AIM:EMED
7 January 2008
EMED Mining Public Limited
Update on Klirou Copper-Zinc Project and
Other Opportunities in Cyprus
EMED Mining Public Limited ("EMED Mining" or "the Company") announces that AMC Consultants (UK) Ltd have completed their independent review of the Klirou Copper-Zinc Project preliminary feasibility study. This review confirmed and built on many of the key conclusions of the internal preliminary feasibility study. Financial modelling based on the available information and work completed to date continues to indicate that the project is worthy of further work and potential development utilising the Mitsero processing plant.
This review highlighted the following key areas for further work in a full feasibility study for the Klirou Copper-Zinc Project:
- Diamond core drilling to verify and upgrade categorisation of known resources, as well as collecting samples for further metallurgical testwork.
- Further assessment of the refurbishment of the nearby Mitsero processing plant, as well as preparation of a metallurgical plan for the resources and a processing strategy.
- Collection and collation of firm cost estimates.
The verification drilling has commenced using the Company's recently purchased multipurpose drilling rig which has redressed the historical lack of reliable diamond drilling capacity in Cyprus. Review of historical data has indicated the potential for additional resources adjacent to existing and planned open pits. Drilling to test this potential is also planned.
EMED Mining's new drilling operation is beginning to perform well, achieving metreage and core recovery not previously recorded in the difficult ground conditions (for diamond drilling) in Cyprus. The Company's drilling team will move to Slovakia in the first half of 2008 to increase the Company's commitment there, while the Cyprus drilling results are reviewed.
A full feasibility study would in due course form an integral part of the Environmental Impact Study ("EIS"), which is the key permitting document for public and community input. EMED Mining has continued to build relationships with the Government of Cyprus and local community as part of its ongoing consultation process.
Other Opportunities in Cyprus
The Government of Cyprus has recently initiated its own study on reviving the Cypriot mining industry and is also encouraging certain types of joint ventures with Turkish Cypriots. It is notable that EMED Mining owns a proprietary GIS (Geographical Information System) which represents the most comprehensive database of all relevant geological and historical exploration data for the entire island, including the work done by previous explorers. Cyprus is a large producer of copper historically, most of which was from deposits in land occupied by Turkish military forces in the invasion of 1974. The largest deposit was the high-grade deposit known as Mavrovouni ("Black Mountain") which yielded some 16 million tonnes of ore grading approximately 4% copper plus gold credits.
The largest historical producer and explorer was Cyprus Mines Corporation, which operated in Cyprus until 1974 and later became part of Cyprus Amax and now part of Phelps Dodge. More recent explorers include Oxiana Resources Limited of Australia, which is a substantial shareholder in EMED Mining, and Cypriot conglomerate Hellenic Mining Company Limited, which is the local partner of EMED Mining, holding 5% of the Company's local subsidiary. The Company has also recently formed a joint research venture with a Turkish Cypriot business leader to identify and assess opportunities over the whole island and elsewhere.
Mr Harry Anagnostaras-Adams, Managing Director of EMED Mining, noted that:
"EMED Mining's option over the Proyecto Rio Tinto ("PRT") project in Spain is currently our priority development project as it can potentially be brought into production relatively quickly, subject to regulatory consents being forthcoming. Following the potential re-start of PRT in the second half of 2008, we will consider commencing a full feasibility study on the Klirou Copper-Zinc Project. In the interim, EMED Mining will continue low-cost evaluation work on various opportunities in Cyprus and related business opportunities elsewhere".
-Ends-
Enquiries
|
EMED Mining |
RFC Corporate Finance |
|
Harry Anagnostaras-Adams |
Stuart Laing |
|
+357 9945 7843 |
+61 8 9480 2500 |
|
Fox-Davies Capital |
Parkgreen Communications |
|
Richard Hail |
Justine Howarth / Erica Nelson |
|
+44 207 936 5220 |
+44 20 7851 7480 |
Notes to Editors: About EMED Mining Public Limited
EMED Mining was admitted to trading on AIM in May 2005 following a placing of its shares. In the two years since then the share price has increased from 8p to the current 20p and market capitalisation has increased from approximately lb4 million to approximately lb30 million. The Company is based in Cyprus and has a strong commitment to responsible development of metal production operations in Europe, with an initial focus on copper and gold.
The Company's rapid growth reflects the experience of its specialist team and the clarity of its strategy.
The Group's region of interest are the tectonic belts spanning across Europe and over to the Middle East. The strategy is to evaluate exploration and development opportunities in several jurisdictions throughout this quality mineral belt and to promote sustainable development practices through implementation of European Union and other leading-edge international standards. The Company has, from the outset, strictly implemented its Environmental & Community Policy which includes:
. Integrating environmental management into our business, planning and reporting processes.
. Promoting a strong environmental ethic throughout the company and the community.
. Complying with, as a minimum, all applicable local and European Union laws and regulations.
. Communicating with community stakeholders in a responsible and transparent manner.
In the framework of our community relations policy, EMED Mining co-hosted international conference on Responsible Mining and Environmental Protection in Cyprus in 2006 and in Slovakia in 2007. A similar conference will be arranged in Spain in 2008 after other relevant stakeholders are consulted.
EMED Mining has now established a strong position in the following selected zones:
. Exploration areas in Slovakia are centred on a cluster of volcanic centres. Low-detection geochemical methods are being applied to these areas for the first time together with open pit bulk mining concepts. The principal targeted mineralisation style is low-grade, bulk-mineable porphyry gold. The company has announced a gold discovery at Biely Vrch in Slovakia.
. The mines in Cyprus and at Rio Tinto in Spain, located in the Iberian Pyrite Belt, are probably amongst the best known in the world. EMED Mining's goal is to restart copper production at its projects in both of these well-endowed, historical mining districts. Both Spain and Cyprus are progressive members of the European Union and EMED Mining has been made to feel welcome in both host countries. The styles of mineral deposits and production techniques are similar in both mining districts.
. EMED Mining's main prospects in Georgia are gold prospects within the Upper Racha Licence, the country's largest minerals licence with many untested prospects. The Company has confirmed Russian Resources of 1.0 million ounces gold at the Zopkhito Prospect and discovered high grade mineralisation at surface at other prospects (detailed in 2006 Annual Report).
. Exploration areas in Turkey were vended into 34%-owned KEFI Minerals Plc which was admitted to AIM in December 2006. KEFI Minerals owns carefully selected licence areas in Turkey, as well as an extensive proprietary database of regional and specific exploration data providing a pipeline of further projects to evaluate. The KEFI Minerals team has mobilized into the field to explore the company's tenements and to expand the portfolio of licences as opportunities warrant. See www.kefi-minerals.com.
For further information on the Company's activities, visit www.emed-mining.com or www.emed.tv.
Erica Nelson
Parkgreen Communications
Pegasus House
37-43 Sackville Street
London W1S 3EH
T: +44 (0) 20 7851 7480
F: +44 (0) 20 7494 9085
M: +44 (0) 7974 562 102
This email and any files transmitted within it are confidential and intended solely for the use of the individual or entity to whom they are addressed.
If you have received this email in error please contact the sender on 020 7851 7480.
