Kola Mining Corporation: Souker Project Test Results
July 09 2010 - 8:30AM
Marketwired
Kola Mining Corporation ("Kola Mining", "the Company") (TSX
VENTURE: KM)(FRANKFURT: C8M) announces that, further to its news
release of April 6, 2010, the Company is in receipt of preliminary
results of the metallurgical tests for the Souker Nickel deposit.
The preliminary results indicate that the recovery of nickel in the
deposit is much lower than anticipated. These tests were conducted
by Moscow Steel and Alloys Institute. At this time additional
follow up work is required, however if there is no improvement in
recovery rates, the Company believes the project to be uneconomical
at today's nickel prices.
The Company is considering its options for the project and will
apply to the State Resource Committee (the GKZ) in order to extend
the license term and to keep the property until, and in the event
that, technical advances are made that would allow for better
metallurgical recoveries. The Company will be recording an
impairment charge to the carrying value of the Souker project in
its financial statements.
On behalf of the Board of Directors of KOLA MINING
CORPORATION
Victor Tskhovrebov, President & C.E.O.
Forward Looking Statements. This Company Press Release contains
certain "forward-looking" statements and information relating to
the Company that are based on the beliefs of the Company's
management as well as assumptions made by and information currently
available to the Company's management. Such statements reflect the
current risks, uncertainties and assumptions related to certain
factors including, without limitations, competitive factors,
general economic conditions, customer relations, relationships with
vendors and strategic partners, the interest rate environment,
governmental regulation and supervision, seasonality, technological
change, changes in industry practices, and one-time events. Should
any one or more of these risks or uncertainties materialize, or
should any underlying assumptions prove incorrect, actual results
may vary materially from those described herein.
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: Kola Mining Corporation 604.694.1600
www.kolamining.com