Premier African Minerals Limited / Ticker: PREM / Index: AIM / Sector: Mining
Premier African Minerals Limited
("Premier" or the "Company")
Update on RHA Tungsten Mine
Premier African Minerals Limited, the AIM-traded, multi-commodity mining and resource development company focused on Southern and Western Africa, is pleased to provide an update on the RHA Tungsten Mine ("RHA"), in which the Company is the operator and holds a 49% interest.
Highlights
· Re-equipping of the 120 meter vertical shaft nearing completion;
· First ore from 870 level expected at surface during April 2016;
· Improving grades from ore processed off 926 level expected to see WO3 concentrate shipments resume shortly;
· Positive operational cash flow from RHA (before capital expenditure and working capital) expected when first ore from 870 level is processed and crushing circuit upgrades installed; and
· Upgrades to crushing circuit planned for this month.
George Roach, CEO, commented: "Re-equipping the 120 meter existing vertical shaft at RHA has taken a little more time than was originally expected but with all equipment now on site and power reticulation installed, this project is nearing completion and ore will arrive at surface during this month. Upgrades to the crushing circuit have been agreed by Premier's consultant and Appropriate Process Technologies (APT), who have been instructed to proceed immediately at their expense. The total cost of the crushing circuit upgrade is expected to be less than US$100,000 and take less than two weeks to install and commission once all components are at site at RHA. I am pleased to report that Premier has dramatically reduced fixed expenditure at RHA and we remain confident that as and when 870 ore is processed at the grades indicated, and through-put and recovery meet design criteria, RHA will operate profitably."
This release should be read in conjunction with Premier's RNS of the 18th January 2016 when underground development was discussed in some detail.
Forward Looking Statements
Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors. A number of factors could cause actual results to differ materially from the results discussed in the forward looking statements including risks associated with vulnerability to general economic and business conditions, competition, environmental and other regulatory changes, actions by governmental authorities, the availability of capital markets, reliance on key personnel, uninsured and underinsured losses and other factors, many of which are beyond the control of the Company. Although any forward looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions, the Company cannot assure investors that actual results will be consistent with such forward looking statements.
Enquiries
Pamela Hueston |
Premier African Minerals Limited |
Tel: +44 (0) 755 778 3855 |
Michael Cornish / Roland Cornish |
Beaumont Cornish Limited (Nominated Adviser) |
Tel: +44 (0) 207 628 3396 |
Jerry Keen/Edward Mansfield |
Shore Capital Stockbrokers Limited |
Tel: +44 (0) 207 408 4090 |
Charles Goodwin/Aidan Stanley /Dominic Barretto |
Yellow Jersey PR Limited |
Tel: +44 (0) 7584 085 670 |
Notes
Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and resource development company focused in Southern and Western Africa with production started at its flagship RHA project in Zimbabwe.
The Company has a diverse portfolio of projects, which includes tungsten, rare earth elements, gold, lithium and tantalum in Zimbabwe and Benin, encompassing brownfield projects with near-term production potential to grass-roots exploration. The Company also holds 2 million shares in Circum Minerals Limited ("Circum"), the owners of the Danakil Potash Project in Ethiopia, which has the potential to be a world class asset. At present those shares are valued at US$4 million based on the latest price at which Circum has accepted subscriptions.
Glossary of Technical Terms
"WO3": tungsten trioxide.
ENDS
