Ban Phuc Nickel Project Construction Progress Update
TORONTO, ONTARIO -- (Marketwire) -- 03/28/13 -- Asian Mineral Resources Limited ("AMR") (TSX VENTURE: ASN) is pleased to announce the successful completion of its previously announced shareholder rights offering (the "Rights Offering") for aggregate gross proceeds of $12,500,000 and an update of the Ban Phuc Nickel Project.
Rights Offering
AMR has issued a total of 250,000,000 common shares of AMR pursuant to the Rights Offering, of which, 161,237,768 Common Shares were issued pursuant to the exercise of the basic subscription privilege and additional subscription privilege and the remaining 88,762,232 Common Shares were issued to Pala Investments Limited ("Pala") pursuant to Pala's standby commitment. Following completion of the Rights Offering, Pala and its affiliates, now own approximately 79.6% of the issued and outstanding common shares of AMR.
Project Update
Construction of the Ban Phuc nickel project continues to progress rapidly towards the June 2013 target commissioning date. In particular, the ball mill, the last piece of major equipment, is now mounted on site. The construction of the tailings storage facility continues ahead of schedule and is expected to be completed in May 2013, as planned. Recent pictures of construction progress can be viewed at AMR's website (http://www.asianminres.com).
AMR has selected to retain an Australian mining contactor to ensure efficient commencement of mining at the Ban Phuc nickel project. The mining contractor is currently mobilizing equipment and personnel to the Ban Phuc site, and mining operations are scheduled to recommence in April. Due to the existing underground infrastructure already in place at Ban Phuc, mining will immediately focus on production of nickel ore ready for commissioning of the process plant.
AMR is also pleased to announce continued progress with obtaining key remaining permits, including:
-- The approval of the updated project feasibility study by the Ministry of
Industry and Trade;
-- The approval of the company's updated environmental impact assessment
and environmental remediation and rehabilitation plan by the Ministry of
Natural Resources and Environment; and
-- The issuance of the water use permit for the Ban Phuc nickel project by
the Son La Department of Natural Resources and Environment.
The recent receipt of these approvals demonstrates the ongoing support received by AMR from the Government of the Socialist Republic of Vietnam.
Simon Booth, AMR CEO, commented: "We are extremely pleased with the ongoing progress of the Ban Phuc nickel project towards production. In particular, the selection of an experienced mining contractor significantly de-risks a key element of the operations. In addition, the ongoing high-level of support AMR has received from both the central and provincial bodies of the Government of Vietnam, as well as the continued support of its major shareholders have been highly encouraging."
Company Profile:
Asian Mineral Resources Limited is developing the Ban Phuc Nickel Project, located 160 km north-west of Hanoi in the Son La Province, which is 90% owned by its subsidiary Ban Phuc Nickel Mines LLC. The development of the project is in its advanced stages, with underground and surface infrastructure near completion and commencement of production expected from June 2013. For further details on AMR and the Ban Phuc Nickel Project, please refer to AMR's website at www.asianminres.com.
This press release includes certain "Forward-Looking Statements." All statements, other than statements of historical fact, included herein, including without limitation, statements regarding completion of the project, the commencement of commercial production and the achievement of expected benefits, including those related to contract mining, potential mineralization and reserve and resource estimates, exploration results and future plans and objectives of AMR are 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 AMR to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Important factors that could cause actual results to differ materially from AMR's expectations are disclosed under the heading "Risk Factors" in AMR's Annual Information Form, in the short form prospectus dated February 15, 2013 and elsewhere in AMR's documents filed from time-to-time with the TSX Venture Exchange and other regulatory authorities. Such forward-looking statements are based on a number of material factors and assumptions, including: estimated cost to bring the Ban Phuc Nickel mine into commercial production, that contracted parties provide goods and/or services on the agreed timeframes; that on-going contractual negotiations will be successful and progress and/or be completed in a timely manner; that application for permits and licences will be granted/obtained in a timely manner; that no unusual geological or technical problems occur; that plant and equipment work as anticipated and that there is no material adverse change in the price of nickel. Although AMR 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 press release. AMR disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. 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 due to the inherent uncertainty therein.
Neither 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
Paula Kember
Chief Financial Officer
(416) 360-3412
