Montero Mining and Exploration Ltd.

Montero Mining and Exploration Ltd.

July 07, 2015 10:21 ET

Montero Receives a Positive Review from DRA on the Duyker Eiland Phosphate Property in South Africa

TORONTO, ONTARIO--(Marketwired - July 7, 2015) - Montero Mining and Exploration Ltd. (TSX VENTURE:MON) recently entered into a definitive agreement with Ovation Capital ("Ovation"), a South African based investment firm, to fund development of Montero's phosphate rock properties near Saldanha Bay (Ref press release March 2, 2015). Ovation commissioned DRA Global ("DRA") to review a prior Technical Report on the Duyker Eiland project by AMEC (Ref press release November 16, 2011) and a prior Preliminary Economic Assessment ("PEA") by Turgis (Ref press release February 28, 2012). The objective being to define the parameters which have changed since the original studies and to assess the nature of the work required to complete a Pre-Feasibility Study on the project.

Dr. Tony Harwood, President and Chief Executive Officer of Montero commented, "Montero's partnership with Ovation is designed to develop and advance our phosphate assets with a view of mining and extracting phosphate rock and further beneficiating at a proposed Fertilizer Plant at Saldanha Bay port."

The DRA report, which is non NI 43-101 compliant, clearly sets out the parameters that have changed since the prior studies were undertaken and lists the positive attributes of the project. In addition, a number of key issues were highlighted that require more detailed assessment in the pre-feasibility study.

The review undertaken by DRA has identified that the project economics are positive but very sensitive to phosphate rock prices and to currency exchange rates in South Africa.

Ovation will earn a 10% interest in the Phosphate project by completing a pre-feasibility study and a further 20% by completing a bankable feasibility study for a phosphate rock mine at Duyker Eiland and an integrated Fertilizer Plant at Saldanha Bay, South Africa.

About Montero Mining & Exploration

Montero Mining and Exploration Ltd. is a mineral exploration and development company engaged in the identification, acquisition, evaluation and exploration of mineral properties. These include rare earth elements (REE) in Tanzania and phosphate rock deposits in South Africa. Montero remains focused on bringing in a strategic investor for the further development of the Wigu Hill Rare Earth Element Project in Tanzania and to develop its portfolio of phosphate properties in South Africa. Montero trades on the TSX Venture Exchange under the symbol MON.

Signed. Dr. Tony Harwood - President and CEO

CAUTIONARY STATEMENT: Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This News Release includes certain "forward-looking statements, which often, but not always, can be identified by the use of words such as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan" . These statements are based on information currently available to Montero and Montero provides no assurance that actual results will meet management's expectations. Forward-looking statements include estimates and statements with respect to Montero's future plans, objectives or goals, to the effect that Montero or management expects a stated condition or result to occur, including Montero's estimates with respect to mineral resource quantities, grades and economic potential. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, results of exploration, project development, reclamation and capital costs of Montero's mineral properties, and Montero's financial condition and prospects, could differ materially from those currently anticipated in such statements for many reasons such as: the ability to negotiate an investment with a strategic investor on acceptable terms; changes in general economic conditions and conditions in the financial markets; changes in demand and prices for minerals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with Montero's activities; the ability to complete a feasibility study which recommends a production decision; delays in the development of projects; capital and operating costs vary significantly from estimates; and other matters discussed in this News Release and in filings made with securities regulators. This list is not exhaustive of the factors that may affect any of Montero's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on Montero's forward-looking statements. Montero does not undertake to update any forward-looking statement that may be made from time to time by Montero or on its behalf, except in accordance with applicable securities laws.

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