June 16, 2008
Forest Service Record of Decision Signals Green Light for Idaho Cobalt Project
Vancouver, B.C., June 16, 2008 - Formation Capital Corporation (“Formation”, FCO-TSX,)
is pleased to announce that its wholly owned subsidiary, Formation
Capital Corporation, U.S. (the “Company”) is in receipt of a news
release issued by the United States Department of Agriculture Salmon
Challis National Forest (the “Forest Service”) stating a Record of
Decision has been issued for the Idaho Cobalt Project (the “ICP”), the
contents of which are duplicated below.
“Forest Service Issues Record of Decision for Idaho Cobalt Project
Salmon-Challis National Forest Supervisor Bill Wood has signed the
Record of Decision approving a modified Plan of Operations for Formation
Capital Corporation’s Idaho Cobalt Project, a proposed cobalt mining
project located in the Panther Creek drainage west of Salmon.
“The selected alternative, Alternative IV, will require Formation
Capital Corporation to modify their proposed Plan of Operations,” Wood
said. “The modified Plan of Operations will clearly reflect additional
requirements including posting of financial assurance for long term
water quality management.” Wood went on to explain that the Plan will
also address terms and conditions from the Biological Opinions provided
by the U.S. Fish and Wildlife Service and the National Marine Fisheries
Service for management of endangered fishes and will also require the
company to obtain a National Pollution Discharge Elimination System
permit from the Environmental Protection Agency. These steps will be
taken prior to approval of the modified Plan of Operations.
Additionally, the Record of Decision requires the company to obtain
administrative access and power line easements across adjacent private
land prior to commencing ground-disturbing activities. Once Formation
Capital Corporation complies with these additional requirements, the
mining project may proceed.
The decision also provides a framework for the agencies involved in
oversight of the adjacent Blackbird Mine Site remediation to be involved
in oversight of the Idaho Cobalt operations to ensure remediation
efforts of the Blackbird Mine are not compromised. The Environmental
Protection Agency is the lead agency in ensuring remediation standards
are met for the restoration of salmon and steelhead fisheries impacted
by historic mining activities.
The Record of Decision and associated documents are being mailed to
interested members of the public on the project’s mailing list, and
copies will be available at the Salmon-Cobalt Ranger District Office and
Forest Supervisors Office in Salmon. In addition, a copy will be
available at the public libraries in Salmon and Challis.
The decision is subject to a 45 day administrative period during which
time individuals or groups that have established “standing” may appeal
the decision. This process is described in the Record of Decision.
The Environmental Protection Agency and the Idaho Department of
Environmental Quality participated as cooperating agencies in the
completion of the project’s Environmental Impact Statement.”
“This is possibly the most critical milestone the Company has reached
regarding the Idaho Cobalt Project” commented Mari-Ann Green, CEO of
Formation Capital Corporation. “After years of permitting efforts, the
Forest Service has issued a Record of Decision that outlines the
required modifications to the mine Plan of Operations that, once
incorporated, will allow us to commence construction of the mine and
mill facilities.” She continued, “I’d like to take this opportunity to
thank the numerous individuals, agencies and consultants that were
involved in the permitting efforts over the years on a job well done.
As well I’d like to commend our shareholders who have supported the
Company through this extensive and challenging process.”
“As we have firmly believed, a sustainable, responsible mine plan can be
designed without compromise to the environment. The Forest Service’s
decision is a testament to that accomplishment” commented Bill Scales,
President of Formation Capital Corporation, U.S.
The Company has not yet received a copy of the ROD, which is expected forthwith.
Once in production, Formation’s Idaho Cobalt Project will provide the
United States with high purity super alloy grade cobalt metal required
for critical applications such as the construction of jet airplane
engines, land based turbines, catalysts for gas to liquid technology,
and batteries used in hybrid and electric cars.
Formation Capital Corporation is dedicated to the principles of
environmentally sound mining and refining practices, and believes that
environmental stewardship and mining can co-exist. The Company trades
on the Toronto Stock Exchange under the symbol FCO.
Formation Capital Corporation
Mari-Ann Green, C.E.O.
For further information please contact:
E.R. (Rick) Honsinger, P.Geo., V.P. Corporate Communications
Formation Capital Corporation, 1510 — 999 West Hastings Street, Vancouver, BC, V6C 2W2
Head Office: 604-682-6229, Investor Relations: Email: email@example.com
- Or visit our Web site at: formcap.com
The statements contained in this news release in regard to Formation
Capital Corporation that are not purely historical are forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995, including Formation Capital Corporation’s beliefs,
expectations, hopes or intentions regarding the future. All
forward-looking statements are made as of the date hereof and are based
on information available to the parties as of such date. It is
important to note that actual outcome and the actual results could
differ from those in such forward-looking statements. Factors that
could cause actual results to differ materially include risks and
uncertainties such as technological, legislative, corporate, commodity
price and marketplace changes.
View the Previous
News Release:May 29th, 2008, Biological Opinions Grant Endangered Species Act Exemption Permit for Idaho Cobalt Project
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