Positive Preliminary Economic Assessment for Murray Brook Zn-Cu-Pb-Ag Deposit, Bathurst Mining Camp, New Brunswick

Positive Preliminary Economic Assessment for Murray Brook Zn-Cu-Pb-Ag Deposit, 
Bathurst Mining Camp, New Brunswick 
 ___________________________________________________________________
|Overview                                                           |
|                                                                   |
|    --  Pre-production capital requirements $261 million           |
|    --  Mill throughput of 2 million tonnes of ore per annum- 6,000|
|        tonnes per day                                             |
|    --  Life of Mine 9.5 years                                     |
|    --  Life of Mine Production: 239,000 tonnes of copper          |
|        concentrate, 122,000 tonnes of lead concentrate            |
|        and 770,000 tonnes of zinc concentrate                     |
|    --  Total Net Smelter Return Revenue $1,246 million            |
|    --  Further metallurgical studies planned                      |
|    --  Excellent exploration upside with additional drilling plans|
|________on_adjacent_Camel_Back_Claims______________________________| 
VANCOUVER, June 5, 2013 /CNW/ - El Nino Ventures Inc. ("ELN" and the 
"Company") (TSX.V: ELN; OTCQX: ELNOF Frankfurt: E7Q) is pleased to announce 
the results of an NI 43-101 Preliminary Economic Assessment ("PEA") for the 
Murray Brook polymetallic massive sulfide deposit, New Brunswick (the 
"Project"). The results of the PEA demonstrate the potential technical and 
economic viability of establishing a new mine and mill complex on the Murray 
Brook property. The projected cash flows indicate an after-tax NPV at a 5% 
discount rate of $96.4 million, an IRR of 11.4%, and a payback period of 5.4 
years (see table 1). An NI 43-101 Technical Report will be filed on SEDAR 
within 45 days of the date of this press release. 
Harry Barr, ELN's Chairman & CEO commented, "The results of the PEA clearly 
indicate that there is an indicative basis for a mining project at Murray 
Brook. There is excellent potential to further enhance the projected economics 
of the project, through continued refinements in metal recoveries as well as 
the potential to augment existing resources by achieving an exploration 
success on the adjacent Camel Back claims. With forecasts of increased metal 
demand and dwindling supply, the positive PEA results for the Murray Brook 
project provide ELN shareholders with the potential to benefit from the 
predicted upward trend in zinc prices over the next few years". 
Unless otherwise noted, all amounts in this press release are expressed in 
Canadian currency. The PEA is prepared for 100% ownership of the project 
revenues and expenditures. As noted below, ELN holds a 35% interest in the 
project. The PEA includes Inferred mineral resources that are considered too 
speculative geologically to have the economic considerations applied to them 
that would enable them to be categorized as mineral reserves, and there is no 
certainty that the PEA will be realized. 
Table 1- Summary of 2013 Murray Brook PEA Results  
 _________________________________
|       NPV (5%)   |$96.4 |Million|
|__________________|______|_______|
|       NPV (7%)   |$59.7 |Million|
|__________________|______|_______|
|           IRR    |11.4% |       |
|__________________|______|_______|
|        Payback   |  5.4 | Years |
|__________________|______|_______|
|Total LOM* Capital|$334.8|Million|
|__________________|______|_______| 
*Life of Mine 
The PEA was prepared by P&E Mining Consultants Inc. and the full results of 
the study will be disclosed in a NI 43-101 Technical Report within 45 days of 
the date of this press release. The PEA was prepared under the supervision of 
Eugene Puritch, P. Eng. of P&E Mining Consultants Inc. Mr. Puritch is an 
independent QP in accordance with NI 43-101 and has reviewed and approved the 
technical information in this release. 
The main conclusions from the PEA follow below. 
Mining and Mineral Processing 
Life of Mine production on a diluted and extracted basis for the Murray Brook 
potentially economic portion of the resource estimate is planned to be as 
follows: 
Table 2 - Murray Brook Potentially Economic Portion of the Resource Estimate  
 _______________________________________________________
|Classification|   Tonnes  | Zn%|Cu% |Pb% |Ag g/t|Au g/t|
|______________|___________|____|____|____|______|______|
|Measured      | 12,075,000|2.75|0.37|0.96| 38.8 | 0.47 |
|______________|___________|____|____|____|______|______|
|Indicated     |  6,635,000|1.98|0.50|0.78| 36.1 | 0.66 |
|______________|___________|____|____|____|______|______|
|Meas. & Ind.  | 18,710,000|2.48|0.42|0.90| 37.9 | 0.53 |
|______________|___________|____|____|____|______|______|
|Inferred      |    240,000|1.18|1.46|0.41| 24.7 | 0.39 |
|______________|___________|____|____|____|______|______| 


