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BREAKWATER TO DEVELOP LANGLOIS MINE IN QUEBEC

11/08/2005


Toronto, Canada, November 8, 2005

 

Breakwater Resources Ltd. is pleased to announce that it will develop the Langlois mine in

north-western Québec. Extensive engineering, metallurgical testing, mine re-design work and

exploration have been carried out in support of a revised mine plan. Given the existing

infrastructure and the work completed to date, which includes shaft infrastructure upgrades, new

ore passes and development work, the mine is ready for the drift development work to bring the

mine into production. It is expected this work will take 15 months with full commercial

production by mid-2007. The capital requirements to accomplish this will be incurred over this

period at the normal development expenditure rate.

 

Current proven and probable mineral reserves at Langlois total 3.2 million tonnes grading 10.8%

zinc, 0.82% copper and 52 g/t silver. Assuming an estimated average annual production of

54,000 tonnes of zinc contained in 98,000 tonnes of concentrate, Langlois has a seven year mine

life. Measured and indicated mineral resources, which include proven and probable mineral

reserves total 5.0 million tonnes grading 11.2% zinc, 0.79% copper and 54 g/t silver. The

deposit has significant opportunities for increased reserves, especially in zone 97 which remains

open at depth and to the east. Additionally, Breakwater intends to commence an extensive

surface exploration program around the Langlois mine.

 

Breakwater is excited by the prospect of developing the Langlois mine in a very strong zinc

market. We believe that the zinc price will continue to show strength in the coming years given

the shortage of new mines and the continued demand growth, driven primarily by China. We

believe that Langlois is one of the top zinc development projects with very low risk. It has been

well defined through drilling, well engineered and is located in one of the best political

jurisdictions for a mining project in the world. Additionally, given the existing infrastructure,

Langlois should be producing ore within 15 months, well ahead of other, greenfield development

projects.

 

Cautionary Note on Forward Looking Statements

 

Certain statements included in this news release are forward-looking statements, which are made

pursuant to the “safe harbor” provisions of the United States Private Securities Litigation Reform

Act of 1995. They include estimates and statements that describe the Company’s future plans,

objectives and goals, including words to the effect that the Company or management expects a

stated condition or result to occur. When used herein, words such as “will”, “should”, “estimated”, “expected”, “opportunities”, “intended”, “believe”, “continued”, “prospect”, and

other similar expressions are intended to identify forward-looking statements. In particular,

statements relating to development, drilling, demand growth, production, mineral reserves, mine

life and exploration are forward-looking statements. Such forward-looking statements involve

inherent risks and uncertainties and subject to other factors, many of which are beyond our

control, which may cause the actual results or performance to differ materially from those

expressed or implied by such forward-looking statements. Such factors include, among others,

asset impairment, metal price volatility, fluctuations in foreign exchange rates, economic and

political events affecting metal supply and demand, fluctuations in ore grade or ore tonnes

milled, geological, operating and environmental risks, problems during the development,

construction and start-up phases of an underground mine and inadequacy of environmental

insurance. For a more comprehensive review of risk factors, please refer to the Company’s most

recent annual report under “Management’s Discussion and Analysis of Financial Results” and

Form 40-F under “Risk Factors” on file with the Canadian provincial securities regulatory

authorities and the U.S. Securities and Exchange Commission filed on SEDAR at

www.sedar.com. The Company disclaims any obligation to update or revise any forwardlooking

statements whether as a result of new information, events or otherwise. Readers are

cautioned not to put undue reliance on these forward-looking statements.

 

For further information please contact:

 

George E. Pirie

President and Chief Executive Officer

(416) 363-4798 Ext. 231

 

Richard Godfrey

Vice President, Finance and

Chief Financial Officer

(416) 363-4798 Ext. 276

Breakwater Resources Ltd