VANCOUVER, Nov. 28, 2013 /CNW/ - Monument Mining Limited (TSX-V: MMY and
FSE: D7Q1) ("Monument" or the "Company") today provided an update on
its development plan for its Mengapur Polymetallic Project, including
its operational priorities for 2014. The initial focus will be on the
production of market grade magnetite from fresh rock that underlies the
free digging soils to generate cash flow; the Research and Development
("R&D") and market research of other downstream potential commodity
products and completion of a National Instrument (NI) 43-101 compliant
Preliminary Economic Assessment ("PEA").
PEA Study and R&D Program
In fiscal 2013 Monument has completed a drill program at Mengapur with a
total of 50,045 metres drilled. The new drill data has been combined
with the existing 58,000 metres drilled by Malaysia Mining Corporation
(the former owner) into a new project database. In 2014 while Monument
plans to proceed with mining initiatives that it expects will optimize
and advance the process flow sheet for the Mengapur deposit, the
Company continues its work in order to provide a resource estimate for
the Mengapur Project as a whole through mine modeling and other related
work based on the fiscal 2013's exploration results. The PEA study is
expected to be completed by March 31, 2014. While completion of this
complex PEA report has taken longer than initially estimated, it will
be a major achievement and provide a significant update to the historic
feasibility study completed by the project's former owners.
Monument has completed a number of onsite infrastructure projects,
including improved and expanded employee accommodation, R&D and assay
laboratories and a new expanded core shed to assist in achieving these
and other objectives.
Specifically, Monument will undertake R&D activities related to the
development of a number of marketable commodity products subsequent to
the targeted recovery of magnetite that the Company believes can be
separated for production to London Metals Exchange ("LME") grade,
particularly copper separated from the other metals mined at Mengapur.
These products generally will allow production of further magnetite, as
well as production of sulfuric acid, molybdenum and different types of
fertilizer.
"The Mengapur Project continues to represent the most significant
opportunity for a long term mining asset for our company. Our
short-term focus will be on mining and producing magnetite and related
R&D initiatives at the project site that we believe have potential to
produce marketable commodities that will contribute stable cash flows
as we work to advance the Mengapur Project as a whole," said Robert F.
Baldock, Monument's President and CEO. "In 2014 we expect to file an
updated resource estimate and Preliminary Economic Assessment for
Mengapur, and our long-term goal as to become a sustainable dividend
paying, mid-tier gold and base metals producer remains the same."
Research and Development of Magnetite Production
As a result of drilling and other activities undertaken to date,
Monument now believes there is a significant opportunity to market
magnetite that can be separated from the copper and other metals at the
Mengapur site. An on-site R&D laboratory has been built to develop and
prove a viable flow sheet circuit for recovery of magnetite from fresh
rock.
If successful, Monument intends to then move to a pilot plant stage
using some equipment on site and part of its re-configured existing
1,000 ton-per-day copper flotation production plant (acquired from the
former vendor). Upon successful demonstration of the pilot run,
operation would proceed to full-scale production of magnetite.
Provided that the Company succeeds in the R&D program and pilot runs,
this could be achieved by the end of calendar 2014.
In the magnetite separation process, important and valuable by-products
are produced including copper concentrate with precious metal credits.
In order to produce LME grade copper the Company is studying the
economics of building a small scale copper smelter to produce
down-stream value-added products such as LME grade bar copper for
manufacturers of copper wire, copper piping, copper plate and other
products that can be manufactured in Malaysia. At present, any copper
concentrate produced requires export to an overseas smelter and then
re-importation as there is no such facility in Malaysia. Such a
facility would be built in full compliance with modern environmental
standards and would be amongst the cleanest smelting facilities in
south East Asia.
A facility of this nature, owned and operated by the Company would be a
significant long term producing asset to Monument and would be a
benefit for the Malaysian economy. If the Company proceeds with this
project, there may also be additional opportunity to import copper
concentrate from elsewhere to feed the smelter and develop marketable
products.
