Ivernia Announces Restart of Paroo Station Mine
TORONTO, ONTARIO -- (Marketwire) -- 03/28/13 -- Ivernia Inc. ("Ivernia" or "the Company") (TSX: IVW) today announced it is recommencing processing operations at its wholly owned Paroo Station lead mine (the "Mine"), located near Wiluna, Western Australia.
The decision to restart operations has been taken following: a comprehensive internal review and validation that the Company's systems and processes are best practice and can transport the Mine's product safely and capably; recruitment and training of a suitably qualified workforce and the remobilization of all key contractors necessary to recommence processing and transport operations; renewal of the vehicle fleet; and development of significant product handling infrastructure.
The various management and compliance plans have been validated by rigorous internal reviews and external approval processes as required under the operating conditions for the Mine previously announced on July 27, 2012. On March 27, 2013 the Western Australian Office of the Environmental Protection Authority advised that it has provided its final signoff for all of the preconditions and management plans that were required to be submitted before a restart of transportation could occur.
The ramp-up of processing operations to full production levels will be carefully managed over the next eight months to achieve nameplate processing levels by the end of the calendar year.
There is no set date for the first exports to begin, however the Company expects to ship some of its stockpiled concentrate during the month of April 2013.
As previously announced, day to day management of operations at the Mine, including operational expertise and support will be provided under a management services arrangement by Enirgi Metal Group Pty Ltd. ("EMG"), a wholly owned subsidiary of Enirgi Group Corporation, Ivernia's majority shareholder.
The Honorable J. Trevor Eyton, Chairman of the Board of Directors of Ivernia commented: "On behalf of the Board of Directors, I would like to thank our shareholders, lenders and other key stakeholders for their patient support during the shut-down, comprehensive review and careful planning for the restart as well as the professional, determined efforts of our strong management team. We are confident we have the appropriate systems in place to return to sustainable operation and re-establish value for all stakeholders."
About Ivernia
Ivernia is an international base metal mining company and the owner of the Mine, located in Western Australia. Ivernia trades under the symbol "IVW" on the Toronto Stock Exchange. Additional information on Ivernia is available on the Company's website at www.ivernia.com and at SEDAR at www.sedar.com.
Forward Looking Statements
Certain statements contained in this news release are forward-looking information within the meaning of applicable securities laws. All statements included herein (other than statements of historical facts) which address activities, events or developments that management anticipates will or may occur in the future are forward-looking statements, including statements as to the following: the decision to restart and timing of the restart of operations and transportation from the Mine, ability to achieve full production levels for processing operations, any additional financing requirements to restart the Mine, the cost and timing for completion of capital projects necessary for restart or ongoing operations, future targets and estimates for production, capital expenditures, operating costs, cash costs, mineral resources, mineral reserves, life of Mine, recovery rates, grades and prices, business strategies and measures to implement such strategies, competitive strengths, estimated goals and plans for Ivernia's future business operations, lead market outlook and other such matters. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "contemplate", "target", "believe", "plan", "estimate", "expect", and "intend" and statements that an event or result "may", "will", "can", "should", "could" or "might" occur or be achieved and other similar expressions. These statements are based upon certain reasonable factors, assumptions and analyses made by management in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. However, whether actual results and developments will conform with management's expectations is subject to a number of risks and uncertainties, including factors underlying management's assumptions, such as, the duration of the suspension of the Company's transportation of lead carbonate from the Mine, expected concentrate sales, the costs and other capital expenditures required to recommence operations and transportation, the timing, need and ability to raise any additional financing and the risks relating to ramping up mining and milling throughput and operations, matters relating to regulatory compliance and approvals, matters related to the operations being placed on care and maintenance, possible further shareholder dilution, matters relating to public opinion,
the presence of a majority shareholder and Management Services Agreements, matters related to the Esperance settlement and shipments through the Port of Fremantle, regulatory proceedings and litigation and general operating risks such as metal price volatility, lead carbonate concentrate treatment charges, exchange rates, the fact that the Company has a single mineral property, health and safety, environmental factors, mining risks, metallurgy, labour and employment regulations, government regulations, insurance, dependence on key personnel, constraints on cash distribution from the Mine, the nature of mineral exploration and development and common share price volatility. Additional factors and considerations are discussed in the Company's most recent annual information form and in other documents filed from time to time by Ivernia with Canadian securities regulatory authorities on SEDAR. While Ivernia considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. These factors may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and there can be no assurance that the actual results or developments anticipated by management will be realized or, even if substantially realized, that they will have the expected results on the Company. Undue importance should not be placed on forward-looking information nor should reliance be placed upon this information as of any other date. Except as required by law, while it may elect to, Ivernia is under no obligation and does not undertake to update this information at any particular time.
Contacts:
Ivernia Inc.
Jessica Helm, Corporate Communications Officer
Enirgi Group Corporation
(416) 365-2783
investor@ivernia.ca
www.ivernia.com