Anatolia Minerals Development Limited

Anatolia Minerals Development Limited

June 01, 2006 09:42 ET

Anatolia Files Feasibility Study for Copler Gold Project

TORONTO, ONTARIO--(CCNMatthews - June 1, 2006) -

The Copler Feasibility Study has been filed with regulatory authorities and is posted on SEDAR. The study indicates initial capital of $125.7 million and $182 per ounce cash operating costs for 1.4 million ounces of gold produced over a 9-year life. At $450 per ounce gold the project generates a 22.1% after-tax rate of return (100% equity).

Anatolia Minerals Development Limited (the "Company" or "Anatolia")(TSX:ANO) filed the recently-completed Copler Feasibility Study with regulatory authorities and it is being posted on SEDAR.

The Feasibility Study represents an unoptimized, technically feasible design and is the basis of the study undertaken for the Company by Samuel Engineering, Inc. ("SE"). The Feasibility Study assumes a large scale, open pit mine with three-stage crushing and conventional sodium cyanide extraction through a 15,000 tonnes per day ("tpd") combined mill and heap leach operation. The project will cost US$125.7 million, producing 1.4 million ounces gold and 2 million ounces silver over 9 years with US$182 cash operating cost per ounce of gold after silver credits. Breakeven occurs at a gold price of US$284 per ounce and payback in 3.3 years. Base case gold and silver prices ($450/oz and $7.50/oz, respectively) are based on average prices for those metals over the past 2 years.

Drilling to add to and define additional oxide and sulfide resources is ongoing at Copler. A Scoping Study evaluating 2.0 million ounces of M&I sulfide gold resource and 1.5 million inferred ounces is scheduled for completion by the end of the year.

Consulting Engineers

Anatolia retained SE and other engineering contractors to develop the technical information to develop a Feasibility Study for the Copler Gold Project. SE and William J. Pennstrom ("Pennstrom Consulting") prepared the process and infrastructure design and capital and operating costs and integrated the work of other consultants, including Vector Colorado (heap leach pad design), Allan Watson & Associates (tailings storage facility design), SIAL, Ankara (hydrology and geotechnical investigations), Independent Mining Consultants ("IMC"), (mineral reserves, resource estimation and mine planning), and Resource Development Inc. (metallurgical testing).

Qualified Persons

Mr. Tom Reynolds P.E. (SE) is the "qualified person" as defined by National Instrument 43-101 of the Canadian Securities Administrators ("NI 43-101") and is responsible solely for the contents of the Feasibility Study. Mr. William Pennstrom (Pennstrom Consulting) is the "qualified person" for the process design and Mr. John Marek, P.E. (IMC) is the "qualified person" for the resource estimate and ore reserves. Messrs. Reynolds, Pennstrom and Marek are not responsible for the contents of this news release. A technical report summarizing the Feasibility Study and meeting the requirements of NI 43-101 will be filed with the appropriate regulatory authorities within 45 calendar days of the April 20, 2006, news release.

Anatolia currently has 59.6 million common shares issued and outstanding, 70.2 million fully diluted. Anatolia trades on the Toronto Stock Exchange as ANO.

This news release may contain forward-looking statements in respect of various matters including upcoming work programs and events. The results or events predicted in these forward-looking statements may differ materially from actual results or events. Anatolia disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Assays are performed by OMAC Laboratories, Ireland, and ALS-Chemex, Vancouver, BC, Canada, with quality control of sampling, preparation and assaying overseen by Anatolia, whose President, Richard C. Moores, is a "qualified person" for the purposes of applicable Canadian securities regulations.

Contact Information

  • Anatolia Minerals Development Limited
    Richard C. Moores
    (303) 670-9945
    (303) 670-9947 (FAX)
    Anatolia Minerals Development Limited
    Douglas Tobler
    Chief Financial Officer
    (303) 292-1299
    (303) 297-0538 (FAX)