Widespread's Asian Minerals details nickel reserve increase

 

New Zealand Exchange Limited
P.O. Box 2959
Wellington

 

31 July 2010

Dear Sir,

Widespread’s Asian Minerals details nickel reserve increase     

 

Asian Mineral Resources (“ASN”) is one of Widespread’s largest investments. This 4.3% shareholding (presently held at independent valuation based on our share of net assets) represents 24.7% of Widespread’s total assets.    

 

ASN made the announcement below in Canada last night concerning a 50% increase in reserves in the massive sulphide ore body. It follows recent announcements about increased resource status in each of the two ore bodies at Ban Phuc.

 

As the report notes, “the increase in reserves will have a major impact on the project economics and will afford ASN the flexibility to increase mine output to take advantage of spare capacity in the current Ban Phuc process plant design. This is expected to translate to a significant increase in annual metal production”.

 

This is more good news for ASN that might one day be noticed by market observers.

 

For and on behalf of the Board,

 

Chris D Castle

Onekaka   

31 July 2010 

 

 

TSX-Venture: ASN

120 Adelaide Street West, Suite 2500, Toronto, Ontario  M5H 1T1

Email: info@asianminres.com

 

 

 

 

Asian Mineral Resources Ltd announces 50% increase to Ban Phuc nickel reserves

 

 

Toronto, Ontario – July 30, 2010, Asian Mineral Resources Limited (“AMR”) (TSX-V: ASN) announced today an increase in the massive sulphide Ni/Cu reserves at its Ban Phuc project in north western Vietnam. The 36,000t of nickel estimated to be contained in the proven and probable reserves is an increase of 12,000t Ni (+50%) over previously reported estimates. The estimated contained copper has also increased by 6,000t (+60%) and now stands at 16,000t (Table 1).

 

Table 1: Ban Phuc Project Reserve Statement

The Qualified Person for the new reserve estimate and National Instrument 43-101 compliance is Chris Desoe, BE (Mining), Member of the Australasian Institute of Mining and Metallurgy (MAusIMM), Member Mineral Industry Consultants Association, of Australian Mine Design and Development Pty Ltd (AMDAD). Mr. Desoe 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 act as a Qualified Person as defined by NI 43-101. Mr. Desoe consents to the inclusion of such information in this news release in the form and context in which it appears.

 

 “This result further demonstrates the potential of our Ban Phuc asset and comes on the back a successful campaign targeted at improving project value. The increase in reserves will have a major impact on the project economics and will afford us the flexibility to increase mine output to take advantage of spare capacity in the current Ban Phuc process plant design. We expect this will translate to a significant increase in annual metal production” commented Rob Guest, CEO of AMR.

 

The experience gained during the development of the two portals (Figure 1) and the exposure of the orebody on two separate horizons provided valuable insight into the geology and ground conditions that can be expected during production and this, together with the increased confidence in the resource, precipitated a review of the mine design. Geotechnical studies concluded that the level spacing could be increased from 15m to 20m. In addition the success of the strike drilling program, which confirmed that the deposit is open down dip to the west led to a repositioning of the lower access decline to optimize tramming distances and improve productivity (Figure 2).

 

Figure 1: Massive sulphide reserves, current infrastructure in red, proximity of “Select” disseminated – Plan View.

 

 

Figure 2: Massive sulphide reserves (green & blue), current (red) and design infrastructure – Long Section

 

 

Quality Assurance and Contributing Experts

EXPERT PERSON / COMPANY	AREA OF EXPERTISE
Dr Bielin Shi (CSA Global Pty Ltd)	Geological modeling, resource modeling, resource estimate. See Press Release 9 June 2010.
Robert Bertuzzi (Pells Sullivan Meynink)	Underground stope pillar, and crown pillar sizes, geotechnical, and expected dilution estimates.
Doug Parbery (AMDAD)	Underground operations including methods of mining, dilution/loss, mining inventory estimate. Underground design, schedules and estimation of mineral reserves tons and grade.
Robert Guest (AMR/Ban Phuc Nickel Mines)	Operating costs, process assumptions, metal prices, selling costs, assessment of project viability based on life of mine schedule.

The technical information supplied to AMDAD was reviewed by Simon Mottram, MAusIMM and an AMR employee. Mr. Mottram is a Qualified Person as defined by National Instrument 43‐101. For more detailed information regarding the Ban Phuc massive sulphide deposit please refer to Technical report (NI 43-101) - English  - August 2007, that can be found at www.sedar.com.

 

Company Profile:

Asian Mineral Resources Limited operates in Vietnam through its 90% owned Vietnam subsidiary Ban Phuc Nickel Mines LLC which is developing the Ban Phuc sulphide deposit in Son La province 5 hours drive north-west of Hanoi. Construction of the project, which is targeting the production of 60,000tpa of concentrate containing nickel/copper/cobalt was suspended in October 2008 when metal prices were under pressure from the world financial crisis. With over 1,000m of u/g development and 80% of all plant equipment purchased, the project is approximately 65% complete and work can recommence once funding has been secured. For further information, please refer to the company website at www.asianminres.com or contact:

 

 

Rob Guest, CEO #9 Nguyen Hong Street Ba Dinh District, Hanoi, Viet Nam T:   +84 4 3773 7997 F:   +84 4 3773 7996 Email:  rguest@banphucnickel.vn

Paula Kember, CFO 120 Adelaide Street West, Suite 2500 Toronto, ON M5H 1T1 T: 416 360 3412 F: 416 367 1954 E:  info@asianminres.com

 

 

Forward-Looking Statements

This press release includes certain "Forward-Looking Statements." All statements, other than statements of historical fact, included herein, including without limitation, statements regarding potential mineralization 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.