El Capitan Updates 2015 Guidance to Reflect Dockworker Strike and Resulting Delays

SCOTTSDALE, Arizona -- El Capitan Precious Metals, Inc. (OTCQB: ECPN) today reported a revised financial outlook for the fiscal year ending September 30, 2015. The revised outlook reflects a downward revision to the Company’s financial outlook and is, in large part, a result of the protracted labor disputes involving 13,600 unionized dockworkers that have snarled trade at international seaports on the West Coast.

ECPN Board Chairman John F. Stapleton stated that the West Coast port problems have made it impossible to complete scheduled shipments of ECPN ore. According to terms of the Company’s contract with its Chinese buyer, title changes hands from the Company to the buyer when the ore is loaded onto the shipping vessel. It is at that point in the transaction process that revenue can be recognized. The Company has not been able to complete this requirement.

All available alternatives are being pursued to complete shipments to the overseas buyer. In addition, the Company is negotiating with North American buyers for the sale of precious metals concentrates that do not require transport through ocean ports.

The impact of the disruption will delay revenue into the quarter beginning in April 2015, with the result that Projected Pre-Tax Profit for 2015 booked on an accrual basis in accordance with Generally Accepted Accounting Principles (GAAP) is revised to $2.4 – 3.0 million, with positive cash flow occurring in the quarter ending June 30.


About El Capitan Precious Metals, Inc.:

El Capitan Precious Metals, Inc. is a mining company based in Scottsdale, Arizona, that is principally engaged in the mining of precious metals and other minerals. The Company’s primary asset is its wholly owned subsidiary El Capitan, Ltd., an Arizona corporation, which holds the 100% equity interest in the El Capitan property located near Capitan, New Mexico. www.elcapitanpmi.com


Forward-Looking Safe Harbor Statement: The statements included in this press release concerning predictions of economic performance and management’s plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Forward-looking statements are statements that are not historical facts. Words such as “expect(s),” “feel(s),” “believe(s),” “will,” “may,” “anticipate(s)” and similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to, statements regarding the expected completion, timing and results of metallurgical testing, interpretation of drill results, the geology, grade and continuity of mineral deposits, results of initial feasibility, pre-feasibility and feasibility studies and expectations with respect to the engaging in strategic transactions. All of such statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond the control of the Company, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Specifically, there can be no assurance regarding the timing and terms of any transaction involving the Company or its El Capitan property, or that such a transaction will be completed at all. In addition, there can be no assurance that periodic updates to the Company’s geological technical reports will support the Company’s prior claims regarding the metallurgical value and make-up of the ore on the New Mexico property. Additional risks and uncertainties affecting the Company include, but are not limited to, the possibility that future exploration, development, testing or mining results will not be consistent with past results and/or the Company’s expectations; discrepancies between different types of testing methods, some or all of which may not be industry standard; the ability to mine precious and other minerals on a cost effective basis; the Company’s ability to successfully complete contracts for the sale of its products; fluctuations in world market prices for the Company’s products; the Company’s ability to obtain and maintain regulatory approvals; the Company’s ability to obtain financing for continued operations and/or the commencement of mining activities on satisfactory terms; the Company’s ability to enter into and meet all the conditions to consummate contracts to sell its mining properties that it chooses to list for sale; and other risks and uncertainties described in the Company’s filings from time to time with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof, and we do not undertake any obligation to revise and disseminate forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of or non-occurrence of any events.



Contacts

El Capitan Precious Metals, Inc.
John Stapleton
480-440-1449