Midlands Minerals Corporation

Midlands Minerals Corporation

August 05, 2009 09:37 ET

Midlands Minerals Announces Scoping Study on Sian Gold-Ghana

TORONTO, ONTARIO--(Marketwire - Aug. 5, 2009) - Midlands Minerals Corporation ("Midlands" or the "Company") (TSX VENTURE:MEX) is pleased to announce the Company has engaged E+PC Engineering & Projects Company Limited ("E+PC") of South Africa to conduct a scoping study on the Sian Gold Project in Ghana. Sian is a fully permitted past open pit gold producer with an NI 43-101 compliant gold resource of 400,000 ounces at an average grade of 2.3 g/t, a 30 year renewable mining lease, an existing CIL (carbon in leach) plant, and existing infrastructure, roads, power, and water.

The geology on Sian shows significant potential for gold and Midlands' goal is to increase the current gold resource to over one million ounces with the next round of infill and definition drilling. With the infrastructure in place, and with the Esaase village having been already relocated by previous owners, Midlands has an opportunity to create a cash flow stream by increasing the tonnage, rehabilitating the existing infrastructure, and re-commissioning the existing plant. "That would put Midlands in a good position to generate revenues while continuing to focus the Company's attention on increasing the size of the gold deposit on Sian," said Kim Harris, President and Chief Executive Officer.

E+PC will commence the scoping study on or by August 17, 2009, and a technical report is expected to be completed by September 30, 2009.

The scoping study will focus on process engineering, process design, and equipment sizing including plant re-commissioning options, an assessment of the mechanical equipment and operational issues, an assessment of the electrical equipment and power supply, inspection of instrumentation, and a review of the plant and site infrastructure. The scoping study will further recommend mining methodologies based on similar projects already in production, as well as estimates of the capital required to update the feasibility study and to bring the plant and infrastructure back into production.

Validation of the existing feasibility study done by the previous owners in 1995 will be the step following completion of the scoping study.


E+PC Engineering and Projects Company Limited ("E+PC") is a wholly owned subsidiary of Aveng Group (Africa) Ltd and conducts engineering, design and project construction management services, as well as the operation and maintenance of metallurgical processing plants. E+PC enjoys a strong capital base with broad contracting expertise and a wealth of experience for the delivery of projects in Africa. Find out more about E+PC at www.e-pc.co.za.


Midlands is a growth oriented and value based gold exploration company operating in Ghana and Tanzania, two stable countries with a history of gold mining. Midlands' top priority project is the fully permitted Sian gold project in Ghana. The Sian property contains Esaase and Ampeha, two previously producing open pit mines with a resource with significant growth potential. Midlands' contiguous Kwahu Praso project, which was once part of Sian, contains extensions of the Esaase and Ampeha trends. Sian and Praso are just 30 kilometres northeast of Newmont Mining's +8.7 million ounce Akyem gold deposit. Midlands also holds highly prospective licences for gold and diamonds in the Lake Victoria Goldfields in Tanzania.

The Company has a highly qualified management and technical team with broad African experience and extensive experience in the countries in which the Company operates. For more information on the Company, please visit Midlands' website at www.midlandsminerals.com.

On behalf of the Board

Kim Harris, President and Chief Executive Officer

Certain statements contained in this news release constitute forward-looking statements. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company to be materially different from actual results and achievements expressed or implied by such forward-looking statements. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect.

The Company adds a cautionary statement to the effect that the potential quantity and grades referred to in this press release are conceptual in nature. There has been sufficient exploration to evaluate a mineral resource. However, the Company is uncertain if further exploration will result in a mineral reserve. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statements were made. Readers are also advised to consider such forward-looking statements while considering the risks inherent in the business of mineral exploration. For more information, investors should review the Company's filings that are available at www.sedar.com.

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

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