Permit and Nevada Reclamation Permit. The modifications of the existing permits address the development of a Pumpkin Hollow mine under either one of two development scenarios: Private Land Underground Mine ("PLUM") with stand-alone 5,000 to 7,500 ton per day processing facility ("PLUM Processing Facility") as a Phase 1 operation. The PLUM operation would be located entirely on patented private claims and require no Federal permits; or Integrated open pit and underground mine with a single 67,500 ton per day processing facility ("Integrated Operation"). Should Nevada Copper elect to develop the Pumpkin Hollow initially with the PLUM operation, open pit mining and processing would be constructed later as a second phase ("Phase 2"). Nevada Copper's ability to develop the larger, Integrated Operation option under the State permits that were applied for is subject to successful passage of the Yerington Land Conveyance and Sustainable Development Act, discussed below. The permit applications are reviewed, and permits granted, by the Nevada Division of Environmental Protection ("NDEP") Bureau of Mining Regulation and Reclamation ("BMRR"). Nevada state regulations provide for a six month period to review and approve mine permit applications, which imply that these permits for both the PLUM and Integrated Operations would be issued in Q1-2013.Now that these permit applications have been submitted, Nevada Copper will prepare and submit other permit applications and other regulatory documents in order to meet a Q1-2013 target date for receipt of all permits needed to commence construction of either the Integrated Operation or PLUM operation. It is important to note that the company will also prepare a Bureau of Land Management ("BLM") Plan of Operations and submit that to the BLM to initiate that process to ensure that if the Yerington Land Conveyance and Sustainable Development Act is delayed or does not pass, the schedule for receipt of federal approvals for a Phase 2 open pit mining and processing can be processed in the most expeditious manner possible. In this case, since Phase 1 PLUM alternative does not require federal approvals, it will be advanced in 2013 under the expected State permits.Giulio T. Bonifacio, President & CEO, commented:"By permitting both the Integrated Operation and the PLUM case, we can significantly decrease the permitting and financial risks to the project by providing alternative development scenarios. We have evaluated both development options and believe either option economically robust however, the ultimate development scenario will be subject to several factors going forward including the pending conveyance of federal lands to the City of Yerington, completion of project financing arrangements and receipt of required permits."Timothy M. Dyhr, Vice President Environment and External Relations, commented:"This represents a significant milestone for the project as these are the two key, critical path permits for the project. We have been working on the technical baseline studies to support these applications since 2007, including groundwater monitoring from 2007-2012; mine rock, ore, tailings and underground paste backfill characterization from 2008-2012; groundwater hydrology test pumping and modeling from 2009-12. Thousands of man-hours have been invested to develop a comprehensive environmental evaluation; mine permit applications and a comprehensive environmental management program." Yerington Land Conveyance Bill Update The permit applications are part of a strategic environmental and sustainable development plan being prepared for the project. A critical aspect of sustainable development is the transfer of BLM-administered federal lands to the City of Yerington, currently being advanced via federal legislation: the Yerington Land Conveyance and Sustainable Development Act. That act was introduced into the U.S. Congress as House bill H.R. 4039 on February 16, 2012, sponsored by Nevada Congressman Mark Amodei and co-sponsored by Congresswoman Shelley Berkley and Congressman Joe Heck. The bill was passed by the House of Representatives as part of a larger "omnibus" lands bill on June 19, 2012. An identical companion bill, sponsored by Nevada Senator Dean Heller, was introduced into the U.S. Senate (S. 2228) on March 13, 2012 and is awaiting the scheduling of a Senate Energy and Natural Resources Committee hearing as requested by Senator Heller on June 21, 2012. Now that the House has approved the bill, the City and Nevada Copper continue to consult with the entire Nevada Congressional delegation, including Senator Majority Leader Harry Reid, to support passage of this critical legislation through the Senate. Passage of the bill into law will help jumpstart the economy of Lyon County, the third most economically stressed county in the U.S. with over 16% unemployment for the last four years. Drill Results The drill results reported below include 17 holes drilled in the open-pittable Western deposits and one hole in the underground East deposit. Much of the drilling focused on expanding open mineralization in the North deposit and the area between the North and South open pits. The holes have intersected new mineralization within or just outside the outside the current National Instrument 43-101 Feasibility Study ultimate pit limits. Five holes were drilled in the northeastern portion of the North deposit (NC11-53, NC12-05, NC12-09, NC12-13 and NC12-14). Results continue to expand mineralization to the east and at depth. In addition to successfully intersecting deeper mineralization, NC12-14 intersected higher grade mineralization in the main zone. NC12-14 intersected 204 feet (62.2 meters), 151.2 