VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 3, 2014) - Avanti Mining Inc. (TSX VENTURE:AVT)(PINKSHEETS:AVNMF), its wholly owned subsidiary Avanti Kitsault Mine Ltd. ("Avanti" or the "Company") and the Nisga'a Nation are pleased to announce that they have concluded a comprehensive agreement in connection with Avanti's proposed Kitsault Molybdenum Mine Project in northwestern British Columbia. The agreement will address a number of outstanding Nisga'a concerns in respect of environmental protection, provide economic benefits to the Nisga'a Nation (including a net smelter royalty of up to 2% based on prevailing molybdenum prices), and resolve all outstanding litigation.
The project is located within the Nass Area, in which the Nisga'a Nation has certain treaty rights under the Nisga'a Final Agreement. Avanti and the Nisga'a Nation previously had a number of outstanding differences regarding the project and related permitting, but have recently been in direct discussions to resolve those issues and that has proven successful.
"We are pleased to have finally reached an agreement with Avanti that will enable the project to proceed while ensuring that our treaty rights are respected, and our Nation's environment is protected," said Mitchell Stevens, President of the Nisga'a Nation. "We wish to congratulate Avanti's new executive team who approached us with a sincere interest in addressing our concerns with the Project, which we were then able to work through without delay. This demonstrates that when proponents take the Nisga'a Nation's interests and concerns seriously, practical agreements can be reached in a timely manner. We are now counting on the provincial and federal governments to fulfil their responsibilities under our Treaty in respect of this and other projects in our area."
"This agreement marks the start of a new and promising chapter in our relations with the Nisga'a Nation," said Avanti President and Chief Executive Officer, Gordon Bogden. "We are confident it will provide meaningful benefits to all parties, including Nisga'a individuals and businesses, and we look forward to growing this partnership."
The Kitsault Mine operated previously from 1968 to 1972 and from 1980 to 1982. Construction to reopen the project under a modern day mine plan is expected to start in 2014, subject to receipt of final permits. Total investment in the project will be approximately $1-billion and, when in production, the mine will provide up to 300 full-time jobs during its anticipated 14-year life. The project will be subject to extensive environmental and permitting conditions and monitoring programs. The Kitsault Mine Project received an environmental assessment certificate from the province of British Columbia in March 2013. A federal environmental assessment decision is expected in the near future.
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Forward-Looking Statements: This news release contains certain forward-looking information concerning the business of Avanti Mining Inc. (the "Corporation"). All statements, other than statements of historical fact, included herein including, without limitation; statements related to the construction and development of the Kitsault molybdenum mine, the receipt of requisite permits, including the environmental assessment decision are forward-looking statements. These forward-looking statements are based on the opinions of management at the date the statements are made and are based on assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events to differ materially from those projected in forward-looking statements. Important factors that could cause actual results to differ materially from the Corporation's expectations include fluctuations in commodity prices and currency exchange rates; uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs, recovery rates, production estimates and estimated economic return; the need for cooperation of government agencies and native groups in the exploration and development of properties and the issuance of required permits; the need to obtain additional financing to develop properties including debt financing and uncertainty as to the availability and terms of future financing; the possibility of delay in exploration or development programs or in construction projects and uncertainty of meeting anticipated program milestones; uncertainty as to timely availability of permits and other governmental approvals; and other risks and uncertainties disclosed in the Corporation's MD&A and the Annual Information Form for the year ended December 31, 2013, which are available at www.sedar.com. The Corporation is under no obligation to update forward-looking statements if circumstances or management's opinions should change, except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.