EMED Mining - Quarterly Operational Update
17.04.2013 | Marketwire
NICOSIA, CYPRUS -- (Marketwired) -- 04/17/13 -- EMED Mining Public Limited (TSX: EMD) (AIM: EMED)
(TSX: EMD)
EMED MINING QUARTERLY OPERATIONAL UPDATE
EMED Mining is listed on AIM (Code: EMED) and the TSX (Code: EMD)
17 April 2013
EMED Mining Public Limited (AIM: EMED, TSX: EMD) ("EMED Mining" or "the
Company"), the Europe-based minerals development and exploration
company, is pleased to announce the following operational update for
the period 01 January 2013 to 31 March 2013. The full Quarterly Report,
including consolidated Financial Statements and the Management
Discussion and Analysis, will be issued by 14 May 2013.
Harry Anagnostaras-Adams, Managing Director of EMED Mining, commented:
"We are poised at a very delicate and exciting stage, working very
closely with the authorities in Andalucia and making every effort to
expedite the triggering of the Project, to start works in the second
half of 2013 and ramp-up base production by the end of 2015.
"As announced earlier this week, the Company is now one step closer to
restarting operations and is fully focused on ensuring that all
permitting is in place as soon as possible. Confirmation from the
Andalucian Department of Industry that we have satisfied the legal,
technical and economic criteria for Administrative Standing ("AS") of
the Company's mineral rights is another step in the right direction as
is the formal confirmation of the remaining steps. "Preparations of the
project and its financing are progressed in parallel with permitting."
Spain-Rio Tinto Copper Project
* The Start-Up Schedule currently maintains construction starting
in H2-2013 and initial production in 2014 with the target date of
end-2015 for commencing base case production of 37,000 tonnes per annum
of copper in concentrate. The engineering, human resources and other
preparatory activities will continue to advance as warranted by
regulatory permitting, as set out herein.
* An updated NI 43-101 Independent Technical Report was published
in February 2013 reporting that capital and operating costs are
consistent with recent guidance provided by the Company.
* The Andalucian Government is progressing the permits required to
commence site works in Q3-13:
o Administrative Standing to be granted by the Department of
Industry (administrative recognition of the Company's Mineral
Rights):
o The Andalucian Department of Industry has cleared the Company's
economic, technical and legal capacities, and has formally written
to advise that it intends to finalise Administrative Standing
(administrative recognition of the Company's Mineral Rights) upon:
- Receipt of a preliminary report from the national civil works
technical review agency CEDEX (Centro de Estudios y
Experimentacion de Obras Publicas) supporting the proposed
conditions to be applied to tailings management, as already
incorporated into the Company's plans. The confirmatory
investigations were completed last quarter and the report is due
in May 2013 confirming the viability of the tailings management
plan, and
- Approval by the Department of Environment of the Environmental
Plan ("AAU" or Unified Environmental Authorisation). The
conditions of approval need to take into account all matters
raised during the public comment period in 2012 and any matters
raised by regulators or interested parties.
*In anticipation of the granting of Administrative Standing and
approval of the Environmental Plan, the Company is updating the
documents required to seek the permits in H2-13 which are necessary to
trigger production in 2014 - the Final Restoration Plan and the Mining
Permit:
o The Final Restoration Plan: Requires updating for any conditions
incorporated into the Environmental Plans approved by the
Department of Environment (which will have already been through
the relevant public comment periods), and then it, in turn, will
proceed to final public comment and approval by the Department of
Industry, and
o The Mining Permit:
- Is the regulatory approval of the Project required to commence
operations. The documents have already been reviewed but will
require updating for any conditions set when Administrative
Standing is approved.
- Is founded on the comprehensive documents already independently
reviewed by the technical review agency for mining, IGME
(Instituto Geologico y Minero de Espana). IGME's supportive
formal report was received in Q4-12.
- The independent safety review of the tailings deposit is
completed by CEDEX. Its initial report with supportive
conclusions was received in Q4-12 and an update is due in Q2-13.
This will facilitate finalisation of refinements.
* Insurance and Bonding for environmental commitments and
protection of personnel entitlements: We have implemented the tailings
deposit insurance policy with a civil liability cover of EUR180 million
on a basis pre-agreed with the regulators. Bonding aspects are to be
resolved when the Final Restoration Plan is approved and before
operations can commence.
* Class B Mineral Resources: The Company progresses permits
required to commence a feasibility study on the recycling of tailings
through a joint venture. The public comment period has ended and only
one negative comment was received, which however raised nothing of a
material nature that had not already been taken into account in the
Company's plans.
* Project finance and product marketing plans are being refined in
parallel with the permitting progress.
* Drilling programmes are being planned for implementation during
construction and target known areas of mineralisation which require
further investigation to qualify under the NI-43-101 standards for
inclusion in ore reserves and resources. This is to establish plans for
expansion of output and/or mine life and will cover:
o the targeted expansion of ore reserves on the Cerro Colorado Open
Pit
o the initial reporting of resources on the adjacent higher-grade
underground mines which contain significant already-drilled but
unmined mineralisation
o the initial reporting of resources on the potentially recyclable
tailings.