In addition to conducting R&D into producing magnetite and the potential
to produce copper metal for down-stream value-added industries and
products, Monument will also target pyrrhotite for separation by
flotation, as well as explore related opportunities to produce sulfuric
acid which could be sold as acid or may be used to produce a number of
fertilizer products for sale in Malaysia, either alone or in
partnership with other Malaysian participants in this market.
Monument has engaged independent consultants to prepare marketing
studies for each of these products. Additional studies on potential
metal products from the Mengapur resource that may be evaluated through
the PEA are also being conducted by the Company in order to maximize
potential revenue opportunities from the Mengapur deposit within the
existing metal and other commodity markets. Once the PEA is finalized,
Monument will decide to pursue more advanced studies to help determine
if the proposed Mengapur operations will be technically feasible or
economically viable.
Star Destiny
Meanwhile Monument confirms it is awaiting approval of the Star Destiny
applications from the relevant Pahang State Authorities. Monument
acquired Star Destiny Sdn Bhd (containing the "Star Destiny" property),
a Malaysia company incorporated on November 21, 2011 before acquiring
Mengapur. Star Destiny holds the property exploration tenement over the
historically defined Star Destiny resources adjacent to the mining
lease held by Cermat Aman Sdn Bhd ("CASB"). The exploration tenement
expired on September 23, 2012. A renewal application and several
applications for conversions of relevant portions of the Star Destiny
land to a mining license ("ML Applications") were all filed by the
Company on time. The exploration and mining tenement rights held by
Monument's wholly owned subsidiaries Star Destiny and CASB comprise the
entire Mengapur Project.
Todd Johnson, Vice President Exploration is a qualified person as per
NI34-101 guidelines and has reviewed and approved the contents of this
news release.
About Monument
Monument Mining Limited (TSX-V:MMY, FSE:D7Q1) is an established Canadian
gold producer that owns and operates the Selinsing Gold Mine in
Malaysia, with production cash costs among the lowest in the world.
Its experienced management team is committed to growth and is advancing
several exploration and development projects in Malaysia, including the
100% owned, development stage, Mengapur Polymetallic Project. The
Company employs 330 people in Malaysia and is committed to the highest
standards of environmental management, social responsibility, and
health and safety for its employees and neighboring communities.
Robert F. Baldock, President and CEO
Monument Mining Limited
Suite 910- 688 West Hastings Street
Vancouver B.C. Canada V6B 1P1
"Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release."
Forward-Looking Statement:
This news release contains forward-looking statements and
forward-looking information about Monument Mining Limited ("Monument"),
its business and future plans (together, "forward-looking statements").
Forward-looking statements are statements that are not historical facts
and include the timing of the proposed programs and events. The
forward-looking statements in this news release are subject to various
risks, uncertainties and other factors that could cause actual results
or achievements to differ materially from those expressed or implied by
the forward-looking statements. These risks and certain other factors
include, without limitation, the expected outcomes of negotiations
litigation and applications for renewal of property rights; government
regulation of mining operations; and environmental risks. Generally,
forward-looking statements can be identified by the use of forward-
looking terminology such as "plans", "expects" or "does not expect",
"is expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "does not anticipate", or "believes", or
variations of such words and phrases or state that certain actions,
events or results "may", "could", "would", "might" or "will be taken",
"occur" or "be achieved". Forward-looking statements are subject to
known and unknown risks, uncertainties and other factors that may cause
the actual results, level of activity, performance or achievements of
the Company to be materially different from those expressed or implied
by such forward-looking statements, including but not limited to:
general business, economic, competitive, geopolitical and social
uncertainties; the actual results of current exploration activities;
litigation risks; risks with respect to mining licenses and exploration
licenses; foreign operations risks; other risks inherent in the mining
industry and other risks described in the management's discussion and
analysis of the Company, which is available under the profile of the
Company on SEDAR at www.sedar.com. Although the Company has attempted to identify important factors that
could cause actual results to differ materially from those contained in
forward-looking statements, there may be other factors that cause
results not to be as anticipated, estimated or intended. There can be
no assurance that such information will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place
undue reliance on forward- looking statements. The Company does not
undertake to update any forward-looking information, except in
accordance with applicable securities laws.
SOURCE Monument Mining Limited
