Candente to list on Peru bourse for 2009 project
Tue Jan 16, 2007 5:19pm ET
LIMA, Jan 16 (Reuters) - Canada's Candente Resource Corp. (DNT.TO: Quote, Profile , Research) will list its shares on the Peruvian exchange next month while it is readying its Canariaco Norte copper project in northern Peru to start producing in 2009, the bourse and the company said on Tuesday.
"A new junior mining company has requested a listing in the risk capital segment of the bourse," Federico Oviedo, general manager of the Lima Stock Exchange, told a news conference. "The timeframe (for the listing) is between 20 and 30 days."
Candente will become the third firm to join the high risk market segment for companies that are yet to start producing in Peru, joining the also Canadian Vena Resources (VEN.LM: Quote, Profile , Research) and Peru Copper (CUP.LM: Quote, Profile , Research).
The Canariaco project has estimated reserves of 4.8 billion lb (2.2 million tonnes) of copper, the company said. Peru is the world's third-biggest copper producer.
Candente President Joanne Freeze said her company expected to finish the feasibility studies in a year's time and start producing an initial 30,000 tonnes per day in early 2009, with "high possibility of reaching 60,000 tonnes per day".
The project, which Freeze said was low-cost, requires between $142 million and $200 million in investment and promises capital returns after three years with copper prices at $1.5 a lb or more.
"We hope the stocks will be well received by Lima investors thanks to the ease of buying and negotiating them locally, and also for being an excellent opportunity to invest in a high-returns and low investment copper project," Freeze said.
Candente has other exploration projects in Peru, including for gold, silver, copper and zinc, as well as in Mexico.
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