MBMI Subsidiaries Issued Nickel Mine Development Permitsadmin
MBMI RESOURCES INC. is pleased to advise that, the Company’s Philippine subsidiary has been granted all requisite mining, and environmental permits to commence development and mining on the Alpha nickel property in Narra, Palawan, Philippines. The granting of these permits marks a milestone in an extensive process and enables the Company’s subsidiary to commence the extraction, beneficiation, and stockpiling of raw nickel products in preparation for shipment to Asian nickel purchasers. Construction of the road accessing the permitted mining areas has begun. Substantial progress has been made toward completing all infrastructure required to develop this project, including processing, stockpiling area, the office complex, assay laboratory facilities and shipping facilities. Subject to weather conditions, shipments of product to Asian consumers should commence prior to the end of the second quarter of 2007.
Demand for nickel ore, across all grade ranges from 1% to above 2% nickel ore grade, exceeds supply by a large margin, and nickel prices continue to rise to historical highs. The price received for nickel laterite ore is calculated as a percentage of the LME price; while, the percentage varies according to the nickel grade and is calculated on the contained nickel content of the ore, on a dry basis.
Initial revenues from the project will fund additional exploration and development programs on the property that will support the social and economic development of the local communities in the Narra region and the province of Palawan. The Company’s subsidiary has funded construction of a Tree Nursery that will enable re-vegetation of its permitted claim areas, provide the local inhabitants with cash crop seedlings, supplement the government’s vegetation program, and provide educational programs for purposes of production of cash crops in the region. MBMI and its Philippine partners are committed to establishing an environmentally compliant operation that will stand as a model for responsible mining in the country and region. (The Company has not completed a feasibility study and there is no certainty that the proposed operations will be economically viable.)
Palawan, Philippines has been exporting raw nickel material for approximately 25 years, and the Alpha project is ideally located to supply the expanding Asian nickel and stainless steel markets.
MBMI and its Philippine partners jointly control a 100% interest in eight nickel laterite projects in Palawan and Samar, Philippines covering an area of 22,000 hectares where the objective is to develop a series of major suppliers of high-grade nickel products to the primary nickel consumers in Asia.
Forward Looking Statement
This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, statements regarding potential mineralization, exploration results, resource or reserve estimates, anticipated production or results, sales, revenues, costs, “best-efforts” financings or discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from either of the Companies’ expectations are in Company documents filed from time to time with the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com. The Company disclaims any intention or obligation to revise or update such statements.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
David G. Tafel MBMI Resources Inc. VP Corporate Development (604) 683-1991 or Toll Free: 1-877-399-1991 (604) 683-8544 (FAX) Email: firstname.lastname@example.org
Source: MBMI Resources Inc.