Juan Carlos Alfaro Appointed General Manager of Chilean Operating Subsidiary;
Knight Piésold awarded contract for preparation of Santo Domingo Environmental Impact Study;
Drilling Program Underway at Santo Domingo Site
VANCOUVER, Sept. 14, 2011 /CNW/ - Capstone Mining Corp. (TSX: CS) today announced the appointment of Juan Carlos Alfaro as General Manager of Capstone's 70% owned Chilean operating subsidiary, with responsibility for the development of Capstone's Santo Domingo Iron Oxide-Copper-Gold ("IOCG") project ("Santo Domingo" or the "Project") in Region III, Chile. The Project is owned 70% by Capstone and 30% by Korea Resources Corporation ("KORES").
Capstone also announced the awarding of the contract for the Santo Domingo Environmental Impact Study ("EIS") to Knight Piésold S.A. ("Knight Piésold"), to be led by its Santiago office. They will also coordinate the evaluation process through to permitting.
"We are very fortunate to have an executive of Juan Carlos' experience join us to oversee our operations in Chile," said Darren Pylot, President and CEO of Capstone. "He is well known in Chile and in the area of the Santo Domingo Project, having spent much of his career in the mining industry in Chile and more specifically in Region III, with projects owned by Barrick, Kinross, Placer Dome, Minera Mantos de Oro and Codelco. We expect to advance the project rapidly under his leadership."
"In addition, Knight Piésold has the EIS well underway and is on track to submit the permit applications to the Chilean regulatory authorities in the fourth quarter of 2012, in accordance with the schedule contemplated in the Pre-Feasibility Study," continued Mr. Pylot. "In addition, geotechnical drilling required for the Feasibility Study has commenced and an infill drilling program is expected to be underway shortly."
Juan Carlos Alfaro
Mr. Alfaro is a senior executive with over 30 years of experience in Chile's mining industry, with previous management responsibilities at projects and operations owned by Barrick Gold, Kinross Gold, Placer Dome and Exxon Minerals.
Most recently Mr. Alfaro was General Manager of the Cerro Casale Project (Barrick/Kinross JV), one of the world's largest undeveloped gold-copper projects in Region III, Chile. He had responsibility for creating the in-country organization to operate and support the development of the project, including staffing and permitting strategy. Prior to that he was General Manager and President of the Board of Directors of Compañía Minera Purén, a JV between Compañía Minera Mantos de Oro and Codelco Chile, where he led the development of the Purén gold and silver mining operation in Region III from the beginning stages of exploration through to the construction, start up and operation. He was also General Manager of Compañía Minera Mantos de Oro (Placer/Kinross JV), the operator of the La Coipa Gold Mine in Region III, which was recognized under Mr. Alfaro's leadership by both the community and the JV partner for its commitment to the community and sustainability. He has also consulted as Mining Project Director for projects in Peru and Southern Chile with Metalica Consultores S.A.
Mr. Alfaro is a Civil Mining Engineer (Universidad de Chile), a graduate of Queen's University Executive Development Program and holds a Diploma in Finance from the Universidad Adolfo Ibañez in Chile.
Environmental Impact Study
Capstone has awarded the contract for preparation of the Santo Domingo EIS to Knight Piésold, an international consulting company providing engineering and environmental services for the mining, power, water, transportation and construction sectors.
Knight Piésold will have responsibility throughout the environmental permitting process, from the ongoing collection of all relevant baseline information, the completion of the EIS document, its presentation to authorities and process follow up, including community consultation activities, until the Environmental Qualification Resolution is obtained from the Chilean authorities. With more than 750 professionals worldwide, Knight Piésold is particularly known for their environmental work that respects social, environmental and economic responsibilities.
Santo Domingo Drilling Program
A geotechnical drilling program consisting of 15 holes, commenced at the Santo Domingo site in mid-August 2011, to provide Feasibility Study level geotechnical information for the final pit design and on site installations. An infill drilling program, consisting of 60 holes, is planned to start in September to upgrade the classification of the first three years of the mine mineral reserves.
About Capstone Mining Corp.
Capstone Mining Corp. is a TSX listed Canadian mining company with two producing copper mines in the Americas: the Cozamin copper-silver-zinc-lead mine located in Zacatecas State, Mexico and the Minto copper-gold-silver mine in Yukon, Canada.
Using its operations as a springboard, Capstone aims to grow organically and through acquisitions in politically stable, mining-friendly jurisdictions, with a focus in the Americas: organic growth through continued mineral resource and reserve expansions as well as expanding operations at its operating mines, development of its large scale 70% owned Santo Domingo copper-iron-gold project in Chile in partnership with Korea Resources Corporation, development of its Kutcho copper-zinc-gold-silver project in British Columbia and exploration at properties in Chile, British Columbia and Australia. Capstone's cash flow and strong balance sheet provide the platform to enhance that growth profile. Capstone is included in the SP/TSX Composite Index and SP/TSX Global Mining Index. Additional information is available at www.capstonemining.com.
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