Revised Release-Asian Mineral Resources Ltd Announces 50% Increase to Ban Phuc Nickel Reserves
TORONTO, ONTARIO -- (Marketwire) -- 08/11/10 -- Asian Mineral Resources Limited ('AMR') (TSX VENTURE: ASN) announces an increase in the massive sulphide Ni/Cu reserves at its Ban Phuc project in north western Vietnam. The 36,000t of nickel estimated to be contained in the proven and probable reserves is an increase of 12,000t Ni (+50%) over previously reported estimates. The estimated contained copper has also increased by 6,000t (+60%) and now stands at 16,000t (Table 1).
The Mineral Reserve and Mineral Resource statements have been estimated by our technical personnel in accordance with definitions and guidelines set out in the Definition Standards for Mineral Resources and Mineral Reserves published by the Canadian Institute of Mining, Metallurgy, and Petroleum and as required by Canada 's National Instrument 43-101.
Table 1: Ban Phuc Project Reserve Statement as of July 30, 2010
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Ban Phuc - Massive Sulphide Reserves. Using a cut-off of 0.75% nickel
equivalent.
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Contained Contained Contained
Tonnes Ni Cu Co Nickel Copper Cobalt
Category (MT) (%) (%) (%) (000't) (000't) (000't)
------------------------------------------------------------------------
Proven 0.71 2.4 1.0 0.06 17 7 0.4
Probable 0.91 2.1 1.0 0.04 19 9 0.4
Total 1.62 2.2 1.0 0.05 36 16 0.8
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See: Notes to the Mineral Reserves.
Table 2: Ban Phuc Project Resource Statement as of June 9, 2010
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Ban Phuc - Total Resource Estimate. Using a cut-off of
0.40% nickel.
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Contained Contained Contained
Tonnes Ni Cu Co Nickel Copper Cobalt
Category (000') (%) (%) (%) (t) (t) (t)
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Measured and
Indicated
Massive
sulphides 1,691 2.68 1.19 0.06 45,328 20,143 1,064
Disseminated
sulphides 12,476 0.59 0.05 0.01 73,900 5,700 1,000
Massive +
Disseminated 14,167 0.84 0.19 0.02 119,228 25,843 2,064
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Inferred
Massive sulphide 170 1.94 0.81 0.03 3,303 1,361 55
Disseminated
sulphides 7,415 0.56 0.01 0.00 41,700 700 100
Massive +
Disseminated 7,585 0.59 0.03 0.00 45,003 2,061 155
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See: Notes to the Mineral Resources.
The experience gained during the development of the two portals (Figure 1) and the exposure of the orebody on two separate horizons provided valuable insight into the geology and ground conditions that can be expected during production and this, together with the increased confidence in the resource, precipitated a review of the mine design. Geotechnical studies concluded that the level spacing could be increased from 15m to 20m. In addition the success of the strike drilling program, which confirmed that the deposit is open down dip to the west led to a repositioning of the lower access decline to optimize tramming distances and improve productivity (Figure 2).
'This result further demonstrates the potential of our Ban Phuc asset and comes on the back a successful campaign targeted at improving project value. The increase in reserves has a positive impact on the project economics and will afford us the flexibility to increase mine output to take advantage of spare capacity in the current Ban Phuc process plant design' commented Rob Guest, CEO of AMR.
To view 'Figure 1', please visit the following link:
http://media3.marketwire.com/docs/asnmap811-1.pdf
To view 'Figure 2', please visit the following link:
http://media3.marketwire.com/docs/asnmap811-2.pdf
Notes to the Mineral Reserves:
1. The stated Mineral Reserve for the Ban Phuc project comprises Massive
Sulphide mineralization only.
2. The stated Mineral Reserves have been prepared in accordance with
Canada's National Instrument 43-101 Standards of Disclosure for Mineral
Projects and are classified in accordance with the Canadian Institute of
Mining, Metallurgy and Petroleum's 'CIM Definition Standards - For
Mineral Resources and Mineral Reserves'. Mineral Reserve estimates
reflect the Company's reasonable expectation that all necessary permits
and approvals will be obtained and maintained. Mining dilution and
mining recovery have been applied in estimating the Mineral Reserves.
