Sherwood Copper Reports Phase 3 Mill Throughput Increase to 3,200 tpd Approved by Regulators

Sherwood Copper Reports Phase 3 Mill Throughput Increase to 3,200 tpd Approved by Regulators

Sherwood Copper Corporation announced that the Government of Yukon, Department of Energy, Mines and Resources, has approved an amendment to its Quartz Mining License that permits an increase in the approved mining rate and mill throughput for its high grade Minto copper-gold mine located in the Yukon. This approval follows a designated office assessment under the Yukon Environmental and Socio-economic Assessment Act. The permit amendment permits Sherwood’s wholly owned subsidiary, Minto Explorations Ltd. (“MintoEx”), to mine and process ore from the Minto Main deposit at an annualized average rate of 3,200 tonnes per day (tpd) of ore, an increase of 28% over the previous limit of 2,500 tpd. No other approvals are required and Sherwood is targeting the implementation of the higher throughput rate by year-end 2008. Capital requirements are minimal.

MintoEx applied for a Phase 3 increase in mining and milling rates to 3,200 tpd of ore on April 30, 2008 as an interim step to a broader amendment application that would encompass the mining of the Area 2 deposit (as set out in the Pre-feasibility Study, the results of which were announced on December 12, 2007) and possibly other deposits, such as Area 118 and Ridgetop, at the high grade Minto copper-gold mine. Such an application will almost certainly include a further increase in the rate of mining and processing of ore. However, this interim step allows Sherwood to mine the fully permitted Main deposit on an accelerated basis while it is addressing the more comprehensive application for the mining and processing of ore from new areas.

“Sherwood appreciates Yukon’s regulators and Selkirk First Nation’s expeditious review of our application to increase our mining and processing rate for the high grade main pit at the Minto Mine,” said Stephen Quin, President & CEO. “By grinding the ore coarser (which testing shows should not negatively affect recoveries) and spending less than $3 million in capital, we hope to be processing at a rate 28% higher than previously forecast throughout 2009, and beyond,” he said. “We are now turning our focus to the preparation and filing of a larger permit amendment application to allow mining and processing of other high grade-copper gold deposits discovered and defined at the Minto Mine, which application will be filed as soon as all of the required information required is available.”

Capital expenditures to implement the Phase 3 mill expansion are estimated to be less than $3 million and were included in the new capital expenditures previously announced on July 22, 2008. The increased plant throughput can largely be handled by the existing process facilities as a result of better than forecast performance of the existing plant, combined with coarser grinding that enhances equipment performance. The principal plant modifications, aside from minor piping and pumping changes to increase capacity, include the addition of new concentrate thickener to handle the larger volumes of concentrate and crusher modifications to increase throughput and availability.

A new production schedule, including the previously announced rescheduling of the open pit and processing at 3,200 tpd of throughput, will be outlined in a technical report expected to be filed on SEDAR before the end of July 2008.

About Sherwood Copper

Sherwood Copper’s objective is the profitable production of base and precious metals from high grade, open pit mines in Canada. Sherwood’s first operating mine, the high grade Minto copper-gold mine in Yukon, Canada, was built on budget and ahead of schedule. The Minto Mine is one of the highest-grade open pit copper-gold mines in the world, and is forecast to be a low cost producer. Aggressive exploration on the Minto property has yielded significant success, providing Sherwood the opportunity to ‘grow from within’ by expanding the resource and reserve base, potentially leading to further production increases. To further accelerate its production growth, Sherwood intends to pursue merger & acquisition opportunities that fit its business model and, in May 2008, Sherwood acquired 100% ownership in Western Keltic Mines (now Kutcho Copper Corp.), owner of the high-grade Kutcho copper-zinc-gold-silver deposit in northwestern British Columbia. Sherwood intends to lever off its successful development of the Minto Mine and advance the Kutcho project to a production decision.

Quality Assurance

The technical information in this news release has been prepared in accordance with Canadian regulatory requirements set out in National Instrument 43-101 and reviewed by Stephen P. Quin, P. Geo., President & CEO and Kevin Weston, Chief Operating Officer for Sherwood Copper Corporation.

Additional Information

Additional information on Sherwood and its Minto & Kutcho projects can be obtained on Sherwood’s website at

On behalf of the board of directors


Stephen P. Quin, President & CEO

Contacts: Sherwood Copper Corporation – Investor Contact Stephen P. Quin

(604) 687-7545

Sherwood Copper Corporation – Investor Contact Chris Curran (604) 687-7545 (604) 689-5041 (FAX)


Source: Sherwood Copper Corporation

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