Northern Mining Limited: Letter to Shareholders - Company Update
04.10.2012 | ABN Newswire
08:26 AEST Oct 4, 2012 ABN Newswire (C) 2004-2012 Asia Business News PL. All Rights Reserved.Perth, Australia (ABN Newswire) - Further to the dispatch of the Company's Prospectus for a Renounceable Rights Issue, the Board of Northern Mining Limited (ASX:NMI) is pleased to provide you with a brief Company update, including a current map of its East Kalgoorlie Project tenements in Western Australia.
The map (see link below) shows the strategic location of the tenements in relation to those held by surrounding producers and emerging producers in this region.
Northern Mining is committed to unlocking the full potential of this exciting Project in this gold rich region and to date, continuing exploration success has attracted several enquiries with regard to our intentions for the Project.
From the proceeds of the rights issue (fully subscribed circa AU$2.7 million) NMI has budgeted 35,000 metres of diamond, reverse circulation and rotary air blast drilling on its tenements outlined in Figure 1 (see link below). The Company believes that there is excellent potential for further exploration success within these tenements (refer to the review of operations section in the Company's 2012 Annual Report (ASX:NMI) for details of exploration carried out in 2011/2012).
After completion of the current rights issue, based upon the 2 cents issue price of the new shares and on a fully subscribed basis, NMI will be in a very strong position with a capitalisation of only AU$8 million, AU$2.5 million cash in the bank and no debt.
On behalf of the Board of NMI, please consider carefully the contents of this letter and I look forward to your continuing interest in the Company.
Alan Lockett
Executive Chairman, Northern Mining Limited
For the included map and figures, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-NMI-606745.pdf
About Northern Mining Limited:
Since admission to the Official List of the ASX on the 12 September 2006, Northern Mining Limited (ASX:NMI) continues to explore its exciting and diverse exploration portfolio comprising gold, nickel and base metals projects in Western Australia (WA), the Northern Territory (NT) and Poland.
During 2011/2012, NMI focussed its exploration efforts on the East Kalgoorlie Project in Western Australia, where the Company has strong indications of three gold mineralised systems within its tenure (Blair North, Kanowna Lights and Snake Hill Prospects). All prospects are ideally located to key infrastructure and gold processing facilities.
At the Camel Prospect in the Northern Territory, manganiferous outcrops occur in two discrete areas some 23 kilometres apart with limited exposure of rocks anomalous in manganese. At both areas, the zones of interest are covered by a shallow cover sequence. Rock chip values of the limited outcrop returned consistently elevated Mn results up to 15.7% Mn at Area 1 and up to 45.6% Mn at Area 2. The Prospect covers some ~3,260 hectares, is centred 127 kilometres southwest of Alice Springs and is readily accessed by the sealed Stuart Highway which passes through it. The Prospect is <110 km west of the Adelaide-Alice Springs Rail Corridor.
The Company's interest at the Radzimowice Project in Poland, is focussed on a bulk tonnage Au-Ag-Cu target which has not been subject to modern day exploration.
Contact:
Northern Mining Limited
T: (08) 9244 8499
F: (08) 9244 3166
WWW: www.northernmining.com.au