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Copper King Mining Corporation
(OTC:
CPRK)
"Copper King Signs Letter of Intent to
Acquire Western Utah Copper Company"
Combined Mining Company Poised to Begin
Copper and Precious Metal Production
this spring with Gold, Silver and Copper
production yields expected to be in the
Millions of Dollars per Month!
Dear Fellow Investors:
CPRK
could be the biggest micro cap mining
stock play of 2008!
Copper King Mining just announced a
letter of intent to merge with Western
Utah Copper Company. The merged company
will continue to be called Copper King
Mining and the two minining operations
combined are poised to become a huge
money making mining machine in the
coming months, with proven Gold, Silver,
Copper.
In early January, Copper King Mining
Finalized the Purchase of 62 patent
deeded mining claims in the Drum
Mountains of Utah. These 62 mining
claims were originally mined in the late
1800s and produced considerable gold.
The copper was just left as most people
were interested only in gold back in
those days. This area just sort of fell
through the cracks in the 20th century,
and with new mining and ore extraction
technologies, these existing claims can
yield excellent precious metal
production rates.
On January 10th, Copper King also
announced that applications had been
made for 6 more mining claims in
adjoining areas to their already patent
deeded claims, bringing their total to
68 a claims on 1200 acres
With this newly announced acquisition of
Western Utah Copper Company, Copper King
will add 1100 more contiguous acres of
claims to it's existing 1200 acres in
the Utah Drum Mountain area. These
claims in the Drum Mountain area are
primarily gold bearing mining claims
with some copper and other precious
metals.
The Western Utah Copper Company holds
approximately 90,000 acres of mining
claims in total and a complete line of
Caterpillar Mining equipment including
their own processing mill which is near
completion at their mine in their Hidden
Treasure mine in Milford, UT. The mill
at the Hidden Treasure mine in Milford
is around 100 miles south of the Drum
Mountain mining area upon its completion
is expected to process 2500 tons of ore
per day, recovering 50-65,000 pounds of
Copper per day plus Gold and Silver. The
property's mineralization consists of
Gold, Silver, Copper and other metals
such as Tungsten and Molybdenum.
Western Utah Copper Company currently
employs upwards of 60 people including
geologists, engineers, management,
construction personnel and miners. The
company is currently removing overburden
from the ore body on several acres of
their Hidden Treasure mining property.
The company has removed a combined
1,600,000 tons of over burden and ore,
and has stock piled 200,000 tons of ore
in preparation of the completed mill.
Upon the signing of the definitive
agreement between the two companies,
management will change and Mr. Mark
Dotson of Western Utah Copper Company
will become the President and CEO of
Copper King Mining Corporation. Mr.
Dwaine Allred will step aside and become
a member of the board of directors.
I was curious to know more about the new
Copper King Mining Corporation so I
picked up the phone and called the
Western Utah Copper Company today
(1/16/08) and spoke to Mark Dotson, who
will be the new CEO of the Copper King
Mining company once the merger is
complete. We spoke for a while and he
was very open about answering my
questions.
Mr. Dotson confirmed that the company's
mill operations and ore processing
facility would be online and processing
ore between April and June of this year,
and the company already has around
200,000 tons of ore ready to be
processed.
According to Mr. Dotson, "The ore at the
Hidden Treasure mine we are currently
mining runs approximately 36 pounds of
copper per ton of ore. Historically the
ore runs 0.01 opt gold per each unit of
copper in the ore. A unit of copper is
equal to 1% and 1% is equal to 20 pounds
per ton, or 1% of 2,000 pounds, which is
20. The ore at our mine is about 1.8%
copper so the gold historically was
about 0.015 opt gold per ton of ore. It
should be noted that most of larger
copper deposits currently being mined
world wide is less that 12 pounds of
copper per ton of ore, and the copper in
the Hidden Treasure mine will run around
36 lbs. copper per ton. So you can see
the ore grades at our mine are much
richer than most. Many of the copper
deposits in the world do not have any
gold or silver with them at all but we
have significant gold and silver
deposits. In addition to the gold and
silver many of our ore bodies contain
tungsten and molybedum.
