VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 2, 2012) - VMS Ventures Inc. (TSX VENTURE:VMS) ("VMS" or the "Company") is pleased to announce that Hudbay Minerals Inc. (TSX:HBM)(NYSE:HBM) ("Hudbay") has informed the Company that a NI 43-101 pre-feasibility study completed by Hudbay and Stantec Consulting Ltd. (North Bay, Ontario) outlined positive economics for the Reed Copper project. VMS owns 30% of the Reed Copper project joint venture, which is operated by Hudbay and is located 120 km from Flin Flon, Manitoba.
According to Hudbay, first production is expected by Q3 - 2013.
Reed Copper Deposit Mineral Reserves1 - March 30, 2012 Category Tonnes Au (g/t) Ag (g/t) Cu (%) Zn (%) Probable 2,157,000 0.48 6.02 3.83 0.59
1Shown as 100% of the mineral reserves;
VMS has a 30% interest in the Reed Copper project joint venture.
VMS Ventures CEO, Rick Mark, remarked: "We are pleased with the results of the pre-feasibility study and how closely it compares to the PEA completed in December 2011. This demonstrates the robust nature of the Reed deposit. First production in Q3 - 2013 is good news for VMS shareholders. We will continue to add value to the project by evaluating trade-off studies, not included in the pre-feasibility, with Hudbay's mining team and remain optimistic about adding tonnage down dip at Reed. For those bullish on the copper price in 2014, and beyond, the cash flow projections are most encouraging."
A summary of the project's economic assessment follows (100% basis):
VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 10, 2012) - VMS Ventures Inc. (TSX VENTURE:VMS) ("VMS") is pleased to announce an update on the development of the Reed Copper deposit. The Reed Copper deposit is located 120 kilometres from Flin Flon, Manitoba and is the subject of a Joint Venture with Hudbay Minerals (TSX:HBM)(NYSE:HBM) ("Hudbay"). VMS owns 30% of the Reed Joint Venture.
Construction activity on-site at the Reed Copper deposit is advancing on schedule. Initial production is expected by third quarter of 2013, and is anticipated to ramp up to full production of approximately 1,300 tonnes per day by the first quarter of 2014.
The main access road to the project is now complete and clearing and leveling has begun for ore stockpiles, office and storage buildings, and settling ponds.
Grouting is on-going and progressing well in preparation for trenching of the portal entrance. Placement of limestone gravel fill for the warehouse and shop is in progress.
VMS Ventures COO Neil Richardson , states: "We are excited to see the development of the Reed Copper deposit take shape and it remains on schedule for full production. Equipment is on the ground opening up the mine site for surface infrastructure and we are confident that Hudbay will continue to develop Reed on schedule and within budget."
A status report is expected from Hudbay regularly. VMS shareholders will be kept informed throughout the Reed Copper deposit's development.
Details on the NI 43-101 geological resource or the Preliminary Economic Assessment of the Reed Lake Copper deposit are available at www.sedar.com.
All technical information in this release has been reviewed by Dr. Mark Fedikow , P.Geo, who is the Qualified Person for the Company and Vice President of Exploration and Technical Services, VMS Ventures Inc.
About VMS Ventures Inc.
VMS Ventures Inc. is focused primarily on acquiring, exploring and developing copper-zinc-gold-silver massive sulphide deposits in the Flin Flon-Snow Lake VMS Belt of Manitoba. The Company's VMS project property portfolio consists of the Reed Lake Project, Copper Project, McClarty Lake Project, Sails Lake Project, Puella Bay Project and Morton Lake Project. Outside of the Snow Lake camp, the Company holds massive sulphide prospective properties near the past producing Fox Lake and Ruttan copper-zinc mines, near the communities of Lynn Lake and Leaf Rapids in northern Manitoba. These properties are located in the mining friendly province of Manitoba, Canada. The Company also has optioned three properties in the Sudbury mining camp. They are Terra Incognita, Golden Pine and Black Creek.