Candente Copper Provides Clarifications on Recent Community Consulta in Peru
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 10/02/12 -- Candente Copper Corp. (TSX: DNT)(PINKSHEETS: CCOXF)(BVL: DNT) ("the Company") advises that further details have been provided to the Company regarding a meeting of some the members of the Comunidad Campesina San Juan De Kanaris ("the Community") which was held on Sunday September 30th.
The meeting held on September 30th was called a Consulta by secret vote "consulta" and was called for unilaterally by Senor Cristobal Barrios, President of the Community, following a judicially called for General Assembly ("GA") held on July 8th. The July 8th GA was called for by a judge due to a petition by over 1,000 citizens because the President refused to call for the legally required GA. The GA complied with all formaities of Peruvian law and has been previously confirmed as legally binding by the Ministry of Energy and Mines of Peru ("MEM").
During the July 8th GA the Community voted in favour of granting surface access to the Company for resumption of exploration and feasibility drilling at Canariaco for a period of three years (see Candente Copper News Release 037 dated July 9th, 2012), and was followed by a formal agreement which was notarized on July 23, 2012 with the signatures of the three legal representatives elected by the community to complete this agreement as well as the Company such that both parties now have acquired rights and obligations which must be respected.
The consulta was held by secret vote at three separate locations simultaneously, neither of which are allowed by Peruvian Community Law and it was carried out without any state representatives or NGOs whom could guarantee transparency and respect for the citizens' democratic right to vote freely.
During the voting process, the President was moving about the Community using propaganda to promote his proposal, and issuing a special card to his supporters only. Without the special card a Community member was not allowed to vote. It has been reported by community members that only approximetly 650 people were allowed to vote.
The Company's Peruvian counsel has advised that this meeting should be considered an opinion of some but can not be interpreted to be the opinion of the community as a whole and is not legally binding.
The Company will continue to conduct and strengthen our ongoing sustainable development programs and Community Relations activites with the various members of the community, as we move forward with the Canariaco Norte copper project. The Company plans to mobilize for drilling as soon as the remaining formal documentation is received from the Ministry.
About Candente Copper
Candente Copper's flagship project is the 100% owned, 7.5 billion pound, Feasibility stage Canariaco Norte Copper Project located in northern Peru's prolific mining district. The Canariaco Norte deposit contains a Measured and Indicated resource of 752.4 million tonnes grading 0.49% copper equivalent(i), and an Inferred Resource of 157.7 million tonnes at 0.44% copper equivalent(i).
Sean Waller, P.Eng., President and Joanne C. Freeze, P.Geo., CEO, are the Qualified Persons as defined by National Instrument 43-101 for the projects discussed above. They have reviewed and approved the contents of this release. (i)The 'Measured and Indicated Resource' listed above consists of Measured Resources of 338.1Mt at 0.48% Cu, 0.08 g/t Au, and 2.0/t Ag (0.52% Cu Eq.), plus Indicated Resources of 414.3Mt at 0.43% Cu, 0.06 g/t Au, and 1.8 g/t Ag (o.46% Cu Eq.). All resources quoted in this release are based on a 0.30% copper cut-off grade and 229 drill holes completed to March 2008. (i)Copper equivalent grade including gold and silver, metal recoveries (gold 55%; silver 50%) and smelter returns (copper 96.5%: gold 93%; silver 90%) applied. Copper grade equivalent calculation: Cu Eq% =(Cu % + ((Au grade x Au price x Au recovery x Au smelter return%)+(Ag grade x Ag price x Ag recovery x Ag smelter return%))/(22.0462 x Cu price x 31.0135 g/t x Cu recovery x Cu smelter return%). The metal prices used are: copper US$2.50/lb, gold US$1,035/oz and silver US$17.25/oz.
This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Candente relies upon litigation protection for forward-looking statements.
CAUTIONARY NOTE TO U.S. INVESTORS
We advise U.S. investors that this news release uses terms that are not recognized by the United States Securities and Exchange Commission ("SEC"), including "mineral resources", "measured resources", "indicated resources" and "inferred resources". The estimation of measured and indicated resources involves greater uncertainty as to their existence and economic feasibility than the estimation of proven and probable reserves. U.S. investors are cautioned not to assume that mineral resources in these categories will be converted to reserves. The estimation of inferred resources involves far greater uncertainty as to their existence and economic viability than the estimation of other categories of resources. U.S. investors are cautioned not to assume that estimates of inferred mineral resources exist, are economically mineable, or will be upgraded into measured or indicated mineral resources. U.S. investors are cautioned not to assume that mineral resources in any of these categories will be converted into reserves.
On behalf of the Board of Candente Copper Corp.
Sean I. Waller, P.Eng., President
NR-039
Contacts:
John Foulkes
VP Corporate Development
local: + 1 (604) 689-1957 ext 2
toll free: 1 (877) 689-1964 ext 2
mobile: +1 (604) 614-2999
info@candentecopper.com
Walter Spagnuolo
Manager, Investor Relations
mobile: +1 (604) 306-8477
local: + 1 (604) 689-1957 ext 3
www.candente.com
