Mustang starts pre feasibility study at Maskwa nickel project

Sunday, 18 Mar 2007

It is reported that Mustang Minerals has contracted Wardrop Engineering to complete work involved in completion of a pre feasibility study for the Maskwa nickel project to be located approximately 140 kilometers northeast of Winnipeg Manitoba.

According to Mustang Minerals, the key components of the deal are an updated resource estimation incorporating the results of the current drill program, a geotechnical program, and an updated open pit mine design. Mustang also said that Wardrop has extensive experience with Manitoba mining projects and is well suited to assist with the project, with the pre-feasibility study including determination of the ore mining and treatment methods, review of the infrastructure requirements, and development of operating plans.

The NI 43-101 compliant Preliminary Economic Assessment for Maskwa, announced January 23rd 2007 and completed by Micon International, outlined average annual nickel production of 10.4 million lb of nickel and 2.4 million pounds of copper from an open pit mining operation over a nine year mine life. The initial capital cost of the project was estimated at CAD 64.5 million (USD 54.9 million).