Zaruma Resources Reviews Luz del Cobre Project
Zaruma Resources Inc. provided an update on the progress of the Luz del Cobre copper project in the State of Sonora, Mexico.
Field activity started in November, 2007, with open pit mining commencing in September, 2008 and the ore being stockpiled for expected crushing and stacking on the leach pad starting at the end of November. Virtually all the equipment to complete the electricity generating plant and the copper SX-EW production plant has been ordered, has been received, or is ready for shipment to the site.
Of the estimated US$37 million capital cost of the project, US$22 million has been spent, the full amount provided under the Glencore International AG financing commitment.
Discussions are in progress with parties interested in financing the completion of the project to production, but the outcome of these discussions is not assured, and the time required to reach an agreement is not predictable at the moment. The project timetable estimated the production of copper cathodes in February, 2009, but the uncertainty regarding the timing of the financing may well impact this date. In the meantime, the Company will take steps to minimize expenditures on the project.
Zaruma Resources Inc. is listed on The Toronto and Frankfurt Stock Exchanges, (symbol: ZMR). Common shares outstanding: 117,608,747.
