CMC Metals Ltd (CMB)

[sumisu]

CMC Metals to Mine 20,000 Tonnes Per year at ROM 1100gm/tonne Ag at Its 100% Owned Silver Hart Mine

Tuesday June 24, 9:00 am ET

TSX-V: CMB

http://biz.yahoo.com/prnews/080624/to219.html?.v=66

VANCOUVER, June 24 /PRNewswire-FirstCall/ - CMC Metals Ltd. (the "Company") is pleased to announce that it has entered into a Letter of Intent agreement to purchase a prefabricated mill for the Silver Hart mine site. The main mill process is a standard gravity flotation concentration and will operate year round at 20,000 tonnes annually. SGS Lakefield Laboratories Ltd. conducted a detailed metallurgical study to define the mineral recoveries by flotation methods in 2007. Based on the SGS Lakefield Laboratories Ltd. metallurgical test results, metal recoveries from the raw ore are 96.9% silver, 97.0% lead, and 80.0% zinc. Total cost to purchase the equipment, refurbish and modularize is approximately $1,700,000 (USD). Delivery date is set for the end of October, 2008. It will take 30 days to connect the modules, attach the covering structure and connect power to the mill. The 80 tonne per day mill will be modularized in eight structural modules that can be assembled on site. Modulized concept will greatly reduce the construction timeline and assembly costs at the front-end of the project.

CMC's 100% owned Silver Hart Mine project is for a 20,000 tonne per year mine and an 80 tonne per day mill facility to concentrate the run-of-mine ore. Mining of the TM and S zone will be on a seasonal basis (June to October) and milling will be on a year round basis. The first two years will be surface mined then continued by underground methods. There has been substantial exploration on the property since the mid-80's. Additional drilling by the Company occurred in 2005, 2006, and 2007 to confirm past drill results and to provide the confidence in the substantial amount of historical data. A historic resource estimate (F. Smith, 1988) was determined at the end of 1987 for the TM zone. An estimate for proven and probable reserves of 72,345 tonnes (79,713 tons) with an average grade of 2,023 grams/tonne (59.0 oz/ton) silver, totaling 146,340 kg (4,705,463 ounces) of silver was concluded from the work conducted. Not included in the total was an inferred resource of 33,225 tonnes (36,609 tons) with an average grade of 1,755 grams/tonne (51.2 oz/ton) silver, totaling 58,310 kg (1,874,937 ounces) of silver. Average base metal values include 4.97 percent lead and 8.59 percent zinc for the TM zone. These historic resource estimates were based on 50 diamond drill holes (3658m, 12,000 feet) and 673m (2208 feet) of underground workings. The Company performed infill drilling and hole twinning as a due diligence to confirm the historical data. An updated detailed mining approach and review of the geological data provided input for the economic model to assess mine dilution, cut-off grades, run-of-mine head grades, and minimum mining widths. For further understanding of the property, the Company had SGS Lakefield Laboratories Ltd. conduct a detailed metallurgical study to define the mineral recoveries, mill flow diagram, and rate of consumption mill reagents need to concentrate the ore. The Company submitted the Project Description to the Yukon Territorial Government (YTG) for review and the Socio-Economic Assessment Board (YESAB) for prescreening the project. Once YESAB deems the submission complete the Company can provide an update on the commissioning schedule. For additional information on the Silver Hart Project, please visit www.cmcmetals.ca.

The Company has not completed an independent feasibility study and there is no certainty that the proposed operations will be economically viable. A qualified person has not done sufficient work to classify the historical estimate as current mineral resource and the issuer is not treating the historical estimate as current mineral resources and the historical estimate should not be relied upon. Statements in the release that are "forward-looking statements" are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially. We undertake no duty to update any forward-looking statement to conform the statements to actual results or changes in our expectations.

This news release was prepared on behalf of the Board of Directors, which accepts full responsibility for its contents. The technical information herein has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed by Donald Wedman, P.Eng., President and Chief Executive Officer for CMC Metals Ltd., a qualified person under National Instrument 43-101.


On behalf of the Board:

"Don Wedman"

-----------------------
Don Wedman, P.Eng.
CEO
CMC METALS LTD.

The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this release.


CONTACT: Mr. David Fry, Manager, Corporate Communications at [phone], local 105 or click on [e-mail]


--------------------------------------------------------------------------------
Source: CMC Metals Ltd.