Summary:
Given the milling capacity that is
coming online in the very near future at
Copper King with the acquisition of
Western Utah Copper Company, and the
proven copper and gold reserves that the
combined companies possess, the Copper
King Mining Corporation is poised to
become a money making machine. Gold
prices on the spot market are hovering
just under $900 per oz. and has recently
broken through it's 26 year high of $850
per oz. reached way back in 1981. Copper
has recently been negatively affected by
economic fears of a US recession. Copper
is extensively used in housing and
industry and an econimic slowdown could
mute copper prices. Copper is right now
around $3.17 USD/lb.and off its 2 year
high of around $3.70 USD/lb. but five
years ago copper was less than $1.00
USD/lb. so it is still a valuable metal
and Copper King Mining should do very
well from it's copper production.
Once full mining and production begins
this spring it is very likely that the
company can produce hundreds of ounces
of gold and silver each day, and 50,000
to 65,000 lbs of copper per day. If you
just consider the amount of copper the
company will be processing per day at
the Hidden Treasure Mine and the current
price of copper the one mine should
yield $158K to $206K of copper per day,
and hundreds of thousands of dollars of
gold and silver and other precious
metals.
According to Mr Dotson, "We are sitting
on a "Sea" of copper and large amounts
of gold, silver and other precious
metals in our multiple locations. We are
only limited by the logistics of people,
equipment, and hours in a day as to what
our mines and properties can produce."
We believe that CPRK is a hugely
undervalued stock at $.20. With 250M
shares outstanding the market cap on the
stock right now is around $50M. They
should be able to extract $50M of copper
and other precious metals within months
of starting their mining and processing
operations and that's just the
beginning.
We believe that CPRK will be a home run
stock for investors getting in for the
long term at this price level. You don't
see many pink sheet stocks with this
kind of real value and opportunity. Buy
shares! Sit on them! Be Happy!
Breaking
CPRK News:
Jan. 15
- Copper King Mining Corporation Signs
Letter of Intent to Acquire Western Utah
Copper Company.
Copper King Mining Corporation (Pink
Sheets: CPRK) is pleased to announce
that the company has entered into a
letter of intent to purchase 100% of
Western Utah Copper Company which is
located in Milford, Utah. The strength
of the transaction is based on a
combination of factors which will bring
the two companies together and provide
for a change of management and board of
directors to Copper King Mining
Corporation.
The assets of Western Utah Copper
Company are very extensive. The company
holds approximately 90,000 acres of
mining claims and a complete line of
Caterpillar Mining equipment including
their own processing mill which is near
completion. The mill upon its completion
is expected to process 2500 tons of ore
per day, recovering 50-65,000 pounds of
Copper per day plus Gold and Silver. The
properties mineralization consists of
Gold, Silver, Copper and other metals
such as Tungsten and Molly.
Western Utah Copper Company currently
employs upwards of 60 people including
geologists, engineers, management,
construction personnel and miners. The
company is currently removing overburden
from the ore body on several acres of
their property. The company has removed
a combined 1,600,000 tons of over burden
and ore, and has stock piled 200,000
tons of ore in preparation of the
completed mill. Upon the signing of the
definitive agreement between the two
companies, management will change and
Mr. Mark Dotson of Western Utah Copper
Company will become the President and
CEO of Copper King Mining Corporation.
Mr. Dwaine Allred will step aside and
become a member of the board of
directors.
Copper King Mining Corporation currently
owns approximately 1200 acres in the
Drum Mountains of Utah, which are patent
deeded mining claims which contain Gold,
Silver and Copper. The company recently
added to its holdings by filing 6 more
claims on land which was inside their
holdings, but not patent deeded.
Contiguous to that acreage is
approximately 1100 acres of claims filed
by Western Utah Copper Company. As the
companies explored the concept of a
joint venture on the Drum Mountain
properties, it was decided that a very
viable consideration was to join the
total assets of both companies.
The new company will keep the name
Copper King Mining Corporation and the
stock will not be reversed in this
merger.
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