Norsemont: Pampacancha drill results support resource expansion at Constancia - Peru

Drill results from the Pampacancha South prospect at Canadian Norsemont Mining's (TSX, Lima: NOM) Constancia project in Peru have shown 71.3m grading 1.61% copper equivalent, including 30m at 2.50%, the company reported.
Pampacancha South sits 3km southeast of the Constancia deposit. "These latest drill results take us a further step towards our vision to increase Constancia's global resource from its current 440Mt to more than 800Mt," said Norsemont president and COO Robert Baxter.
"Further drilling is planned to define and quantify a Cu-Au-Ag-Mo resource," Baxter added.
The results are the first from the current drill program at Pampacancha, which was discovered in September 2008. Additional holes yielded copper equivalent values of 1.10% over 49.3m, 0.93% over 28.4m and 0.92% over 20.5m.
Drilling is also underway at the Uchuicarco discovery 3.2km northwest of the Constancia deposit and will be followed by drilling at Yanaccacca 500m north of Constancia.
Norsemont also reported it has received authorization for drilling at the Chiloroya South discovery 5km south of Constancia from Peru's energy and mines ministry, and "significant" drilling is planned for the immediate future.
The Constancia feasibility study from September 2009 shows capital costs of US$846mn to build an open-pit mine and sulfide concentrator with nominal processing capacity of 50,000t/d. Output would be 149Mlb/y (67,675t) copper over 15 years, plus some gold, silver and molybdenum.