Mining News: News Nuggets: NovaCopper still plans big Arctic program

NovaCopper Inc. April 9 provided an update on its projects and finances for the three months ended Feb. 28. For the quarter, NovaCopper reported a net loss of US$1.5 million, compared with a net loss of US$2.6 million for the corresponding period in 2014. The company said lower expenditures this year are primarily due to a decrease in professional fees, salaries and mineral property expenses offset by an increase in stock-based compensation expense. NovaCopper is currently focused primarily on advancing the Arctic deposit in Northwest Alaska to feasibility over the next two to three years. Subject to the availability of capital, the company plans to spend US$8 to US$10 million during the 2015 field season, primarily to upgrade the Arctic in-pit inferred resources to the measured and indicated categories; and to collect in-pit geotechnical and metallurgical data. Environmental and engineering studies to gather information for the feasibility study are also planned. Work at the Bornite deposit, located a few miles south of Arctic, will focus on evaluating potential synergies between the projects as well as opportunities to extend the potential mine life of the Upper Kobuk Mineral Projects in the Ambler mining district. During the first quarter of 2015, NovaCopper continued to focus efforts on supporting the Alaska Industrial Development Export Authority toward drafting an Environmental Impact Statement to permit the Ambler Mining District Industrial Access Road, which would provide access to Arctic, Bornite and other projects in the district. Despite cuts to state of Alaska budget, NovaCopper anticipates the permitting process will continue and expects to be able to provide an update in the second quarter of 2015. At Feb. 28, NovaCopper had cash and cash equivalents of about US$4 million and working capital of US$3.7 million.

- Shane Lasley