Subscribe for Updates:
Enter your email below to receive email updates
Apr 11, 2008
Mindoro Completes Purchase of Surigao Interest
EDMONTON, Alberta; April 11, 2008 - Mindoro Resources Ltd. (TSXV: MIO; Frankfurt: WKN 906167) today announced it has paid $500,000 and issued 500,000 Mindoro common shares to Panoro Minerals Ltd. pursuant to the company's purchase of Panoro's 40% interest in a package of properties in the Surigao Gold District of Northern Mindanao, the Philippines.
This payment is in addition to $750,000 cash paid to Panoro plus 500,000 Mindoro common shares previously issued on April 10, 2007. Under the terms of the Purchase and Sale Agreement, in the event that the nickel laterite prospect located on the Agata project should proceed to production and upon shipment of an aggregate one million tonnes of nickel laterite, Mindoro will pay Panoro $500,000 cash plus an additional $500,000 cash payment on the first anniversary of the shipment.
ABOUT THE AGATA NORTH PROJECT
Mindoro is continuing to fast-track the direct shipping ore (DSO) scenario for Agata North with the objective of achieving production in 2008, subject to receipt of all relevant permits. Permitting work is well advanced, and one of the key permits, the Environmental Compliance Certificate (ECC), has passed through initial approval stages and is now waiting final approval from the Secretary of the Department of Environment and Natural Resources (DENR).
As reported on March 25, 2008, the current objective on the Agata North project is to define a NI 43-101 compliant resource, initially adequate for three to five years of production at a rate of one million wet metric tonnes (WMT) per annum of DSO material for the ferro-nickel markets of China, India and Korea.
The reader is cautioned that the nickel laterite mineralization at both the Agata North and South projects are currently exploration targets only. The company has not yet established mineral resources or mineral reserves that would support a commercial mining operation. There is no guarantee that future exploration will result in the discovery of mineral resources or that these resources, if delineated, will be economic or sufficient to support a commercial mining operation. Until a feasibility study has been completed there is no certainty that the company's projections will be economically viable.
ABOUT THE AGATA SOUTH PROJECT
On August 23, 2007, Mindoro announced it had reached agreement with Delta Earthmoving Inc., an experienced nickel laterite mining contractor, to explore, and advance to production if warranted, the Agata South nickel laterite project. The agreement does not cover Agata North. Mine planning is advancing for an initial DSO operation, to commence in conjunction with the Agata North Project. This gives Mindoro the opportunity to advance another nickel laterite prospect to production at no risk or cost and the potential to share in additional significant cash flow.
ENHANCED VALUE, ON-SITE PROCESSING ALTERNATIVES -- PILOT SAMPLE COLLECTION
It is Mindoro's strong conviction that, given the large tonnage potential of the Mindoro Surigao tenement, the real future for the company's nickel laterite prospects is for the establishment of an enhanced value, on-site processing plant; therefore, Mindoro is actively evaluating various processing alternatives. One of these promising technologies is for a new generation of High Pressure Acid Leach (HPAL) plants. The new generation HPAL plants are being used by Sumitomo on its Philippine Coral Bay operation, where it recently announced a doubling of capacity at Coral Bay, as well as plans to construct a new HPAL plant in the Surigao District.
A 125-kilogram mini-bulk sample of limonite material (lower nickel and high iron) grading 1.0-1.2% nickel and greater then 40% iron, and a 20 kilogram sample of saprolite material (higher nickel and lower iron) grading 1.50% nickel and under 20% iron have been collected and sent to a pilot high-pressure acid-leach (HPAL) testing laboratory.
Programs are carried out under the supervision of Tony Climie, P.Geol. President of Mindoro, who is a qualified person as defined by National Instrument 43-101. Sample preparation and assaying is being performed by McPhar Laboratory of Manila, an ISO 9001/2000 accredited laboratory. Ni, Co, Fe, MgO and Al2O3 assays are performed by AAS after an HCl-HNO3-HClO4 digest, and SiO2 by gravimetric method. Normal Quality Control and Quality Assurance procedures are being carried out, using a system of duplicate, standard and blank samples.
Mindoro is a Tier 1 Issuer trading on the TSX Venture Exchange (MIO) and the Frankfurt Stock Exchange (WKN 906167). In addition to advancing the Agata nickel laterite project towards production, Mindoro has announced an initial 43-101 compliant gold-silver mineral resources estimate on its Kay Tanda gold-silver project, and is proceeding to advance this project. The Company has also identified 22 porphyry copper-gold prospects in the Philippines and has an aggressive strategy of drilling multiple targets in 2008.
For further information, contact:
Executive Vice President
Ascenta Capital Partners Inc.
Toll Free: 1.866.684.4209 ext. 228
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
This release may contain forward-looking statements including management's assessments of future plans and operations, and expectations of future production. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks include, but are not limited to, the risks associated with the mining and exploration industry (e.g. operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production). The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
You can view the Next Press Releases item: Wed Apr 30, 2008, Starter Resource Estimates Released for Agata North Nickel Laterite Project
You can view the Previous Press Releases item: Wed Apr 2, 2008, Mindoro Signs Benefits Sharing Agreement With Indigenous Community
You can return to the main Press Releases page, or press the Back button on your browser.