El Pilar Update Mercator Minerals Provides an Update on El Pilar Activities
Vancouver, British Columbia – January 17, 2012 - Mercator Minerals Ltd. (TSX:ML) ("Mercator" or the "Company") is pleased to provide an update on activities at its wholly owned El Pilar project. On January 12, 2012, the Company’s subsidiary which holds the El Pilar project, made the final payment for the change of land use (“CUS”) permit which allows mining to commence. Also, over the past few months, the final water concessions have been obtained, which along with the previously granted mineral concessions, surface rights, and construction permit, allows for the commencement of construction and mining operations at the El Pilar project. Detailed engineering, environmental studies and right of way on the power transmission line and access road have also been advanced. Detailed engineering work continues with major equipment sourcing and construction bid materials being prepared.
An updated feasibility study, which will incorporate shorter lift heights in the project’s base case resulting in improved project economics, is expected to be released before the end of the first quarter 2012.
“As of today, we have all the necessary permits and agreements in place to commence construction and mining at El Pilar,” said Bruce McLeod, Mercator’s President and CEO. “Our immediate focus is to continue to de-risk the project, improve the project’s economics and ensure the project is construction-ready once value-accretive financing is secured.”