RE: RE: Rob McEwenWith 34.5 million in the till a firm gold price and the addition of Peter Buck and Ross Ashton to the team its blue sky ahead folks.
We continue to focus on gold deposits with higher grades and lower capital costs. An aggressive $12 million exploration budget has been set aside for 2011 to upgrade our current resources at Obotan and Kubi and, to locate new discoveries within our extensive land holdings in Ghana.
We are looking at options to build a mine/mill complex at Obotan with feed provided by a pit cut at Nkran, from the underground deposit and from satellite pit operations, potentially including underground from Kubi.
Scoping and feasibility level studies will be advanced through 2011, with financing and construction thru 2012.
Gold production is planned for 2013.
Previous Managing Director of RED BACK MINNING Ross Ashton joins PMI Gold
Commenting on the appointments of Messrs. Buck and Ashton (Members AUSIMM), PMI Gold CEO, Douglas MacQuarrie stated "PMI Gold is pleased to be able to attract such experienced and respected Australian Directors to join the Board of the Company following its proposed Australian listing. Mr. Buck has been associated with the discovery and development of a number of mineral deposits in Australia and Brazil, and Mr. Ashton was the founding Managing Director of Red Back Mining Inc., which was recently the subject of a merger with Kinross Gold Corporation which valued Red Back at US$7.1B. Their wealth of exploration and development experience will be invaluable for PMI Gold as the Company progresses development at its Obotan and Kubi Gold Projects in Ghana."
Mr. Buck is a geologist with 35 years of international exploration and production experience, principally in nickel, base metals and gold. During his career he has been associated with the discovery and development of a number of mineral deposits in Australia and Brazil.
Mr. Buck worked with WMC Resources for 23 years in a variety of senior exploration and production roles, before joining Forrestania Gold as Exploration Manager in 1994. Forrestania Gold was subsequently acquired by LionOre Mining International with whom he was the Director of Exploration & Geology until mid-2006. He managed the highly successful exploration team that discovered several nickel deposits and the two million ounce Thunderbox gold deposit in Western Australia. Also, he played key senior management role in progressing these deposits through feasibility studies to production. Mr. Buck also played key senior advisory roles in indigenous relations in Australia, LionOre's African operations and new business development. During this period Mr. Buck was also a non-Executive Director with Gallery Resources (now IAMGOLD), and Breakaway Resources.
In 2006, Mr. Buck played a key role in managing the divestment of a large portion of LionOre's nickel exploration portfolio into Breakaway Resources. Following this transaction, Mr. Buck became the Managing Director and CEO of Breakaway. In 2009 Mr. Buck left Breakaway to pursue other professional and personal interests.
Mr. Buck is currently Vice President of The Association of Mining and Exploration Companies (AMEC) and a Board Member of the Centre for Exploration Targeting established at the University of Western Australia and Curtin University.
Mr. Ashton has been involved in the exploration, consulting, financing and development of international resource projects since 1972. Most recently in his capacity as Managing Director and subsequently Chair of Red Back Mining Inc., Mr. Ashton was responsible for identifying the prospectivity and leading the team which discovered the multi million ounce Chirano gold deposit in Ghana. In 2004 Mr. Ashton re-domiciled Red Back from the ASX to the TSX with a new Canadian CEO, management and board. In 2005 Mr. Ashton resigned as Red Back Chair. In September, 2010 Red Back, as a +400,000 ounce per year gold producer, was the subject of a merger with Kinross Gold Corporation which valued that company at US$7.1B.
Mr. Ashton is a Non Executive Director of Brockman Resources Limited, an ASX listed iron ore explorer/developer with a market cap of ~$500 million.
With the appointment of Messrs. Buck and Ashton to the Board of PMI Gold, subject to and following the proposed Australian co-listing, Mr. Len Dennis will resign as a board member but will remain with the Company as a consultant.
On behalf of the Board,
"Douglas R. MacQuarrie"