Final Option Payment made to Rio Tinto
Toronto, Ontario and Lima, Peru, March 26, 2008 – Norsemont Mining Inc. (“the Company”) (TSX: NOM, BVL: NOM) today announced that the final option payment of US$8 million has been made to Rio Tinto, thereby increasing the Company’s control over the Constancia copper/molybdenum/silver project to an undivided 100 percent.
Commenting, Norsemont CEO Patrick Evans said: “This represents a significant milestone for Norsemont. Constancia is a large and robust project with the capacity to produce in excess of 90,000 tonnes of copper per annum. The recently completed Constancia scoping study indicates that the project has a net present value of $530M and an internal rate of return in of 25.3 percent.”
Mr. Evans added: “The potential to increase the Constancia resource is very good and we have made a number of new discoveries in close proximity to the current resource in recent months. Ground geophysics over the new anomalies will commence shortly. All prospective targets will be drilled immediately thereafter.”
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About Norsemont Mining
Norsemont Mining is a Canadian mineral exploration and development company focused on the 100 percent-controlled Constancia Cu-Mo-Ag deposit in southern Peru.
The Constancia Project currently has a 43-101 compliant indicated resource of 70M tonnes at 0.53% Cu (0.8 Billion lbs Cu) and an inferred resource of 250.2M tonnes at 0.51% Cu (2.8 Billion lbs Cu). A recently completed scoping study anticipates a project producing in excess of 90,000 tonnes of copper annually. The study indicates the project has a net present value of $530 million and an internal rate of return of 25.3 percent. The following long-term commodity price assumptions were used in the study: copper $1.80 per pound, molybdenum $12 per pound and silver $11 per ounce. The full study, dated December 11, 2007, and titled “Preliminary Assessment of the Constancia Project, Department of Cusco, Peru” is available for viewing on SEDAR.
The technical information provided in this press release was reviewed and approved by Robert. W. Baxter (MAusIMM), the President and a director of the Company and a qualified person for the purposes of National Instrument 43-101.
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For more information please contact:
Patrick Evans
Norsemont Mining
Phone: 416-670-5114
E-Mail: investors@norsemont.com
Web Site: www.norsemont.com
