Global Secures Tailings Facility and Local Cooperation Agreement
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/12/13 -- Global Minerals Ltd. (TSX VENTURE: CTG)(OTCBB: GMLFF)(FRANKFURT: DFP) is pleased to announce it has signed a Memorandum of Cooperation for the development of its 100% owned Strieborna silver project with the local municipality of Roznava, Slovakia.
In this memorandum, the City of Roznava expressed its support for all activities benefiting the timely development and permitting of the planned mining operation. Global Minerals expressed its commitment to cultural, social and environmental responsibility and also agreed to support the economic development of the region by providing employment opportunities in future mine operations. Global Minerals hopes to create approximately 120 jobs in mining and ore processing upon commencing operations at Strieborna.
Bill Pincus, Global's CEO, said, "This is an important step forward and illustrates the positive relationship between the Company and the local community. We are fortunate to work in an area with a long mining tradition and those who are keen to see us commence operations to the benefit the local stakeholders. This agreement is a concrete expression of our mutual collaboration to that effect."
Completed Tailings Facility Purchase Agreement
Global is also pleased to announce that it has signed an agreement to purchase an existing tailings management facility that is adjacent to the planned processing mill site. The capacity of the facility is sufficient for 5 years of production at a proposed rate of 750 tonnes per day. An additional extension of the tailings dyke will allow for an increase in capacity sufficient for mining of all current resources. Some permits are required to reinstate its use, but this will be far more efficient both in time and cost than purchasing and permitting a new facility. Payments include EUR300,000 on signing (complete) and the balance in quarterly payments over the next 1.5 years for a total of EUR2.5M. Global had previously purchased sufficient land to accommodate the future mill and ore processing facilities adjacent to the tailings facility.
Resource Update and Economic Assessment on Track
Drilling continues from underground and is on track for completion in the coming months. All results will be incorporated into an updated resource model and economic study. The drilling has focused on the upper portion of the ore deposit that the Company anticipates will be exploited early in the mine life.
The Company has completed a series of trade-off studies evaluating various mine development scenarios. As a result, a preferred plan incorporating ramp access and mobile equipment for underground mining is now being included in a Preliminary Economic Assessment. The Company anticipates publishing this in the July-September Quarter this year concurrent with the updated resource estimate.
About Strieborna
Strieborna is a high-grade, silver-copper, vein-type deposit in an historic mining district near the town of Roznava in eastern Slovakia. Significant infrastructure at the site includes a working shaft and hoisting system, extensive underground access through a series of drifts, crosscuts and tunnels and associated surface facilities including a tailings facility. Global is working to advance the property into commercial production with a significant high-grade resource base that also has excellent expansion potential.
FORWARD-LOOKING STATEMENTS AND FORWARD-LOOKING INFORMATION: This news release contains certain "forward-looking statements" within the meaning of applicable Canadian securities laws. Forward-looking statements and forward-looking information are frequently characterized by words such as "plan," "expect," "project," "intend," "believe," "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur.
FORWARD-LOOKING STATEMENTS are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.
Readers are advised that National Instrument 43-101 of the Canadian Securities Administrators requires that each category of mineral reserves and mineral resources be reported separately. Readers should refer to the continuous disclosure documents filed by Global and available at www.sedar.com, for detailed information, which is subject to the qualifications and notes set forth therein.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Global Minerals Ltd.
William Pincus
President and CEO
604.669.2355
Global Minerals Ltd.
Ms. Lubica Parilakova
Manager Investor Relations
604.669.2355
lparilak@globalminerals.com
www.globalminerals.com