Camrova Resources Inc V.CAV.H

Canaccord Analyst Gary Lampard

[ontheDL]

Baja Mining* On point. Canaccord Genuity Mining Analyst Gary Lampard reiterated his rating and price target on Baja shares, following the company's confirmation that the Boleo project remains on schedule and on budget, with copper commissioning scheduled for 2012, and first production for early 2013. Going forward, construction progress and budgets are, in Lampard's view, the major company specific risks for 2011 and 2012. During production ramp-up, which Lampard expects in 2013, he notes higher-than average technical risk associated with the mining and the process plant, due to a century of historic mining activity, and due to the high clay content of El Boleo ore. Baja is a copper company whose main asset is its 70% interest in the Boleo property in Mexico. First shipments are expected in 2013. The nominal capacity of the processing plant is 3.1 Mtpa. Lampard is currently modeling a mine life of 28 years, with average production of 80.8 M lbs of Cu, 3.9 M lbs of Co and 23.2 M lbs of Zn.