feet (46.2 meters) true thickness grading 1.01% copper, greater than adjacent hole L-175 which intersected 154 feet (46.9 meters), 108.9 feet (33.2 meters) true thickness grading 0.36% copper. Mineralization remains open at depth and to the East. Five holes were drilled along the southern boundary of the North deposit (Drill holes NC12-08, NC12-12, NC12-15, NC12-16, NC12-17). Drilling continues to intersect mineralized zones that are just outside and also within the present ultimate pit limit. NC12-17 drilled on the southwest edge of the deposit intersected 330 feet (100.6 meters), 253 feet (77.1 meters) true thickness grading 0.35% copper. Future drill programs will follow up on the open mineralization.Five holes were drilled between the North and South deposits (Drill holes NC11-52, NC12-04, NC12-06, NC12-07, NC12-10). Drilling continues to intersect and expand mineralization between the deposits. NC11-52 intersected a large zone of mineralization, 206.5 feet (62.9 meters), 162.7 feet (49.6 meters) true thickness grading 0.20% copper. The mineralization remains open between the deposits.Drill hole NC11-48 targeted the open mineralization along the southwestern portion of the East deposit. The results continue to expand underground grades and confirm the continuity of the flat lying nature of the mineralization. NC11-48 intersected, 80 feet (24.4 meters), true thickness grading 1.42% copper. Mineralization remains open to the southwest.Drill hole NC12-11 was drilled in the Southeast deposit and confirmed mineralization.Gregory French, Vice President, Senior Project Manager, commented, "We are encouraged that the step out drill program continues to expand mineralization between the North and South open pits. The drill results are expected to have a very positive effect on the upcoming resource update. In addition to expanding the resource, we are encouraged that the expansion of mineralization between the deposits as well as the enlargement of mineralization outside the current Feasibility Study pits suggests the pits will eventually merge and improve mining efficiencies."NORTH DEPOSIT - Assays greater than 0.15% CuDrill Hole #FromToLengthLengthTrue LengthCopperGoldSilverMo(m)(m)(m)(ft)(m)%(g/t)(g/t)(g/t)NC11-53278.9296.117.256.515.60.330.0251.40.003335.3346.311.036.010.00.230.0111.50.001580.6614.133.5110.030.40.180.0050.6<0.001NC12-05269.8278.99.130.07.50.190.0200.90.002299.0304.85.819.04.80.320.0342.5<0.001333.8350.516.755.013.70.360.0321.80.001378.0393.215.250.012.50.180.0131.1<0.001430.1437.17.023.05.70.400.0271.4<0.001NC12-08249.9266.716.855.016.70.430.0191.20.002NC12-09213.4220.47.023.06.90.230.0221.00.020247.8263.615.852.015.50.370.0291.6<0.001318.5326.17.625.07.50.410.0360.7<0.001345.6368.823.276.022.80.210.0200.9<0.001NC12-10 No Significant InterceptsNC12-12222.5231.69.130.07.50.170.0020.60.007263.7272.28.528.07.00.230.0050.50.008332.2339.87.625.06.20.150.0230.8<0.001352.0403.851.8170.042.40.430.0361.7<0.001NC12-13258.6275.817.256.514.00.450.0551.40.007321.6335.313.745.011.20.360.0521.5<0.001347.5432.885.3280.070.00.300.0571.40.003461.8477.015.250.012.40.220.0140.50.001496.8504.47.625.06.20.230.0321.0<0.001NC12-14278.9341.162.2204.046.21.010.1163.80.004431.1464.833.7110.525.00.330.0401.5<0.001474.0481.67.625.05.60.300.0451.8<0.001NC12-15198.1206.07.926.07.40.750.0091.1<0.001293.7335.161.4201.557.50.340.0581.40.004512.1521.29.130.08.60.420.0301.80.001NC12-16217.9224.06.120.06.10.270.0051.1<0.001NC12-17344.4445.0100.6330.077.10.350.0371.30.006463.3491.027.791.021.20.390.0452.10.008BETWEEN NORTH & SOUTH DEPOSITS - Assays greater than 0.15% CuDrill Hole #FromToLengthLengthTrue LengthCopperGoldSilverFe(m)(m)(m)(ft)(m)%(g/t)(g/t)(%)NC11-52146.3153.97.625.06.00.660.0191.04.6193.5224.030.5100.024.00.190.0200.935.1237.8300.762.9206.549.60.200.0310.938.1NC12-04 No Significant InterceptsNC12-06170.7187.516.855.013.20.440.0191.00.001207.3227.119.865.015.60.260.0250.80.001245.4253.07.625.05.00.340.0371.3<0.001NC12-07234.7262.127.490.021.60.600.0481.60.002NC12-10 No Significant InterceptsEAST DEPOSIT - Assays greater than 0.75% CuDrill Hole #FromToLengthLengthTrue LengthCopperGoldSilverFe(m)(m)(m)(ft)(m)%(g/t)(g/t)(%)NC11-48691.9716.324.480.080.01.420.1272.07.8SOUTHEAST DEPOSIT - Assays greater than 0.15% CuDrill Hole #FromToLengthLengthTrue LengthCopperGoldSilverFe(m)(m)(m)(ft)(m)%(g/t)(g/t)(%)NC12-11120.4140.219.865.019.50.670.1471.516.6227.1248.421.370.021.30.430.0890.717.9Plan maps with the respective drill locations will be made available at http://www.nevadacopper.com/i/pdf/20120709_PHM.pdfThe Pumpkin Hollow drilling program is under the supervision of Gregory French, CPG #10708, a Qualified Person as defined in Canadian National Instrument 43-101, who is responsible for the preparation of the technical information in this news release. All assaying and whole rock geochemistry is processed at the American Assay Laboratories (AAL) in Reno, Nevada. Samples are delivered from the project core logging facility to AAL by Nevada Copper or AAL personnel. A Quality Assurance and Quality Control Assay Protocol have been implemented whereby blanks and standards are inserted into the assay stream and check samples are sent to Chemex-Reno and Inspectorate-Reno laboratories.For additional information about Nevada Copper please visit our website at www.nevadacopper.com.NEVADA COPPER CORP.Giulio T. Bonifacio, President & CEO We seek safe harbour.FOR FURTHER INFORMATION PLEASE CONTACT: Eugene ToffoloNevada Copper Corp.Corporate Communications604-683-8266 or Toll free: 1-877-648-8266etoffolo@nevadacopper.comORRobert McKnight, P.Eng.Nevada Copper Corp.Executive Vice President604-683-1309bmcknight@nevadacopper.comwww.nevadacopper.com