VANCOUVER, Feb. 25, 2014 /CNW/ - Monument Mining Limited (TSX-V: MMY and
FSE: D7Q1) "Monument" or the "Company" is pleased to announce it has
closed the acquisition of the Murchison Gold Project in Western Australia through its wholly owned Australia subsidiary
Monument Murchison Pty Ltd.
On February 21, 2014, Monument closed the Murchison Gold Project
acquisition subsequent to receipt of the approval of the Australian
Foreign Investment Review Board ("FIRB") and fulfillment of all closing
conditions for the transaction. The consideration of AUD$15 million
cash was paid to Jinka Minerals Limited, Kentor Minerals (WA) and KGL
Resources Limited (the "Vendors") under a "Mining Property Sale Deed"
in exchange for the Murchison Gold Project, including a number of
mining and exploration tenements and lease applications covering
approximately 98 square kilometers of mining land prospective for
resource extension. The tenement package holds a historical resource
estimate of 546,000 ounces of gold, a fully operational gold processing
plant, a newly developed camp site and all necessary infrastructure.
Monument believes that the present mining industry downturn introduces
opportunities to acquire additional resources at lower costs. The
Murchison Gold Project is such a prospective project at an advanced
nearing production stage. It is in the Murchison Mineral Field
approximately 765 kilometers North and East of Perth, a highly
prospective historical gold province within the Murchison District of
Western Australia. The Murchison Mineral Field has been explored since
the 1900s containing a number of currently operating gold projects. The
Company will update the development plan shortly on the Murchison
Project.
Background of the Murchison Gold Project
The Murchison Gold Project consists of both the Burnakura and Gabanintha properties, located near Meekathara in the
Murchison Mineral Field, approximately 765 kilometers North of Perth.
A historical resource as at October 2013 of 6.41 million tonnes at an
average of grade of 2.7 g/t containing 546,000 ounces of gold within a
number of previously operated open pits and an underground mine was
determined by BM Geological Services in the report Murchison Gold Project: Burnakura and Gabanintha resource inventory
(December 2013). The Company believes that the quality of the data supporting the
resources meets industry standards. Wireframes were built using 0.5 g/t
Au mineralized envelopes. The resources are estimated using either
ordinary Kriging or multiple indicator Kriging and are reported above a
block grade of ≥1 g/t Au. The historical resources have been reported
in line with the JORC guidelines, and resource confidence categories
and the reliability of the estimate are consistent with this standard.
Monument considers this historical resource estimate to be relevant to
its ongoing review of the Murchison Gold Project. In addition,
Monument is reviewing other historical resource estimates prepared on
all or parts of the Murchison Gold Project. Readers shall read this
news release in conjunction with the news release dated on January 7,
2014.
The information in this press release has been compiled and reviewed by
Darryl Mapleson (BSc (Hons), FAusIMM) who is a qualified Geologist
retained by Monument Mining Limited and is a Qualified Person as
defined by JORC guidelines and NI43-101. He has been working in
Australia for Monument as an independent consultant.
A qualified person has not done sufficient work to classify the
historical estimate on the property as current mineral resources under
NI 43-101 and Monument is not treating the historical resource estimate
on the property as current mineral resources.
The project has a completely equipped assay laboratory which will
facilitate assays and simulation of heap leach results via
metallurgical test work programs which will be carried out on site,
subsequent to test work confirmation programs by independent
consultants.
In parallel with a review of this work, a drill program will be
undertaken to confirm grades, attempt to classify the historical
estimate as current mineral resources or mineral reserves, and provide
data and material for the metallurgical test work program.
The above stated development outlook is to the effect that a feasibility
study has not been completed and there is no certainty the proposed
operation will be economically viable.
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
development stage, Mengapur Polymetallic Project. The Company employs
290 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. With the Murchison Gold
Project added to its project pipeline the Company is diversifying its
single project cash flow source, country risk and potential metal type
profile.
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 includes statements containing forward-looking
information about Monument, its business and future plans
("forward-looking statements"), including statements with respect to
planned work at the Murchison Gold Project, statements implicit in the
statement of the historical resource estimate at the Murchison Gold
Project, and the production cash costs at Selinsing. 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: risks related to general business,
economic, competitive, geopolitical and social uncertainties;
uncertainties regarding the results of current exploration activities;
uncertainties in the progress and timing of development activities;
foreign operations risks; other risks inherent in the mining industry
and other risks described in the management discussion and analysis of
the Company and the technical reports on the Company's projects, all of
which are available under the profile of the Company on SEDAR at www.sedar.com. Material factors and assumptions used to develop forward-looking
statements in this news release include: expectations regarding the
estimated cash cost per ounce of gold production and the estimated cash
flows which may be generated from the operations, general economic
factors and other factors that may be beyond the control of Monument;
assumptions and expectations regarding the results of exploration on
the Company's projects; assumptions regarding the future price of gold
of other minerals; the timing and amount of estimated future
production; the expected timing and results of development and
exploration activities; costs of future activities; capital and
operating expenditures; success of exploration activities; mining or
processing issues; exchange rates; and all of the factors and
assumptions described in the management discussion and analysis of the
Company and the technical reports on the Company's projects, all of
which are 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 statements 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