Phoenix Applauds Use of Defense Production Act

RNS Number : 6660I

Phoenix Copper Limited

20 April 2022

 

Phoenix Copper Limited / Ticker: PXC / Sector: Mining

20 April 2022

Phoenix Copper Limited

('Phoenix' or the 'Company')

Phoenix Copper Applauds Use of Defense Production Act

Phoenix Copper Limited (AIM: PXC, OTCQX ADR: PXCLY), the AIM-quoted USA-focused base and precious metals emerging producer and exploration company, is pleased to see the President of the United States prioritizing and encouraging the domestic production of critical minerals, including copper and cobalt, for electric vehicles, defence systems and other technologies. Phoenix Copper Limited is the 80% owner of the historically producing Empire copper mine, as well as 100% owner of two exploration properties on the Idaho Cobalt Belt. The Company is eager to continue working toward development at these projects which will help contribute to the United States' energy independence goals.

President Biden recently invoked the Defense Production Act, stating that the directive will help secure American supply chains for the critical materials that support national defence, electric vehicles and storage of renewable energy. According to The White House, the directive will support U.S. production and processing of minerals and materials used for large capacity batteries, in particular those used in electric vehicles and in the infrastructure required to power and charge those vehicles.  These metals include lithium, nickel, cobalt, and copper.

Ryan McDermott, CEO of Phoenix Copper Limited, said :  "When the President of the United States authorized the Defense Production Act, it sent a signal that the Biden Administration has recognized that a secure, clean energy future is only possible if the country utilizes the abundance of minerals it has to offer. That step forward is encouraging to companies, like Phoenix, that are working to responsibly provide the materials that make our modern lives possible. Through our projects in Idaho, Phoenix has the chance to help the United States achieve its goal of reducing reliance on China and other countries, while safeguarding the nation's lands, waters, and wildlife."

Environmental, Social, and Corporate Governance

Phoenix is committed to meeting and exceeding the environmental standards required by law as a core value of the Company.  The baseline environmental data collected to date will be used for furthering the permitting process, but as importantly, will be used as the building blocks for the Company's ongoing Environmental, Social, and Corporate Governance (ESG) platform, overseen by the Company's ESG & Sustainability Committee.

Contacts

For further information please visit  https://phoenixcopperlimited.com   or contact:

Phoenix Copper Limited	Ryan McDermott Brittany Lock Richard Wilkins	Tel: [phone]  Tel: [phone] Tel: [phone]
SP Angel Corporate Finance LLP (Nominated Adviser)	David Hignell / Caroline Rowe	Tel: [phone]
Tavira Securities Limited (Joint Broker)	Jonathan Evans / Oliver Stansfield	Tel: [phone]
WH Ireland (Joint Broker)	Harry Ansell / Adam Pollock / Katy Mitchell	Tel: [phone]
Panmure Gordon (UK) Limited (Joint Broker)	John Prior / Hugh Rich / Ailsa Macmaster	Tel: [phone]
EAS Advisors (US Corporate Adviser)	Matt Bonner / Rogier de la Rambelje	Tel: [phone]
BlytheRay (Financial PR)	Tim Blythe / Megan Ray	Tel: [phone]

Notes

Phoenix Copper Limited is a USA focused, base and precious metals emerging producer and exploration company, initially targeting copper and zinc production from an open pit mine.

Phoenix's primary operations are focused near Mackay, Idaho in the Alder Creek mining district, at the 80% owned Empire Mine property, which historically produced copper at grades of up to 8%, as well as gold, silver, zinc and tungsten, from an underground mine. 

Since 2017, Phoenix has carried our extensive drill programmes which have defined a NI 43-101 compliant PEA (preliminary economic assessment) for an open pit heap leach solvent extraction and electrowinning ("SX-EW") mine, which was updated in October 2020. The contained metal in all NI 43-101 compliant categories of resources, Measured, Indicated and Inferred, stand at 129,641 tonnes of copper, 355,523 ounces of gold, 10,133,772 ounces of silver and 58,440 tonnes of zinc. Phoenix updated its economic model in February 2021 to include the processing of all contained metals through a two phased approach.

In addition to Empire, the district includes the historic Horseshoe, White Knob and Blue Bird Mines, past producers of copper, gold, silver, zinc, lead and tungsten from underground mines. A new discovery at Red Star, 330 metres northwest of the Empire Mine proposed open pit, has revealed high grade silver / lead sulphide ore, and from three shallow exploration drill holes a maiden resource of 103,000 tonnes containing 173.4 g/tonne silver, 0.85 g/tonne gold and 3.85% lead (1.6 million ounces silver equivalent) was reported in an NI 43-101 technical report published in May 2019. Additionally, the district includes Navarre Creek, a volcanic hosted precious metals target in a 14.48 sq km area. The Company's total land package at Empire comprises 8,034 acres (32.51 sq kms).

At Empire, it is estimated that less than 1% of the potential ore system has been explored to date and, accordingly, there is significant opportunity to increase the resource through phased exploration. The stated aim of the Company is to fund this phased exploration through free cashflow generated by its initial mine. A Plan of Operations in respect of the initial open pit mine was filed with the relevant regulatory authorities in June 2021.

Phoenix also has two wholly owned cobalt properties on the Idaho Cobalt Belt to the north of Empire. An Earn-In Agreement has been signed with Electra Battery Metals (formerly First Cobalt Corporation), Toronto, in respect of one of those properties.

Phoenix is listed on London's AIM (PXC), and trades on New York's OTCQX Market (PXCLF and PXCLY (ADRs)). More details on the Company, its assets and its objectives can be found on PXC's website at    https://phoenixcopperlimited.com/

 

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