    (1)  Potentially economic portion of the mineral resource estimate
         which are not mineral reserves do not have demonstrated
         economic viability.  This estimate of mineral resources may be
         materially affected by environmental, permitting, legal,
         title, taxation, sociopolitical, marketing, or other relevant
         issues.
    (2)  The quantity and grade of reported potentially economic
         Inferred resources in this estimation are uncertain in nature
         and there has been insufficient exploration to define them as
         an Indicated or Measured potentially mineable mineral resource
         and it is uncertain if further exploration will result in
         upgrading them to an Indicated or Measured potentially
         economic mineral resource category.
    (3)  The potentially economic portion of the mineral resource in
         this press release was estimated using the Canadian Institute
         of Mining, Metallurgy and Petroleum (CIM), CIM Standards on
         Mineral Resources and Reserves, Definitions and Guidelines
         prepared by the CIM Standing Committee on Reserve Definitions
         and adopted by CIM Council.

The PEA assumes the start of the open pit mining operations at an average 
annual process plant production rate of 2,000,000 tonnes per annum over a mine 
life of approximately 9.5 years. The envisaged mining operation is a 
conventional open pit. Mining operations will reach a sustained total annual 
material movement of 11.6 million tonnes using 11.5 m(3) diesel hydraulic 
excavators, 90 tonne haulage trucks, and track mounted diesel powered drill 
rigs with up to 100 mm diameter blastholes drilled on 6 metre high benches.

The mined material will be processed at a new 6,000 tonnes per day flotation 
plant located on the Project site. Three concentrates will be produced: 1) 
copper-silver; 2) lead-silver; and 3) zinc-silver. It is anticipated that the 
concentrates could be processed at the nearby Belledune Smelter or other 
suitable facilities.

Site Infrastructure
The Project will benefit from infrastructure, services and skilled labour 
available in the Bathurst Mining Camp. The Murray Brook Project site is 
located 60 km west of the city of Bathurst and is accessible year-round from 
paved Provincial Highway 180 and a 6.5 km gravel access road. Project site 
infrastructure is anticipated to include:
    --  Plant site and haul roads;
    --  Administration buildings and assay lab;
    --  Mine maintenance garage, warehouse and fuel storage facilities;
    --  Fresh water supply and sewage treatment; and
    --  Lined tailings storage area

The proposed Murray Brook Project mill and mine site is ideally located on the 
access road to the open pit area. The proposed processing plant site is 
located on a ridge overlooking a valley about 100 metres below. Several 
lateral ridges form natural containment dykes for at least two sides of a 
tailings management facility. Power to the site will be supplied by a 12 km 
long transmission line connecting to the Caribou Mine site and provincial grid.

The labour force for the construction and operation of this project is 
anticipated to be drawn from the Bathurst area. The labour pool in this area 
is highly skilled and experienced in construction projects and mining 
operations.

Financial Assumptions and Results

Total operating costs during the Life of Mine is illustrated in Table 3:

Table 3-Projection of total operating costs during the Life of Mine, Murray 
Brook Project 

 ___________________________________
|   Mining Cost |$/t material|$2.30 |
|_______________|____________|______|
|Processing Cost|   $/t ore  |$14.25|
|_______________|____________|______|
|         G&A   |   M$/year  |$2.50 |
|_______________|____________|______|

Capital costs are categorized as Initial Project Capital and Sustaining 
Capital. Initial Project Capital consists primarily of mining equipment, 
process plant and ancillary plant construction, initial tailing storage, 
facility construction, an allowance for water treatment, and local 
infrastructure. Sustaining capital consists of further additions to mining 
equipment during production and environmental and closure costs.

