24 September 2007 LSE: AYM
During this period the company continued with the development of its two major projects - base metals at Parys Mountain in Wales and iron ore in Labrador, eastern Canada. On 20 July 2007 an institutional placing of £1,100,000 before expenses was completed which enabled the company to increase its activities. On 12 September a preliminary prospectus was filed in Toronto in respect of a proposed fund-raising in Canada for the further development of the groupís Labrador iron ore project.
The results for the year ended 31 March 2007 were issued on 29 June 2007. The annual report is expected to be published within the next two weeks.
At Parys Mountain, international consultants Micon International Co Ltd (Micon) delivered a Scoping Study for the separate development of the White Rock area west of the existing shaft. The study indicates that, even as a stand alone operation, White Rock is a viable project and can make significant positive cash returns. The company intends to amend its development plans for the Parys Mine so that the White Rock area is mined first; this will pave the way for the subsequent development in a second phase of the Engine Zone most of which is deeper and higher in grade than the White Rock.
Application has been made to the Local Authority for detailed approval of the revised site plans and quotations are now being obtained for fencing, excavation, portal design and construction, and other works. The environmental baseline studies are being reviewed and updated where necessary. Quotations are also being sought for the work required to undertake a bankable feasibility study of the White Rock project. Further funding will be needed to proceed beyond these activities towards full scale development.
Extensive work has been carried out during the period on a proposed fund raising for the Labrador project. This resulted in a decision to float the Labrador iron ore operations in Canada subject to shareholder approval and a number of regulatory clearances. The filing of the preliminary prospectus in Toronto on 12 September is the first step towards the fund raising and flotation.
The group is now strongly placed to take advantage of the current levels of interest in iron ore. A successful completion of the Initial Public Offering will revitalise the Labrador operations and result in very significant progress for the Labrador project and for the company.
Parys activities are gearing up to a level not seen since 1991; by starting with the White Rock area first, it will be possible, subject to financing, to get into production quickly and generate a cash flow to complete the development required to reach the richer resources of the Engine zone later. The advantages of this approach are significant.
Anglesey Mining plc is a UK based company listed on the London Stock Exchange with two major projects under active development towards mining production.
For further details:
Ian Cuthbertson, Finance Director +(44) 1248 361333
Bill Hooley, Executive Director +(44) 1492 541981
John F. Kearney, Chairman +(1) 416 362 6686
Parkgreen Communications +(44) 20 7851 7480
|Anglesey Mining plc
Parys Mountain, Amlwch,
Anglesey, LL68 9RE, UK
|Phone +44 1248 361333