Copper Mountain Mining Announces Agreement to Sell Eva Copper Project and Australian Exploration Leases for Aggregate Consideration of Up to US$230 Million

VANCOUVER, BC, October 6, 2022 /PRNewswire/ – Copper Mountain Mining Corporation (TSX: CMMC) (ASX: C6C) (the “Company” or “Copper Mountain”) is pleased to announce that it has entered into a definitive agreement with Harmony Gold Mining Company Limited (JSE: HAR) (NYSE: HMY ) (“Harmony”) to sell its wholly-owned Eva copper project and its 2,100 km2 exploration land package in Queensland, Australia for a total consideration of up to $230 million (the transaction”).

Copper Mountain Mining Logo (CNW Group/Copper Mountain Mining Corporation)

Pursuant to the transaction, Copper Mountain will receive the following consideration:

A. $170,000,000 in cash payable at the closing of the Transaction;

B. Up to $30,000,000 in cash, based on a conditional payment agreement whereby Harmony will pay Copper Mountain 10% of the additional revenue generated from the Eva Copper project and all Australian exploration lands above revenue assuming a $3.80/lb copper price; and

C. Up to $30,000,000 in cash, based on a conditional payment agreement that Harmony will pay Copper Mountain $0.03 per pound of contained copper for any SAMREC copper resources discovered and reported on a new deposit at the Eva Copper Project and the Australian Exploration Land Package after the closing of the transaction.

Gil ClausenChairman and Chief Executive Officer of Copper Mountain, said, “We are excited about this transaction as it demonstrates the value the Company has developed in the Eva Copper Project since our acquisition of Altona Mining Limited in 2018. It also recognizes the exploration advantage that exists on the Eva copper project. set of surrounding potential land. »

Letitia WongCopper Mountain’s Chief Financial Officer, added, “This transaction strengthens our balance sheet and allows the company to evaluate options regarding our long-term capital structure. Additionally, as demonstrated by our recently announced life of mine plan, the Copper Mountain mine is expected to generate healthy free cash flow beginning in 2023 and we expect mining operations and expansion of 65,000 tons per day will be self-financed in the future. »

The closing of the transaction is subject to certain customary conditions, including the approval of the Foreign Investment Review Board (FIRB) in Australia and the approval of Copper Mountain bondholders. The Transaction has received the approval of the South African Reserve Bank (SARB) and is not subject to any financing conditions. The transaction is expected to close in the first quarter of 2023.

Advisors and advice

Macquarie Capital is acting as financial advisor to Copper Mountain. Davies Ward Phillips & Vineberg LLP and Corrs Chambers Westgarth are acting as Canadian and Australian counsel to Copper Mountain, respectively.

About Copper Mountain Mining Corporation

Copper Mountain’s flagship asset is the 75% owned Copper Mountain Mine, located in the south British Columbia near the town of Princeton. The Copper Mountain mine currently produces approximately 100 million pounds of copper equivalent per year. Copper Mountain also owns the 100% owned development-stage Eva copper project and an extensive network of 2,100 km2 land complex with high potential in Queensland, Australia. Copper Mountain trades on the Toronto Stock Exchange under the symbol “CMMC” and on the Australian Stock Exchange under the symbol “C6C”.

Additional information is available on the Company’s web page at

On behalf of the Board of

“Gil Clausen”

Gil Clausen
President and CEO

Caution Regarding Forward-Looking Statements

This press release may contain “forward-looking information” within the meaning of Canadian securities laws and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively, “forward-looking statements”). These forward-looking statements are made as of the date of this press release, and Copper Mountain does not intend, and undertakes no obligation, to update these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

All statements, other than statements of historical fact, are forward-looking statements. Generally, forward-looking statements relate to future events or future performance and reflect Copper Mountain’s expectations or beliefs regarding future events.

In certain circumstances, forward-looking statements can be identified, but not limited to, statements that use terminology such as “plans”, “expects”, “estimates”, “intends”, ” anticipates”, “believes”, “plans”, “direction”, planned”, “target” or variations of these words, or statements that certain actions, events or results “could”, “could”, “would” , “could”, “would occur” or “would be achieved” or the negative form of these terms or comparable terminology. In this press release, certain forward-looking statements are identified, including the company’s potential plans regarding its long-term capital structure, the expected timing for the Copper Mountain mine to generate free cash flow and become self-funded, the expected timing for the closing of the transaction, the right to any contingent consideration under the transaction, the receipt and satisfaction of customary conditions (including FIRB approval and Copper Mountain bondholder approval), expected production at the Copper Mountain mine, and expectations regarding other economic, business and/or competitive factors. Forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual results, performance, achievements and opportunities to differ materially from those implied by such forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements include, among others, the parties’ ability to complete the transaction, the parties’ ability to satisfy, on a timely basis, all conditions to the closing of the transaction, assumptions regarding the Transaction and the Company’s operating and capital expenditure plans following the completion of the Transaction, the potential impact of the announcement or completion of the Transaction, the diversion of management time on the Transaction, the successful exploration of the Company’s properties in Canada and Australiamarket price, continued availability of capital and financing and general economic, market or business conditions, extreme weather events, material and labor shortages, reliability of historical data referenced herein and the risks disclosed in Copper Mountain’s public filings, including the MD&A for the quarter ended June 30, 2022 and the annual information form of March 29, 2022, each filed on SEDAR at Although Copper Mountain has attempted to identify important factors that could cause the Company’s actual results, performance, achievements and opportunities to differ materially from those described in its forward-looking statements, there may be other factors that cause the Company’s results, performance, achievements and opportunities not to be as anticipated, estimated or intended. Although the Company believes that the information and assumptions used in the preparation of forward-looking statements are reasonable, undue reliance should not be placed on such statements, which speak only as of the date of this press release, and no no assurance can be given that such statements of events will occur within the time periods disclosed or at all. Accordingly, readers should not place undue reliance on the Company’s forward-looking statements.



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SOURCE Copper Mountain Mining Corporation

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