SOURCE: Anglo Pacific Group PLC

December 22, 2014 07:01 ET

Anglo Pacific Group PLC: Portfolio Update

LONDON, UNITED KINGDOM--(Marketwired - Dec 22, 2014) - Anglo Pacific Group PLC (TSX: APY) (LSE: APF)

News Release
December 22, 2014

Anglo Pacific Group PLC
Portfolio Update

Anglo Pacific Group PLC ("Anglo Pacific" or the "Company") is pleased to announce the following update with respect to positive progress on its royalty portfolio during Q4 2014.

  • A number of the mines over which the Company has royalties are expected to increase production over the next 12 months, despite the recent weakness in commodity markets

  • Rio Tinto is expected to mine coal within our Kestrel royalty lands during Q4 2014

  • Largo Resources has identified the potential to produce platinum as well as vanadium pentoxide from the Maracás mine 

  • EVBC increased production of gold for the second half of fiscal 2014 by 14% (compared to the first half of fiscal 2014). In addition, scope to extend the mine life has been identified through potentially upgrading inferred mineral resources to mineral reserves and through exploration at EVBC and surrounding areas

  • Berkeley Resources announced a 90% increase in inferred resource at its Salamanca uranium project in November 2014 and scoping study evaluation subsequently advanced to be completed during Q1 2015

  • Continued progress from the disposal of non-core investments
    • Cash proceeds from disposals of non-core equity and debt investments during Q4 2014 are expected to be approximately £1 million
    • The disposal programme is expected to continue throughout 2015

Commenting on the above developments, Julian Treger, Chief Executive Officer, said:
"The future prospects for Anglo Pacific continue to be positive given no debt, the quality of our royalty portfolio, the improving production performance of our royalties, our successful non-core asset disposal programme, and the expectation for increased mining activity within our royalty lands from the Rio Tinto Kestrel mine, a Tier 1 asset, within the next 24 months.

We believe that the continued weakness in equity market conditions for miners should provide the Company with increased opportunities to acquire royalties over mines currently in production, and we look forward to progressing earnings and cash flow accretive deals in 2015."
For further information:

Anglo Pacific Group PLC
Mike Blyth - Chairman
Julian Treger - Chief Executive Officer
Mark Potter - Chief Investment Officer
+44 (0) 20 3435 7400

Bell Pottinger +44 (0) 20 3772 2500
Nick Lambert / Lorna Cobbett

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