* Exploration programmes are also being considered for targeting:
o undrilled zones beneath the known mineralisation in both open pit
and underground deposits
o the Company's ancillary mineral concessions in the region of the
Rio Tinto Copper Project.
* Rainwater Management has required activation of safety protocols
as discussed with the regulatory authorities. The controlled discharge
of excess rainwater to preserve the integrity and security of the
facility during (force majeure) heavy winter rains serves to highlight
the need for approval and installation of the planned infrastructure
which includes rainwater diversion, treatment and recycling systems.
* EMED Tartessus Foundation has been incorporated to foster economic
diversification in the surrounding communities and it is proposed that
the Company's annual contribution is supplemented by personnel and
suppliers, subscribing 1% of their receipts from the Rio Tinto Copper
Project.
Slovakia: In Slovakia, the Detva Gold Project focuses on community
consultation as part of the processing of its application for the
regulatory approval of its Mining Lease Area, which has already been
approved at the District Level and has now been referred to the
national regulator for ratification.
Corporate:
* The Cyprus banking crisis had no notable impact on the Company;
* Company officers may not exercise their expiring options until
after the Company has emerged from the current closed period, which at
this stage will be upon release of the Financial Statements and
Management Discussion and Analysis for the quarter ended 31 March 2013.
Corporate Directory
Directors Non-Executive Chairman - Ronnie Beevor
Managing Director - Harry Anagnostaras-Adams
Finance Director - John Leach
Non-Executive Directors - Jasper Bertisen, Roger Davey,
Robert Francis, Harry Liu, Ashwath Mehra and Jose Sierra
Lopez .
Nominated RFC Corporate Finance - Stuart Laing (+61 8 9480 2500)
Adviser
Brokers Fox-Davies Capital Limited - Simon Leathers
(+44 203 463 5022)
Canaccord Genuity - Craig Warren (+1 416 869 7316)
Public Bishopsgate Communications - Nick Rome (+44 207 562 3366)
Relations
Share Computershare Investor Services
Registrar
Issued 31 March 2013
Capital
1,177 million shares on issue
67 million options and warrants on issue
1,244 million shares on issue on a fully diluted basis
Significant Management and Board (excl. companies they 6%
Shareholders represent)
(fully Resource Capital Funds (USA and Australia) 13%
diluted)
Xiangguang International Holdings (China) 11%
RBC Asset Management (Canada) 8%
RMB Australia Holdings Limited (Australia and 5%
elsewhere)
Red Kite 5%
Rumbo 5-Cero 4%
Astor Management AG (formerly MRI Group) 3%
(Switzerland)
Enquiries:
Investors/Media: Harry Anagnostaras-Adams +357 9945 7843.
In North America: Andreas Curkovic +1 416-577-9927
General: Email: info@emed-mining.com
Cautionary Notes
This announcement contains "forward looking information" within th
e
meaning applicable Canadian securities legislation. "Forward looking
information" may also include statements with respect to the future
financial or operating performance of the Company, its subsidiaries and
its projects, the future price of metals, the estimation of ore
reserves and resources, the conversion of estimated resources into
reserves, the realisation of ore reserve estimates, the timing and
amount of estimated future production, costs of production, capital,
operating and exploration expenditures, costs and timing of the
development of new deposits, costs and timing of future exploration,
requirements for additional capital, government regulation of mining
operations, environmental risks, reclamation expenses, title disputes
or claims, limitations of insurance coverage and the timing and
possible outcome of pending litigation and regulatory matters. Often,
but not always, forward looking statements can be identified by the use
of words such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or
"does not anticipate", or "believes" or variations (including negative
variations) of such words and phrases, or state that certain actions,
events or results "may", "could", "would", "might" or "will" be taken,
occur or be achieved. Accordingly, readers should not place undue
reliance on forward looking statements.
Forward looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company and/or its subsidiaries to
be materially different from any future results, performance or
achievements expressed or implied by the forward looking statements.
Such factors include, among others, general business, economic,
competitive, political and social uncertainties; the actual results of
current exploration activities; actual results of reclamation
activities; conclusions of economic evaluations; changes in project
parameters as plans continue to be refined; future prices of metals;
the future costs of capital to the Company; possible variations of ore
grade or recovery rates; failure of plant, equipment or processes to
operate as anticipated; accidents, labour disputes and other risks of
the mining industry; political instability, terrorist attacks,
insurrection or war; delays in obtaining governmental approvals or
financing or in the completion of development or construction
activities, as well as those factors discussed in the section entitled
"Risk Factors" in the Company's annual information form.
Although the Company has attempted to identify important factors that
could cause actual actions, events or results to differ materially from
those described in forward looking statements, there may be other
factors that cause actions, events or results to differ from those
anticipated, estimated or intended. Forward looking statements
contained herein are made as of the date of this announcement and the
Company disclaims any obligation to update any forward looking
statements, whether as a result of new information, future events or
results or otherwise. There can be no assurance that forward looking
statements will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
forward looking statements.
This information is provided by RNS
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