Perth - Alara Resources Ltd.
(ASX:AUQ) (Alara or Company) is pleased to announce a mining licence has been approved and signed for its Al Hadeetha Copper Project in Oman.
Last week, the Public Authority for Mining's licencing committee approved the 'Washihi' mining licence application of Al Hadeetha Resources LLC(see Note 1 below).
Mining licence fees have now been paid and the Public Authority for Mining has signed a mining licence encompassing the Washihi Ore Reserve(see Note 2 below).
Formal presentation of the licence and associated terms is expected to follow next week.
Alara's CEO, Justin Richard, said: "This represents a major milestone for the Al Hadeetha Copper Project and for future development of the copper sector in Oman.With global demand for copper rising and further supply deficits expected to widen in the coming years, it's the right time to be developing a new copper mine."
Alara is now looking to the next major milestones as it continues to grow a copper portfolio in Oman and establish itself as a mineral producer hand in hand with its joint venture partners.
Alara and its joint venture partners have submitted a total of five mining licence applications in Oman, three pertaining to the Al Hadeetha Copper Project (one licence now approved) and two for the Daris Copper Project. The remaining applications are being followed up with relevant Ministries.
The Al Hadeetha Copper Project(see Note 3 below) includes construction of a 1 Mtpa copper concentration plant with an initial 10-year mine life. The Washihi site is located approximately 160km southeast of the Daris Copper Project and Awtad Copper Project and is set to become the next producer of copper concentrate in the Sultanate of Oman.
Copper mining in Oman dates back thousands of years(see Note 4 below). Increasing exploration activity in Oman seeks to link this rich history to a new era of copper discovery and production as the Sultanate executes its program of economic diversification(see Note 5 below).
1 A joint venture between Alara Oman Operations Pty Ltd and Al Hadeetha Investments LLC.
2 Refer Alara's ASX Announcement dated 15 December 2016. That announcement contains information required by ASX Listing Rule 5.16. Material assumptions underpinning the Ore Reserve as announced on that date continue to apply.
3 Refer Alara's ASX Announcement dated 24 January 2017. That announcement contains information required by ASX Listing Rule 5.16 regarding the stated production target. All material assumptions underpinning the production target as announced on that date continue to apply and have not materially changed.
4 See http://www.abnnewswire.net/lnk/NJF215BV
5 Diversification is a core element of Oman's Five-year Development Plan to 2020. See www.tanfeedh.gov.om/en/
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About Alara Resources Limited :
Alara Resources Ltd. (ASX:AUQ) is an Australian minerals exploration company with a portfolio of projects in Saudi Arabia and Oman. Alara has completed a Definitive Feasibility Study on the Khnaiguiyah Zinc-Copper Project in Saudi Arabia, an Advanced Scoping Study on the Daris and Washihi, Mullaq and Al Ajal exploration licences in Oman and a Feasibility Study for the Al Hadeetha Copper Gold Project, Washihi ore reserve. The Company is transitioning to establish itself as a base and precious metals mine development and production company. For more information, please visit: www.alararesources.com
Alara Resources Ltd.
Justin Richard Managing Director
Stephen Gethin Company Secretary