Table 4-Initial Project and Sustaining Capital of Murray Brook Project

 ______________________________________
|                         Total ($'000)|
|______________________________________|
|           Initial Project Capital    |
|______________________________________|
|Mine Pre-Stripping           |  $8,707|
|_____________________________|________|
|Mining Capital Cost          | $33,706|
|_____________________________|________|
|Process Plant                |$104,184|
|_____________________________|________|
|Infrastructure               | $35,000|
|_____________________________|________|
|Indirects                    | $44,000|
|_____________________________|________|
|Contingency                  | $35,257|
|_____________________________|________|
|Total Initial Project Capital|$260,854|
|_____________________________|________|
|               Sustaining Capital     |
|______________________________________|
|Mine                         | $10,137|
|_____________________________|________|
|Process Plant                |  $2,100|
|_____________________________|________|
|Environmental & Reclamation  | $60,800|
|_____________________________|________|
|Contingency (sustaining)     |    $927|
|_____________________________|________|
|Total Sustaining Capex       | $73,964|
|_____________________________|________|
|Total Capital                |$334,818|
|_____________________________|________|

Metal prices used in the PEA are based on the April 30, 2013 three year 
trailing prices which are listed in Table 5 below.

Table 5- Metal prices used in this study

 ________________________
|Metal |Prices (US$)|Unit|
|______|____________|____|
|Copper|      3.70  | lb |
|______|____________|____|
| Lead |      1.00  | lb |
|______|____________|____|
| Zinc |      0.94  | lb |
|______|____________|____|
| Gold |     1,540  | oz |
|______|____________|____|
|Silver|     30.09  | oz |
|______|____________|____|

Exchange Rate: $US:$CAD = 1

Project and Exploration Upside

Further technical studies on the Murray Brook Project will focus on additional 
metallurgical studies designed to evaluate potential techniques of improving 
metal recoveries. The first step is a small pilot plant project proposal to 
test three to five tonnes of drill core material.

The largest impact on the potential value of the Murray Brook Project is 
likely to be achieved by increasing the mineral resource base available for 
mining, thereby increasing the mine life and (or) annual mill throughput. 
Excellent potential exists for additional discoveries along and adjacent to 
the favourable geological horizon which extends from the former Restigouche 
Mine to the west of the Murray Brook deposit deposit to Trevali's Caribou 
deposit 11 km to the east. An exploration success on this stretch of 
productive stratigraphy could significantly increase the scale of the Murray 
Brook Project prior to development. A 2,000 metre exploration program is 
proposed to drill test five priority geophysical and geochemical anomalies 
this summer.

Qualified Persons Statement

The PEA was prepared under the supervision of Eugene Puritch, P. Eng. of P&E 
Mining Consultants Inc. Mr. Puritch is an independent QP in accordance with NI 
43-101 and has reviewed and approved the technical information in this 
release.Theinformationinthisreleasewasreviewed 
byDr.WilliamStone,Executive Vice President of 
ExplorationofELNandaQualifiedPersonasdefinedbyNI43‐101.

About El Niño Ventures Inc. Bathurst Projects

El Niño Ventures Inc. has two active projects in the Bathurst Mining Camp;

1. Murray Brook Project

Murray Brook property is located 60 km west of Bathurst and a portion of the 
property is underlain by the Murray Brook polymetallic massive sulfide 
deposit. The property is supported by excellent nearby infrastructure, 
including paved roads, grid electricity and communities to provide goods, 
services and skilled labour (Figure 1).

Figure 1- Murray Brook and Camel Back Location map in the Bathurst Mining Camp 
(http://www.elninoventures.com/s/NewsReleases.asp?ReportID=586536)

ELN and Votorantim Metals Canada Inc. "VMC" (who is the operator of the joint 
venture project) currently own 70% of the project, of which 35% is held by 
each of the two parties. Under a purchase agreement signed by VMC on August 
28, 2012 with Murray Brook Minerals and Murray Brook Resources Inc. 
(collectively the "Owners"), VMC acquired the right to purchase the additional 
30% of the Murray Brook Project from the Owners. The purchase agreement 
between VMC and the Owners provides for a series of staged payments totaling 
$6 million over a five year period and provides for a 0.25% NSR payable to the 
Owners after one year of commercial production.

