Press release from PR Newswire
Pacific Booker Minerals Inc. Reiterates 2009 Feasibility Study Results
Thursday, January 17, 2013
Pacific Booker Minerals Inc. Reiterates 2009 Feasibility Study Results11:51 EST Thursday, January 17, 2013VANCOUVER, British Columbia, Jan. 17, 2013 /PRNewswire/ -- Pacific Booker Minerals Inc. (NYSE MKT: PBM), (BKM.V) Reiterates a positive Feasibility Study, as defined by National Instrument 43-101, was released by the Company for its 100% owned Morrison Copper/Gold Project in February 2009. The study described the scope, design and financial viability of a conventional open pit mine with a 30,000 tonnes per day mill with a 21 year mine life.The proven and probable mineable reserve was estimated to be 224.25 Mt with an average grade of 0.33% Copper, 0.163 g/t Gold and 0.004% Molybdenum. The Capital cost estimate was CDN $516.68 million (including a CDN $59.92 million contingency allocation) and operating cost was CDN $8.15 per tonne milled over the life of the mine. The Pre-Income Tax Internal Rate of Return ("IRR") was 20.05%, based on metal prices of (four year trailing average as of January 12, 2009) Copper ($2.75), Gold ($658.32) and Molybdenum ($29.23). The Net Present Value ("NPV") at 8.0% discount rate was CDN $495.9M.Using a 5.0% discount rate, the NPV based on the Feasibility Study is estimated to be CDN $790M. The Feasibility Study used historical four-year average metal prices calculated as of January 12, 2009. The current upward trend in metal prices has resulted in metals trading at prices that are currently higher than their respective four year average price with the exception of molybdenum, which is lower. The CDN to US dollar exchange rate has increased since the Feasibility Study.Silver was not included in the financial analysis; however, there is an opportunity for improved economic performance if silver credits are received from the treatment and refining of the copper concentrate. Metallurgical test-work to date has reported silver present in the concentrate. The Company's current share capital is 14.9 M shares fully diluted including 250,000 common voting shares to be issued to Xstrata (formerly Noranda, Falconbridge) upon the start of commercial production as part of the purchase agreement with Noranda.The mineral reserve estimates have been prepared and classified in accordance with CIM Classification established under National Instrument 43-101 of the Canadian Securities Administrators. The reserve estimate takes into consideration all geologic, mining, milling and economic factors and is stated according to Canadian Standards (NI 43-101). Under US standards, no reserve declaration is possible until financing and permits are acquired.The Company wishes to emphasize that it is strongly committed to continue to work towards bringing the proposed Morrison Copper/Gold Project to commercial production.If you would like to be added to our email newsgroup, please send your request by email to firstname.lastname@example.org.Contact:Gregory R AndersonDirector, CEO and President1-800-747-99111-800-324-3680SOURCE Pacific Booker Minerals Inc.