Alphamin Resources Corp.
TSX VENTURE : AFM

Alphamin Resources Corp.

September 08, 2016 16:30 ET

Alphamin Provides Bisie Project Update/Announces Private Placement

GRAND BAIE, MAURITIUS--(Marketwired - Sept. 8, 2016) - Alphamin Resources Corp. (TSX VENTURE:AFM), "Alphamin" or the "Company") is pleased to announce an update on progress made on its Bisie tin project. The highlights include strengthening the project team and infrastructure improvements around the project area. A US$8.5m private placement is also planned.

"Alphamin is pleased to announce continued progress towards bringing its Bisie project into production. This includes attracting and retaining additional premier skills to the current Alphamin team. Richard Robinson will be leading Alphamin Bisie Mining SA, Alphamin's DRC company. Richard has many years of experience in the interface between mining companies, the GoDRC, local communities, and artisanal miners. Richard has moved with his family to Goma from where he will be guiding Alphamin's operations. Alphamin is pleased to welcome Ian Dun, who was previously responsible for optimising the processing plants of Minsur, including at their San Rafael mine. Ian has joined the Alphamin team to apply his high grade tin processing knowledge to Alphamin's process design for Bisie. To assist us with mine design we are fortunate to have, via DRA, secured the services of Tony Cox, one of the world's leading Sub Level Caving Mining Engineers. Alphamin has also made significant strides preparing the supporting infrastructure for our operations. The access track linking Bisie to the Walikale Kisangani road has been cleared and will shortly be able to accommodate 4 ton loads. This will be upgraded further to accommodate the heavy vehicles required to transport the construction materials to Bisie. Trucks carrying seven containers of materials required for the early works have recently made the trip from Johannesburg to the head of the Bisie access road in an average time of 21 days. The rehabilitation work done by the Government of North Kivu, supported by Alphamin, on the Goma Walikale road contributed materially to this and bodes well for efficient logistics during operations. Alphamin intends to make a $8.5m non brokered private placement in September. The proceeds will be used to fund Bisie's development up to the final capital raise for the construction of this project." Boris Kamstra, CEO Alphamin Resources Corp.

Project team

Alphamin is pleased to announce that on January 14, 2016 Dr Richard Robinson was appointed as managing director of the Company's DRC subsidiary, Alphamin Bisie Mining SA. Dr. Robinson brings a wealth of DRC experience having served as the Extractive Industries Technical Adviser with the United States Agency for International Development based in Kinshasa, DRC from 2011 through 2015, serving as a focal point for U.S. government support for conflict-free mining in the DRC and great lakes region. Prior to joining USAID in 2011 Richard was Social Programs Manager for Freeport McMoRan's Tenke Fungurume Mine in Katanga responsible for community development, resettlement and community liaison including managing responses to illegal artisanal mining incursions. In 2003 Richard began the development NGO, Pact's programs in the DRC's Katanga province, including its role as a social and artisanal mining risk management and community development partner with responsible mining companies. Richard has prior experience in manufacturing, public-private partnerships for persons with disabilities in North America and the developing world, and has taught and directed in MBA programs in both the United States and South Africa. Richard was born in the DRC, is a permanent resident and he and his family are currently living in Goma.

In June, 2016 Alphamin engaged Mr. Ian Dun on a 6-month contract. Mr Dun is among the world's leading Tin specialist metallurgists having spent over 30 years as a metallurgist on tin projects in South America, including 8 years with Minsur where he was Director of Processing Development, with full responsibility for production and metallurgical accounting. Mr Dun has been engaged to review and optimise the tin recovery process envisaged in the Bisie Tin Project processing plant.

Following the appointment of DRA Projects as the Company's preferred EPCM contractor, Mr Tony Cox has been appointed to the project team. Mr. Cox has 50 years of experience in the mining industry. The bulk of this experience has been in large underground mines employing a wide range of mining methods suited to mechanisation. A substantial amount of this experience has been in large open stoping and caving methods, particularly sub level caving (11 years). This experience has extended to depths of 2,500 m at Target and South Deep mines. As General Manager Strategic Planning, Ashanti Goldfields he was responsible for the ore reserves generation in 1996 and 1997 under the JORC code. He has spent the last fourteen years from 1999 as a mining consultant for RHDHV (formerly Turgis Consulting) in the field of mechanisation and deep level massive mining.

Infrastructure developments

The Company is pleased to announce the completion of clearing of the 32km access track from the Bisie Project site to the nearest National Road (N3) that runs between Kisangani and Bukavu. In the second half of F2016 the Company will contract heavy machinery to allow compacting the road surface, shaping of the road prism and storm water control along the road.

Following road upgrade works on the Goma Walikale road by the DRC roads authority, with ABM support, trucks can now reach Walikale from South Africa in 21 days. Management are of the view that these improvements to the regional infrastructure represent a significant de-risking of the Bisie Tin Project. Alphamin will support the North Kivu Government's program rehabilitating this road further.

Non-brokered Private placement

The Company intends to proceed with a non-brokered private placement of common shares to raise gross proceeds of up to US$8,500,000 (the "Financing"). The common shares will be offered at a price of C$0.30 per share. The Company anticipates that insiders of Alphamin may subscribe for up to 100% of the Financing. Net proceeds from the Financing will be used for the early project works and continued infrastructural improvements and preliminary mine construction work on the Company's Bisie Tin project and for working capital and general corporate purposes.

ON BEHALF OF THE BOARD OF DIRECTORS

Boris Kamstra

Chief Executive Officer

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