VMC provided ELN the option to purchase an additional 15% in the project as 
required by an underlying Amending Agreement dated September 30, 2010 between 
Xstrata Zinc (now Glencore Xstrata PLC), VMC and ELN (see reference to the 
Tri-Party Agreement immediately below). ELN did not elect to exercise the 
option and consequently at this time the Joint Venture remains at VMC 65%: ELN 
35%.

To date, more than 28,000 metres of drilling has been completed with 
encouraging results. In February 2012, NI 43-101 resource estimation was 
announced (see news release. The Technical Report is filed on SEDAR.com and 
also available on ELN's website. The new Preliminary Economic Assessment 
Report, PEA, will be filed on SEDAR within 45 days of the date of this press 
release.

2. Bathurst Mining Camp Project ( Tri-Party Agreement) :

Consists of an initial 4,712 claims in the Tri‐Party Agreement with Xstrata 
Zinc (now Glencore Xstrata) and VM Canada, whereby VM Canada may incur 
exploration expenditures of $10 million over a period of 5 years to earn a 50% 
interest. VM Canada may further increase its interest to 70% by spending an 
additional $10 million over two years. Drilling and further exploration 
activities have been planned for 2013.

Votorantim Metals Canada Inc. Statement

Technical details in this news release were provided by VMC whose professional 
geologists conduct operations consistent with mineral industry best 
practices. VMC accepts no responsibility for this news release or any 
inferences made from the technical details provided herein.

About Votorantim Metals Canada Inc.

VMC is a subsidiary of Votorantim Metais is a company that is part of the 
Votorantim Group that was founded in Brazil in 1918. The Votorantim Group 
operates in twenty countries and has over 40,000 employees. Votorantim Metais 
is the largest electrolytic nickel producer in Latin America and one of the 
world's leaders in the production of zinc, aluminum and nickel. Votorantim 
Canada Metals Inc. in conjunction with Glencore Xstrata PLC and El Nino 
Ventures is operator of the Bathurst Option and Joint Venture which is 
actively exploring for base metal deposits within the Bathurst Mining Camp.

About El Nino Ventures Inc.

El Niño Ventures Inc. is an international exploration company, focused on 
exploring for zinc, silver, copper, gold and lead in New Brunswick, Canada and 
copper in the Democratic Republic of Congo ("DRC").

On Behalf of the Board of Directors

(signed)

Harry Barr
Chairman & CEO 
El Niño Ventures Inc.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that 
term is defined in the policies of the TSX Venture Exchange) accepts 
responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward Looking Statements. Note: This release 
contains forward-looking statements that involve risks and uncertainties. 
These statements may differ materially from actual future events or results 
and are based on current expectations or beliefs. For this purpose, 
statements of historical fact may be deemed to be forward-looking 
statements. In addition, forward-looking statements include statements in 
which the Company uses words such as "continue", "efforts", "expect", 
"believe", "anticipate", "confident", "intend", "strategy", "plan", "will", 
"estimate", "project", "goal", "target", "prospects", "optimistic" or similar 
expressions. These statements by their nature involve risks and 
uncertainties, and actual results may differ materially depending on a variety 
of important factors, including, among others, the Company's ability and 
continuation of efforts to timely and completely make available adequate 
current public information, additional or different regulatory and legal 
requirements and restrictions that may be imposed, and other factors as may be 
discussed in the documents filed by the Company on SEDAR (www.sedar.com), 
including the most recent reports that identify important risk factors that 
could cause actual results to differ from those contained in the 
forward-looking statements. The Company does not undertake any obligation to 
review or confirm analysts' expectations or estimates or to release publicly 
any revisions to any forward-looking statements to reflect events or 
circumstances after the date hereof or to reflect the occurrence of 
unanticipated events. Investors should not place undue reliance on 
forward-looking statements.



Tel: +1 604 685 1870 Fax: +1 604 685 8045 Email:info@elninoventures.com or 
visitwww.elninoventures.com 650-555 West 12th Avenue, City Square, West 
Tower, Vancouver, B.C.,  Canada, V5Z 3X7

SOURCE: El Nino Ventures Inc.

To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/June2013/05/c4524.html

CO: El Nino Ventures Inc.
ST: British Columbia
NI: MNG NASDAQ FIELD 

-0- Jun/05/2013 12:30 GMT


 
Press spacebar to pause and continue. Press esc to stop.