Ormonde Mining PLC Barruecopardo Progress Update (7367R)
November 22 2012 - 2:00AM
UK Regulatory
TIDMORM
RNS Number : 7367R
Ormonde Mining PLC
22 November 2012
22 November 2012
Ormonde Mining plc
("Ormonde" or "the Company")
Barruecopardo Progress Update
The Board of Ormonde is pleased to provide an interim update on
progress in connection with permitting and capital funding of its
flagship Barruecopardo Tungsten Project in Salamanca, Spain
("Barruecopardo" or the "Project"). This follows submission of the
final permitting documentation to the Provincial and Regional
Governments at the end of July 2012.
Main Points
-- Permitting process is proceeding well, with public and
private presentations undertaken by Saloro SLU ("Saloro"),
Ormonde's wholly-owned subsidiary through which Barruecopardo is
held, to various groups and public bodies to inform on the proposed
new mining operation at Barruecopardo.
-- Strengthening of the Saloro management team is underway
including the identification of a suitable candidate for company
President.
-- Debt funding activities now proceeding to term sheet stage
with a number of financial institutions.
-- Joint venture negotiations also continuing following receipt
of indicative offers from potential industry partners.
Relationships with off-takers have been maintained but final
contracts will await completion of capital funding
arrangements.
-- Land acquisition activities are proceeding based upon rental
agreements incorporating a right to purchase, following a separate
agreement with the local council.
-- The Company continues to work towards plant commissioning in
Q4 2013, with attainment of this schedule predicated on the
securing of project financing, the granting of the mining
concession and the agreed acquisition of the outstanding land
plots.
-- On technical matters, the preliminary engineering design work
on the comminution and gravity-jig circuits has been completed with
this portion of the process flowsheet now ready for detailed
layout.
Kerr Anderson, Ormonde's Managing Director, commented:
"We have been focussing our efforts on communicating our
proposals for the Barruecopardo Tungsten Project at both local and
provincial levels whilst the permitting documentation is processed
by the relevant government departments. In parallel, the robust
economics of the Project provides the Company with good
optionality, and we have made significant progress in relation to
capital funding, having now received indicative offers from
potential joint venture partners, and with debt funding activities
proceeding to term sheet stage with a number of financial
institutions."
Detail
Following submission of the final permitting documents to the
Junta de Castilla y Leon at the end of July 2012, several
(on-going) public and private presentations have been made by
Ormonde's wholly-owned subsidiary Saloro (the company which is
developing the Project), to community groups, public bodies and the
media, to inform on the proposed new mining operation at
Barruecopardo. These presentations are being carried out at both
local and provincial level.
A restructuring of Saloro from a sole administrator company to a
company governed by a Board of Directors will be implemented
shortly. In addition, the Saloro management team is being
strengthened as it moves towards the development stage of the
Project, and sourcing of a suitable candidate for company President
is now underway.
Debt funding activities are now proceeding to term sheets stage
with a number of financial institutions. This will lead on to the
selection of the preferred debt funding option for the Project. In
addition, negotiations with potential joint venture parties
continue, following the receipt of indicative offers. Relationships
with potential offtake parties are being maintained, however the
Company will not conclude any offtake agreement until a full
funding package for the Project has been finalised.
Saloro is continuing with its land acquisition programme which
is based upon a rental agreement with a right of purchase following
a separate agreement with the local council. These acquisition
activities will proceed in conjunction with the permitting process;
however, if it is not possible to conclude lease deals on all of
the required plots by the time the mining concession is granted,
Spanish law provides for a compulsory acquisition process through a
well-established procedure.
The preliminary engineering design work on the comminution and
gravity-jig circuits has been completed with this portion of the
process flowsheet now ready for detailed layout. This detailed
layout is included in the Projects capital cost estimate of EUR48.5
million as reported in the results of the Definitive Feasibility
Study announced in February 2012.
Kerr Anderson PhD EurGeolPGeo, Managing Director of Ormonde, and
a qualified person as defined in the Note for Mining, Oil and Gas
Companies, June 2009, of the London Stock Exchange, has reviewed
and approved the technical information contained in this
announcement.
A glossary explaining technical terms contained in this
announcement can be found at
www.ormondemining.com/en/investors/technical_glossary.
For more information please visit www.ormondemining.com or
follow Ormonde on Twitter https://twitter.com/ormondemining or
Linkedin http://www.linkedin.com/company/ormonde-mining-plc
Enquiries to:
Ormonde Mining plc
Kerr Anderson, Managing Director Tel: +353 (0)1 8253570
Bankside Consultants
Simon Rothschild Tel: +44 (0)20 7367 8888 Mob: +44 (0)7703 167065
Murray Consultants
Ed Micheau Tel: +353 (0)1 4980300 Mob: +353 (0)86 803 7155
Davy (Nomad / ESM Adviser)
Eugenée Mulhern / Roland French Tel: +353 (0)1 6796363
ENDS
About Ormonde
Ormonde Mining Plc is admitted to trading on the AIM market in
London and the ESM market in Dublin. Ormonde is a mineral
development and exploration company focused on Spain (Ticker:
ORM).
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCGMMZMNMDGZZM
Ormonde Mining (AQSE:ORM)
Historical Stock Chart
From Jul 2024 to Aug 2024
Ormonde Mining (AQSE:ORM)
Historical Stock Chart
From Aug 2023 to Aug 2024