Issued Capital: 150,526,976
LONDON, ON, Sept. 23, 2013 /CNW/ - Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) ("Fortune" or the "Company") (www.fortuneminerals.com) is taking voluntary steps to assist the British Columbia ("BC") and
Tahltan Governments in peacefully resolving a disturbance that has been
occurring at the Company's Arctos Anthracite metallurgical coal project
site in Northwestern BC.
While all of Fortune's activities at the project site are focused on
gathering necessary information that will be used in a BC environmental
assessment process, and are duly authorized by permits issued by the BC
Government, the Company has faced disruptive and damaging protests. The
Company remains 100% committed to developing the project and Fortune
will voluntarily cease its summer field program activities and withdraw
from the project site for several months to allow the Tahltan and BC
Governments to continue their talks.
"It is our sincere hope that this show of good faith by Fortune will
help bring resolution to issues at and near our Arctos project site
including any protests," said Robin Goad, President and CEO of
Fortune. "While the Company has made the decision to give the time and
space needed for discussions, there is still a full commitment on the
part of both Fortune and its partner to move forward with the
environmental assessment and the project".
Fortune's work to date at the Arctos project site has involved a limited
amount of drilling to gather geochemical and geotechnical information
that will be used in the environmental assessment process. That
process considers environmental, social, heritage and economic values,
including Traditional Knowledge, so that the merits and impacts of a
proposed project can be considered, with a goal of making an informed
decision on whether a proposed project should proceed. The process also
provides interested parties with extensive opportunities to express
their views in a legally appropriate way. Representatives of First
Nations in the proximity of a project sit as integral members of a
working group that provides input and advice throughout the entire
environmental assessment process.
Fortune takes this action in good faith and in recognition of the BC
Government statement of September 17, 2013, (http://www2.news.gov.bc.ca/news_releases_2013-2017/2013ARR0044-001414.htm), and on the clear understanding that the Arctos Anthracite Project
will not be part of any protected areas. Development of the Arctos
project is consistent with the 2000 Cassiar-Iskut-Stikine Land Resource
Management Plan ("LRMP"). While the LRMP, which was developed by the BC
Government with extensive local input, including Tahltan people, set
aside 26% of 5.2 million hectares as "Protected Area", it also
identified "substantial resources of high grade metallurgical coal" at
the Arctos Anthracite Project area as appropriate for mining.
Current information on the proposed project and site can be found in the
Media Backgrounder titled Arctos Anthracite Project. Click here to read (http://40rhel5streamview01.newswire.ca/media/2013/09/23/20130923-706938-31231-473b9fdf-0204-4446-80b2-9546f7dd3e31.pdf)
About the Arctos Project
The Arctos Project is one of the world's premier metallurgical coal
developments with very large resources and reserves of high rank
anthracite coal in northwest BC. Anthracite is the highest quality coal
and is used in steel making, metals processing and other specialized
products such as carbon filters for water purification. The project is
an international collaboration between Fortune (80%) and POSCAN (20%),
the Canadian subsidiary of South Korea's POSCO, one of the world's
largest steel producers. Substantial work totaling more than $100
million has already been completed on the project to conduct resource
delineation, engineering, feasibility and environmental studies as well
as test mining and processing at the site for trial cargos of products
to potential customers in North America, Asia and Europe.
The Arctos Project is located 330 km northeast of the Port of Prince
Rupert and straddles the existing BC Railway right-of-way that was
constructed by the BC Government in the 1970's and was substantially
completed to the site. This existing brownfield transportation corridor
is planned to be completed with rail to the current terminus of track,
150 km south of the proposed mine where the Canadian National Railway
is operating. The railway provides a simple and scalable transportation
solution to the Ridley Coal Terminal in Prince Rupert for export of
metallurgical coal products to overseas steel manufacturers and metal
processors.
A positive feasibility study for the Arctos Project was completed in
2012 by Marston & Marston Inc., a division of Golder Associates Inc.
(see "Technical Report on the 2012 Update of the Arctos Anthracite
Project Mine Feasibility Study", dated November 28, 2012, filed on
SEDAR on November 29, 2012 and available at www.SEDAR.com. This study indicates a 25-year mine life, expected to contribute 500
direct jobs and 1,000 jobs in supporting activities and generate more
than $10 billion in revenues and $900 million in combined federal and
provincial taxes. There is good potential to extend the mine life from
the very large mineral resource base currently recognized on the Arctos
licenses.
The disclosure of scientific and technical information contained in this
news release has been approved by Robin Goad, M.Sc., P.Geo., President
and CEO of the Company, who is a "Qualified Person" under National
Instrument 43-101.
About Fortune Minerals
Fortune is a diversified resource company with several mineral deposits
and a number of exploration projects, all located in Canada. The
Company is focused on the development of the Arctos Anthracite Project
in BC and the vertically integrated NICO gold-cobalt-bismuth-copper
project that is comprised of a mine and mill in the Northwest
Territories ("NT") that will produce a bulk concentrate for shipment to
a refinery for processing to high value metal products. In addition,
the Company owns the Sue-Dianne copper-silver-gold deposit and other
exploration projects in the NT. Fortune is focused on outstanding
performance and growth of shareholder value through assembly and
development of high quality mineral resource projects.
This news release contains forward-looking information. This
forward-looking information includes statements with respect to, among
other things: the Company's expectations with respect to the
anticipated development of the Arctos Project; the anticipated revenues
from and jobs and taxes to be generated from the Arctos Project; and
the expected mine life at the Arctos Project. Forward-looking
information contained in this news release is based on the opinions and
estimates of management as well as certain assumptions considered by
management to be reasonable and which are made as at the date the
information is given (including, in respect of the forward-looking
information contained in this press release, assumptions regarding the
Company's business and the viability of the Arctos Project). Readers
should be cautioned that forward-looking information is subject to a
variety of risks and uncertainties and other factors that could cause
actual events or results to differ materially from those projected in
the forward-looking information. These factors include without
limitation: the inherent risks involved in the exploration and
development of mineral properties; the inherent volatility of metal
prices; the risk that the Company may not be able to arrange the
necessary additional financing to construct and operate the Arctos
Project; uncertainties with respect to the receipt or timing of all
applicable permits for the development of the Arctos Project; the
possibility of delays in the commencement of production from the Arctos
Project; uncertainties relating to the estimation of mineral reserves;
and other factors. Readers are cautioned to not place undue reliance on
forward-looking information because it is possible that predictions,
forecasts, projections and other forms of forward-looking information
will not be achieved by the Company. The forward-looking information
contained herein is made as of the date hereof and the Company assumes
no responsibility to update or revise it to reflect new events or
circumstances, except as required by law.
SOURCE Fortune Minerals Limited
PDF available at: http://stream1.newswire.ca/media/2013/09/23/20130923_C9847_DOC_EN_31231.pdf
