NICO Project advancing towards construction activities
LONDON, ON, Nov. 14, 2013 /CNW/ - Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) ("Fortune" or the "Company") (www.fortuneminerals.com) is pleased to announce that it has selected Hatch Ltd. ("Hatch") to
conduct detailed engineering and design for the construction of the
NICO gold-gold-cobalt-bismuth-copper mine and concentrator in the
Northwest Territories ("NT"). Hatch is providing detailed design
engineering services for the NICO project including, the overall
coordination of engineering for the open pit mine, underground mine,
ore handling and storage, processing plant and facilities, concentrate
production, storage and loading, tailing storage, site support
structures, water and power supply, camp facilities and all civil road
and drainage designs needed to commence construction.
Mr. Mike Romaniuk, Vice President of Operations and COO of Fortune
commented, "Our effort with Procon to complete project financing
arrangements is progressing and the selection of Hatch demonstrates the
continued momentum the Company has towards developing the NICO
Project."
The selected Hatch team is well known for the design and construction of
mineral beneficiation process plants and supporting infrastructure,
particularly projects in remote and cold climate regions and Arctic
regions of Canada. Experience from recent projects will be applied to
the NICO Project. The alliance with Hatch is also consistent with
Fortune's commitment to progressive Aboriginal relations. Hatch has a
history of working with and for Aboriginal communities, providing
support for inclusion and capacity building through engagement,
employment and on-the-job training of Aboriginal individuals and
participation of Aboriginal businesses.
Fortune continues to work with Deloitte Corporate Finance Inc. to
complete project financing agreements for the NICO Project. The Company
recently announced a strategic investment by Procon Resources Inc. to
provide financing to advance NICO and discussions are ongoing with
several parties interested in participating in the development.
Final step in refinery environmental assessment process
Fortune has filed the final Environmental Impact Study ("EIS") for its
Saskatchewan Metals Processing Plant ("SMPP") with the Saskatchewan
Environmental Assessment Branch ("SEAB"). The EIS and associated
documentation has been posted for public comment over a 60 day period
that started on October 5, 2013. The public comment period will be
followed by the SEAB's recommendation to the Saskatchewan Minister of
Environment. Fortune believes it has addressed all of the questions
brought forward by the SEAB during the review of the EIS.
The Company recently announced that it had received approval for the
NICO mine and mill in the NT from the federal and Tlicho governments,
allowing the Company to complete the water licensing and land use
permits process and to secure the primary permits required for the mine
development (see Fortune News Release dated July 19, 2013). Updated
permit applications for the mine were submitted to the Wek'èezhìi Land
and Water Board on October 11 along with several management plans that
will aid reviewers in the development of the water license and land use
permit.
About NICO
NICO is positioned to become a reliable Canadian-based producer of gold,
cobalt and bismuth co-products with minor by-product copper. Mining
will be conducted primarily by open pit methods with underground ores
also contributing mill feed during the first two years from the
existing underground workings that were established from previous test
mining programs. The ores will be processed in a concentrator at the
site, using simple flotation to produce a bulk concentrate for shipment
to a refinery and additional processing to high value metal products.
More than $110 million of work has already been invested to advance the
project, including completion of Front-End Engineering and Design and
feasibility studies, underground test mining, and pilot plant tests to
verify the process methods and products. NICO is located 50 km north
of the Tlicho community of Whati and 160 km northwest of the City of
Yellowknife.
The disclosure of scientific and technical information contained in this
press release has been approved by Robin Goad, M.Sc., P.Geo., President
and CEO of the Company, who is a "qualified person" under National
Instrument 43-101.
About Hatch
Hatch supplies engineering, project and construction management
services, process and business consulting and operational services to
the mining, metallurgical, energy and infrastructure industries and has
its head office in Mississauga, Ontario, Canada.
Hatch is an employee-owned, multidisciplinary professional services firm
that delivers a comprehensive array of technical and strategic
services, including consulting, information technology, engineering,
process development, and project and construction management to the
Mining, Metallurgical, Energy, and Infrastructure sectors. Hatch has
served clients for over 55 years and has project experience in more
than 150 countries around the world. With over 11,000 people in over 65
offices, the firm has more than $35 billion in projects currently under
management.
About Fortune Minerals
Fortune is a diversified resource company with several mineral deposits
and a number of exploration projects, all located in Canada. The
Company is focused on the development of the Arctos Anthracite Project
in British Columbia and the vertically integrated NICO
gold-cobalt-bismuth-copper project that is comprised of a mine and mill
in the NT that will produce a bulk concentrate for shipment to a
refinery for processing to high value metal products. In addition, the
Company owns the Sue-Dianne copper-silver-gold deposit and other
exploration projects in the NT. Fortune is focused on outstanding
performance and growth of shareholder value through assembly and
development of high quality mineral resource projects.
This press release contains forward-looking information. This
forward-looking information includes statements with respect to, among
other things, the Company's expectations with respect to advancing the
permitting process relating to the NICO project as well as the
anticipated development of, and construction at, the NICO project [and
the timing thereof], the anticipated mining and processing methods to
be used at the NICO project, arranging financing for the NICO project
and the proposed development of the Arctos project. Forward-looking
information is based on the opinions and estimates of management as
well as certain assumptions at the date the information is given
(including, in respect of the forward-looking information contained in
this press release, assumptions regarding the Company's business and
ability to generate sufficient funds). However, such forward-looking
information is 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 information.
These factors include the inherent risks involved in the exploration
and development of mineral properties, the inherent volatility of metal
prices, the risk that the Company may not be able to arrange the
necessary financing to construct and operate the NICO mine,
uncertainties with respect to the receipt or timing of all applicable
permits for the development of the NICO project and other factors.
Readers are cautioned to not place undue reliance on forward-looking
information because it is possible that predictions, forecasts,
projections and other forms of forward-looking information will not be
achieved by the Company. The forward-looking information contained
herein is made as of the date hereof and the Company assumes no
responsibility to update or revise it to reflect new events or
circumstances, except as required by law.
SOURCE Fortune Minerals Limited