Asian Mineral Resources Limited
TSX VENTURE : ASN

Asian Mineral Resources Limited

March 05, 2012 17:24 ET

Board and Management Changes/Ban Phuc Project Status

TORONTO, ONTARIO--(Marketwire - March 5, 2012) - Asian Mineral Resources Limited ("AMR" or the "Corporation") (TSX VENTURE:ASN) announced today that Mr. Chris Castle has been appointed as Interim President and CEO to replace Lai Fook Hoy who has resigned as Interim President and CEO and as a director of the Corporation, and that Mr. Bill Howell has been appointed as non-executive Chairman to replace Choo Mun Keong who has resigned as Executive Chairman and as a director of the Corporation. "We wish to thank Messrs. Choo and Lai for their contributions as executives and as board members during a difficult period for the Corporation which culminated with the recently announced transaction with Pala Investments Holdings Limited" commented Mr. Howell on behalf of the board of directors which now consists of Messrs. Castle and Howell and Mr. Robin Widdup.

The Corporation also reported on the status of its Ban Phuc Project in which it holds a 90% interest through Ban Phuc Nickel Mines LLC ("BPNM"). The Project was the subject of a Report dated October 6, 2011 made by the General Department of Geology and Minerals Vietnam ("GDGMV"). The Report identified a number of matters requiring remediation and requested of BPNM that it undertake a number of actions including speeding up mine construction and submitting to the Ministry of Natural Resources and Environment ("MONRE") an explanation for the delay in mine construction schedule.

In its response dated November 7, 2011 to GDGMV, BPNM reminded the Ministry that prior to the 2008 recession it had invested US$66.7 million in the Project; that construction activities had been pursued in a robust manner following issue of its mining license until unforeseen circumstances affecting similar projects worldwide forced the Project to be placed on a status whereby expenditures were restricted to those required to ensure that it could be restarted and completed; and that Project viability had been adversely affected by subsequently adopted Vietnamese taxation policies. The Report went on to list further work on the Project to September 30, 2011 by which date total investment was US$73.8 million. BPNM's response concluded by requesting of GDGMV and MONRE that they understand and approve the reasons for the delay and that efforts were being made to speed up the mine construction schedule and put the mine into production.

By its letter dated February 14, 2012 GDGMV advised BPNM that, based on BPNM's Report and a further site visit on February 1, 2012, it was requesting BPNM to promptly invest in construction of facilities to ensure adherence to the mine construction schedule whereby completion is to occur by December 31, 2012 and that, should BPNM fail to do so, it would recommend to MONRE that BPNM's mining license be revoked.

AMR and BPNM intend to engage MONRE and the other relevant Vietnamese authorities in further discussions in which it will be pointed out among other things that the recently announced transaction whereby Pala Investments Holdings Limited will make a substantial investment in AMR evidences BPNM's capability to speed up mine construction as requested by GDGMV.

Company Profile:

Asian Mineral Resources Limited is developing the Ban Phuc Nickel/Copper Project in Vietnam, a 5 hour drive north-west of Hanoi, in which it has a 90% interest.

For further details on the Company and the Project, please refer to the website at www.asianminres.com.

Forward-Looking Statements

This press release includes certain "Forward-Looking Statements." All statements, other than statements of historical fact, included herein, including without limitation, statements regarding completion of the transactions described in this press release and the achievement of expected benefits, potential mineralization and reserves, exploration results and future plans and objectives of Asian Mineral Resources Limited are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Asian Mineral Resources Limited's expectations are disclosed under the heading "Risk Factors" and elsewhere in Asian Mineral Resources Limited documents filed from time-to-time with the TSX Venture Exchange and other regulatory authorities.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Asian Mineral Resources Limited
    Paula Kember
    CFO
    416 360 3412
    416 367 1954 (FAX)
    info@asianminres.com

    Asian Mineral Resources Limited
    120 Adelaide Street West, Suite 2500
    Toronto, ON M5H 1T1

    Asian Mineral Resources Limited
    #9 Nguyen Hong Road
    Ba Dinh District, Hanoi, Viet Nam
    +84 4 3773 7997
    +84 4 3773 7996 (FAX)
    www.asianminres.com