Asian Mineral Resources Limited (“AMR” or the “Company”) (TSX VENTURE:ASN) announced today that Ban Phuc Nickel Mines subsidiary has entered into an EPCM contract with Metplant Engineering Services Pty (a member of the Bateman Engineering Group) (“Metplant”) for its Ban Phuc Nickel Project for which a mining license was received in mid-December (see press release December 17, 2007). Until now, Metplant had been providing services on a purchase order basis.
The decision has also been made to take advantage of the full 450,000 tonne per annum (“tpa”) nominal capacity of the refurbished ball mill by reconfiguring the plant design so that the rest of the circuit also has the capacity to handle this tonnage. To meet current mine production expectations of 300,000 tpa the plant will be operated on reduced hours on a campaign basis. The plant modifications include larger pumps, a larger thickener and filter, an extra cyclone and a second concentrate surge tank at a total estimated cost increase of US$2 million and a one-month extension of the construction period. The benefits to be gained from these modifications include:
-The ability to do preventative maintenance between processing campaigns thereby improving plant efficiencies without negatively impacting production,
-greater flexibility to customise and optimise the circuit and/or reagent regimes for different ore types,
-the availability of the ‘spare’ plant capacity for such a low capital cost will allow a review of the economic cut off grade for marginal ore, and
-creating significant ‘spare’ processing capacity which will be readily available to handle increased ore production.
“The EPCM contract signing is a significant milestone for Ban Phuc and the process plant capacity expansion made in consultation with Metplant to take full advantage of ball mill capacity with an acceptable increase in capital cost is a rational, conservative decision as we continue to make excellent progress with project development,” commented Jim Askew, AMR’s Chair.
Asian Mineral Resources Limited is currently engaged in the development of the Vietnamese located Ban Phuc Nickel Project in which it currently has a 90% interest. The project is designed to initially produce some 5,000 tonnes of nickel (and associated copper) in concentrate per year, with commissioning scheduled for early 2009.
For further details on the Co and the Ban Phuc Nickel Project please refer to the website at www.asianminres.com.
This press release includes certain “Forward-Looking Statements.” All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralisation and reserves, exploration results and future plans and objectives of Asian Mineral Resources Limited are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Asian Mineral Resources Limited’s expectations are disclosed under the heading “Risk Factors” and elsewhere in Asian Mineral Resources Limited documents filed from time-to-time with the TSX Venture Exchange and other regulatory authorities.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
Asian Mineral Resources Limited
Fax: (416) 367-1954
Asian Mineral Resources Limited
President & CEO
+84 4 943 3462
Fax: +84 4 943 3460
January 29, 2008