3. The July 2010 Reserve estimate was prepared by Chris Desoe, BE (Mining),
Member of the Australasian Institute of Mining and Metallurgy
(M.AusIMM), Member Mineral Industry Consultants Association, of
Australian Mine Design and Development Pty Ltd (AMDAD). Mr. Desoe is a
'Qualified Person' as defined by Canada's National Instrument 43-101.
4. The July 2010 Mineral Reserves were estimated using a Nickel price of
US$9.1/lb, Copper price of US$3.0/lb, and Cobalt price of US$20/lb.
5. Operating cost estimates were derived from the same assumptions
described in the 2007 Technical Report updated to reflect current
conditions and lie within the range envisaged in the sensitivity
analysis reported in the 2007 Technical report
6. The annual ore production estimate.remains unchanged at between 300,000t
to 350,000t as identified in the 2009 AIF.
7. Calculation of the July 2010 Reserve estimate includes Vietnamese
Government Royalties of 4% to the end of 2012, and 10% beyond 2012.
8. Calculation of the July 2010 Reserve estimate includes the Vietnamese
Government Export Tariff of 20%.
9. Changes in mine design parameters used in calculation of the July 2010
Reserves which differ from Ban Phuc Project Technical report (NI 43-101)
- August 2007 include an updated geotechnical study concluding that the
level spacing could be increased from 15m to 20m, and a westerly
repositioning of the lower access decline to more evenly access reserves
at depth.
10. Numbers may not add due to rounding.
Notes to the Mineral Resources:
1. The stated Mineral Resources for the Ban Phuc project comprises both
Massive Sulphide and Disseminated Sulphide mineralization.
2. 100% of the Massive Sulphide measured and indicated resource inventory
has been used in the calculation and preparation of the Mineral Reserves
presented in Table 1. The Mineral Reserves are included in the Mineral
Resources.
3. Mineral Resources that are not Mineral Reserves do not have demonstrated
economic viability.
4. The stated Mineral Resources have been prepared in accordance with
Canada's National Instrument 43-101 Standards of Disclosure for Mineral
Projects and are classified in accordance with the Canadian Institute of
Mining, Metallurgy and Petroleum's 'CIM Definition Standards - For
Mineral Resources and Mineral Reserves'.
5. The June 2010 Resource estimates were prepared by Dr Bielin Shi,
M.AusIMM, of CSA Global - Perth, Australia. Mr. Shi is a 'Qualified
Person' as defined by Canada's National Instrument 43-101.
6. For more detailed information regarding the Ban Phuc massive sulphide
deposit, sampling, analytical methods, quality assurance program,
geology, geological controls and mineralization see: Ban Phuc Project
Technical report (NI 43-101) - August 2007, also available at
www.sedar.com.
7. Numbers may not add due to rounding.
Quality Assurance
The Qualified Person (as defined by National Instrument 43-101) responsible for supervision, preparation and review of the scientific information contained in this press release is Simon Mottram, M.AusIMM and an AMR employee.
Company Profile:
Asian Mineral Resources Limited operates in Vietnam through its 90% owned Vietnam subsidiary Ban Phuc Nickel Mines LLC which is developing the Ban Phuc sulphide deposit in Son La province 5 hours drive north-west of Hanoi. Construction of the project, which is targeting the production of 60,000tpa of concentrate containing nickel/copper/cobalt was suspended in October 2008 when metal prices were under pressure from the world financial crisis. With over 1,000m of u/g development and 80% of all plant equipment purchased, the project is approximately 65% complete and work can recommence once funding has been secured. For further information, please refer to the company website at www.asianminres.com.
Forward-Looking Statements
This press release includes certain 'Forward-Looking Statements.' All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of Asian Mineral Resources Limited are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Asian Mineral Resources Limited's expectations are disclosed under the heading 'Risk Factors' and elsewhere in Asian Mineral Resources Limited documents filed from time-to-time with the TSX Venture Exchange and other regulatory authorities.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Asian Mineral Resources Limited
Rob Guest
CEO
+84 4 3773 7997
+84 4 3773 7996 (FAX)
rguest@banphucnickel.vn
Asian Mineral Resources Limited
Paula Kember
CFO
416 360 3412
416 367 1954 (FAX)
info@asianminres.com