BRR Braemore Res

RNS Number:7873G
Braemore Resources PLC
01 November 2007


01 November 2007

                             Braemore Resources Plc
                         ("Braemore" or "the Company")

                     First Nickel Production from Testwork
                                      and
  Appoints SNC-Lavalin to Conduct Pre-feasibility Study for Plant at Leinster

Braemore (AIM:BRR) announces the successful completion of the program of
testwork at Outotec's research facilities in Pori, Finland for the extraction of
nickel from the BHP Leinster tailings dams in Western Australia. The continuous
pilot plant hydrometallurgical testwork allowed the optimisation of process
parameters and demonstrated the first production of nickel sulphate solutions as
well as sulphate solutions of by-product base metals, copper, cobalt and zinc.
Furthermore the program allowed for the first production of high purity nickel
metal through electro-winning. The first metal products to be produced by this
leaching technology were presented to Braemore during a visit to Outotec last
week.

This represents an important step in the feasibility studies currently underway
for the development of the first commercial leach plant to process Leinster
nickel sulphide tailings.

The rapid leaching of the nickel from the tailings, with nickel yields and
dissolution rates of 95% to 96% in 8 to 12 hours was achieved using direct
leaching technology. Leach testwork also demonstrated that by-products of
copper, cobalt and zinc could be produced with high recoveries in the Solvent
Extraction stage (Copper 100%, Zinc 99.7% and Cobalt 99%).

The economic evaluation of the process is now being rerun with the results of
the final testwork, to be submitted to BHP in the first quarter of 2008. The
definitive feasibility study into the establishment of a tailings leaching
facility adjacent to the Leinster Tailings dams in Western Australia is expected
to be completed by June 2008. Commissioning of this first Direct Leach Nickel
Processing Plant is planned for 2009.

Pre-Feasibility Study for Sulphuric Acid Plant

Braemore has entered into an agreement with SNC-Lavalin, a global leader in the
design and construction of Sulphuric Acid Plants, to conduct a Pre-Feasibility
study for a Sulphuric Acid Plant for the Leinster Nickel Tailings Project in
Western Australia.

Managing Director Hamish Bohannan said: "These results represent a significant
achievement for Braemore, supporting our faith in the direct leach process for
the recovery of nickel metal from tailings. We are particularly pleased with the
quality of the plated high purity nickel metal and the high recoveries of the
secondary base metals."

                                      ENDS


For further information contact:
+---------------------------+--------------------------+--------------------------+
|Braemore:                  |Nabarro Wells & Co.       |Parkgreen Communications  |
|                           |Limited                   |                          |
|Mr Hamish Bohannan         |                          |Justine Howarth           |
|                           |Mr Hugh Oram              |                          |
|Managing Director          |                          |Erica Nelson              |
|                           |Director                  |                          |
|Braemore Resources Plc     |                          |Tel: +44 20 7851 7480     |
|                           |Tel: +44 20 7710 7400     |                          |
|Tel (Office): +61 8 9218   |                          |                          |
|8833                       |                          |                          |
|                           |                          |                          |
|Tel (Mobile):+61 419 234   |                          |                          |
|770                        |                          |                          |
+---------------------------+--------------------------+--------------------------+


Notes to Editors:

Braemore Resources Plc

Braemore Resources Plc is public company listed on the Alternative Investment
Market of London Stock Exchange.

Braemore acquired all of the issued capital of Western Consolidated Nickel Pty
Limited ("WCN") from Atomaer in July 2005.

WCN has sole rights to conduct pilot plant test work and a Definitive
Feasibility Study on the reclamation and processing of sulphide nickel tailings
at BHP Billiton's nickel operations at Leinster.

WCN may proceed with the development and operations of commercial plants to
process sulphide nickel tailings to produce nickel products at the Leinster
Nickel Operations (the Project) and subsequently at Kambalda and Mt Keith if the
Definitive Feasibility Study for the Project satisfies the project criteria.

Independent consultant, CSA Australia has completed a resource statement for
three of the tailings storage facilities making up the Leinster Tailings
Project.  A JORC compliant Mineral Resource estimate of 29.6 million tonnes of
sulphide nickel tailings at an average grade of 0.46% nickel has been
determined, containing 135,000 tonnes of nickel.  In addition, AMC Consultants
independently estimated approximately 134.6 million tones of tailings containing
350,758 tonnes of nickel based on historic mill records of the sulphide tailings
at the Kambalda and Mt Keith operations.

The Tailings Supply Agreement also provides exclusive rights to BHP Billiton to
purchase all nickel product from the Project that complies with product
specifications.

Mick Elias of CSA Australia Pty Ltd has reviewed the resource estimates
contained herein. He is a Chartered Professional and a Fellow of the
Australasian Institute of Mining and Metallurgy and has sufficient experience,
which is relevant to the style of mineralization and type of deposit under
consideration, and to the activity he is undertaking, to qualify as a Competent
Person in terms of the 'Australasian Code for Reporting of Exploration Results,
Mineral Resources and Ore Reserves' (JORC Code 2004 Edition). Mick Elias
consents to the inclusion of such information in this Report in the form and
context in which it appears. Mick Elias is a non-executive director of Braemore.

Independence Platinum Limited

Independence has been established for the purposes of financing and investing in
the evaluation, development and operations of Independence Base Metals Refiners
(Pty) Ltd, Independence Platinum Resources (Pty) Ltd and Independence Precious
Metals Refiners (Pty) Ltd in South Africa.

Braemore acquired control of Independence, an unlisted company registered in
England and Wales in December 2006.

Braemore through Independence is implementing plans to evaluate, establish and
operate independent base metals refining facilities for the smelting and
refining of sulphide concentrates containing platinum group metals ("PGM") from
emerging platinum producers in South Africa.

The new smelting and refining facilities are being evaluated in terms of an
initial capacity to process 360,000 tonnes of sulphide concentrates containing
platinum group metals ("PGM") per annum, to extract and produce up to 30,000
tonnes of nickel metal, 15,000 tonnes of copper metal and 1,000,000 ounces of
PGM in a high grade PGM iron alloy for subsequent precious metal refining.

There are some 25 new PGM projects under review in South Africa at present with
only a few of these having offtake agreements with the major PGM producers, who
require concentrates meeting exacting specifications in terms of low chrome and
nickel content.  Most of these newer projects would produce concentrates with
higher chrome and nickel contents which are metallurgically challenging for
traditional "6-in-line" smelters.

Consequently, there is an urgent requirement for a new independent smelter
applying new smelting technology that can accommodate such "difficult"
concentrates.  Independence with its proven patented ConRoast smelting
technology, licensed from Mintek in South Africa has the ability to process
these ores.

Braemore is proceeding with the implementation of plans for the development and
operation of independence smelting and base metals refining facilities in South
Africa.




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            The company news service from the London Stock Exchange

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