DMR Damara Gold Corporation

Mr. Ian Rozier, President and CEO of Eastern Platinum Limited
(TSX:ELR)(AIM:ELR)(JSE:EPS) ("Eastplats" or the "Company") is pleased to provide
an update on New Order Mining Rights, power delivery, and water supply
arrangements, for the development of the Company's mining projects on the
Eastern Limb of the Bushveld Complex in South Africa.


The New Order Mining Right for the Mareesburg project, which includes all
platinum group metals, base metals and chrome in the UG2 reef horizon, has been
granted to Lion's Head Platinum (Pty) Ltd. (a subsidiary of Eastplats), by the
South African Department of Mineral Resources ("DMR") under the terms of Section
22(1) of the Minerals and Petroleum Resources Development Act 2002. The
associated Environmental Management Programme ("EMP") was also approved at the
same time as the Mining Right was granted.


In accordance with the approved EMP and the Social and Labor Plan ("SLP")
accompanying the Mareesburg mining right, the development of the Mareesburg and
Spitzkop projects could generate approximately 1,600 jobs and directly benefit
the nearby communities of Lydenburg and Steelport. (The New Order Mining Right
to mine all platinum group metals, base metals and chrome was granted to
Spitzkop Platinum (Pty) Limited, a subsidiary of Eastplats, in 2009).


The planned development of the Mareesburg open-pit mine could result in an
increase in Eastplats' annual production to approximately 325,000 ounces in 2013
(see news release dated June 3, 2010). Under this plan, a 90,000 tpm
concentrator would be located on the Kennedy's Vale site and the planned rapid
production ramp-up at Mareesburg would allow the concentrator to ramp up quickly
to full capacity immediately upon commissioning. To accommodate future capacity
increases, the plant at Kennedy's Vale would include the civil and other surface
infrastructure work required for an additional 90,000 tpm processing stream and
appropriate tailings facility infrastructure to process up to 180,000 tpm of
ore.


Mareesburg would initially be an open-pit mining operation and consequently
require little power. A power line currently provides 800 KVA across the
Mareesburg property and this would be adequate to run administration and
workshop/maintenance facilities with any further power requirements to be
provided by on site diesel power generators.


The Company has already secured 3MVA of power for the construction phase for the
concentrator at the Kennedy's Vale site. With respect to permanent operating
power for the concentrator and for the Spitzkop mine, the Company has applied
for 40 MVA of installed capacity, of which 20MVA would be required for the
initial 90,000 tpm plant. Eastplats has paid the necessary fees to initiate the
acquisition of power and Eskom has commenced the engineering work.


Eastplats has water supply rights in place to support an 180,000 tpm mining
operation from the De Brochen Dam, and has the rights to participate in the De
Hoop water supply scheme that would allow for water supply to support a further
100,000 tpm processing stream.


"The recent granting of New Order Mining Rights for Mareesburg and the securing
of construction power at Kennedy's Vale along with our existing water rights now
provides us with all the third party support for us to begin the phased
development of our multiple properties on the Eastern Limb. This is in line with
our long term growth plan to significantly increase Eastplats' production,"
stated Ian Rozier, President and CEO.


Eastplats will release its full third quarter results on Monday, November 15, 2010.

Total shares issued and outstanding - 683,179,000

Cautionary Statement on Forward-Looking Information

Certain statements included herein constitute "forward-looking statements"
within the meaning of applicable Canadian securities legislation. These
forward-looking statements are based on certain assumptions by Eastplats and as
such are not a guarantee of future performance. Such statements include those
about the commencement of development of the Eastern Limb projects and future
production levels. Actual results could differ materially from those expressed
or implied in such forward-looking statements due to factors such as general
economic and market conditions, increased costs of production and a decline in
metal prices. Eastplats is under no obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by applicable laws.


S&P TSX Composite Index

Damara Gold (TSXV:DMR)
Historical Stock Chart
From Nov 2024 to Dec 2024

Damara Gold (TSXV:DMR)
Historical Stock Chart
From Dec 2023 to Dec 2024