Rambler Metals & Mining Plc
TSX VENTURE : RAB
AIM : RMM

Rambler Metals & Mining Plc

May 30, 2012 09:30 ET

Rambler Begins Trucking Copper Concentrate Following Start-up And Commissioning of its New Floatation Facility

LONDON, ENGLAND and BAIE VERTE, NEWFOUNDLAND AND LABRADOR--(Marketwire - May 30, 2012) - Rambler Metals and Mining plc (TSX VENTURE:RAB)(AIM:RMM) ('Rambler' or the 'Company') is pleased to announce the commencement of copper concentrate production with ore from its 100% owned Ming Copper-Gold Mine ("Ming Mine") in Newfoundland and Labrador's Baie Verte Peninsula, Canada.

COPPER PRODUCTION HIGHLIGHTS

  • On 14 May 2012 the Company officially began its copper production. First concentrates have now been trucked and are being stored at the port shipping warehouse

  • To date, all material processed has been commissioning ore from the Lower Footwall Zone with an average head grade of 1.30% copper. Flotation kinetics have been fast with an average throughput of 35 tonnes per hour

  • Mill recoveries are averaging 95%, producing a clean copper concentrate grading between 25% and 31%

  • 12,132 tonnes of lower grade ore remain stockpiled for commissioning grading 1.39% copper. Followed by 3,022 tonnes grading 4.53% copper and another 2,769 tonnes of moderate grade, 2.80% copper

  • Development headings for the 1807 ore zone are being prepared on the 338, 346, 361 and 375 levels with diamond drill holes returning encouraging results:

HOLE ID Heading From
(m)
To
(m)
Length
(m)
Cu
(%)
Au
(g/t)
Ag
(g/t)
MMUG12-60 361 23.60 30.10 6.50 15.46 1.39 25.31
MMUG12-61 361 27.10 35.70 8.60 11.70 2.17 17.60
MMUG12-67 375 49.88 55.29 5.41 8.65 2.54 16.36

George Ogilvie, President and CEO, commented:

"A major milestone for the Company has been achieved with the commencement of copper concentrate production. To date, concentrator commissioning has been going well and we are pleased that copper recoveries are exceeding expectations at such an early stage. Over the coming weeks, once the plant has been fully commissioned and optimized, we will begin blending the stockpiled ore from the higher grade 1807 zone."

"Commissioning the copper concentrator with Lower Footwall Zone ore will also provide invaluable information on its processing characteristics, which the Company can then use in future optimization and feasibility studies."

COPPER PRODUCTION

Live ore commissioning of the copper concentrator officially began on 14 May 2012. Over the last two weeks, approximately 6,624 tonnes has been processed at an average throughput of 35 tonnes per hour (tph). Daily production will continue to fluctuate over the coming weeks as the entire system is optimized before being automated with a more consistent throughput.

To date, copper recovery in the newly constructed facility has been exceptional. Recoveries during plant start-up have ranged between 91% and 99% and are now averaging close to 95%. This is again a significant improvement over internal forecasts which have been nominally calculated at 92.4%. The copper concentrate grade has ranged between 25% and 31% copper, which is in line with the Company's forecast grade of 28% copper. With further experience on ore processing capabilities from varying high grade feed sources, the Company will then be in a position to communicate its production forecasts on a quarterly and annual basis.

The Company is on track to reach commercial production in the second half of 2012.

Definition diamond drilling in the 1807 zone on the 346, 361 and 375 levels has returned a number of encouraging results. With blending of this zone expected to begin in June, the resultant copper concentrate produced is expected to be of high quality. The table below summarizes the results of some of the diamond drill core samples taken to date.

Table 2: Definition diamond drilling highlights from the 1807 Zone
HOLE ID Heading From
(m)
To
(m)
Length
(m)
Cu
(%)
Au
(g/t)
Ag
(g/t)
MMUG12-60 361 23.60 30.10 6.50 15.46 1.39 25.31
MMUG12-61 361 27.10 35.70 8.60 11.70 2.17 17.60
MMUG12-62 361 27.80 36.50 8.20 3.66 1.05 5.90
MMUG12-63 361 25.90 30.80 4.90 2.95 0.87 5.54
MMUG12-64 361 49.10 53.30 4.20 3.01 0.71 6.51
MMUG12-65 361 42.80 45.00 2.20 2.37 0.53 5.21
MMUG12-67 375 49.88 55.29 5.41 8.65 2.54 16.36
MMUG12-69 346/361 15.70 17.60 1.90 4.94 0.96 16.95
MMUG12-70 346/361 15.00 17.97 2.97 4.25 0.77 14.55
MMUG12-71 375 33.00 39.70 6.70 2.00 0.59 5.91
All quoted intersections are core lengths; true widths are estimated to be 50-75% of core length.

ABOUT RAMBLER METALS AND MINING

Rambler Metals and Mining plc is a Junior Mining Company that has 100% ownership of the Ming Copper-Gold Mine in Baie Verte, Newfoundland and Labrador, Canada. As a producing gold and copper miner, our objective is to become a mid-tier mining company by continuing the development of the Ming Mine, discovering new deposits and through mergers and acquisitions.

The initial six years of the Ming Mine project is based on the underground mining of massive sulphides with a mineable reserve estimate of 1.498 million ore tonnes grading 1.62% copper, 2.40 g/t gold and 10.90 g/t silver (24,252 tonnes of copper, 115,549 ounces of gold and 525,139 ounces of silver of contained metal). All massive sulphide zones remain open both up and down plunge with the current exploration program focused on extending the known mineralization for inclusion in the resource/reserve estimate.

In addition to the outlined reserve estimate, there is a sizeable footwall deposit beneath the massive sulphide horizon that has been outlined with an indicated resource grade of 18,306k tonnes grading 1.43% copper (261,258 tonnes of contained copper at a 1.00% copper cut-off grade). This zone forms the basis of the preliminary economic assessment, compiled by independent consultants, which envisions the Ming Mine transitioning itself into a bulk tonnage mining operation. For further information on the Ming Mine project, please refer to the Company's NI 43-101 compliant technical reports, available under the Company's profile on SEDAR (www.sedar.com).

Over the coming months and years, as the Company seeks to optimize the Ming Copper-Gold Mine into a cash positive position, it is expected that future expansion into the footwall zone will be formalized with the goal of maximizing returns for shareholders and increasing the life of the mine.

Larry Pilgrim, P.Geo., is the Qualified Person responsible for the technical content of this release and has reviewed and approved it accordingly. Mr. Pilgrim is an independent consultant contracted by Rambler Metals and Mining plc.

Drill hole referenced tonnes are dry metric tonnes while milling throughputs are quoted as wet tonnes unless otherwise indicated.

Caution Regarding Forward Looking Statements:

Certain information included in this press release, including information relating to future financial or operating performance and other statements that express the expectations of management or estimates of future performance constitute "forward-looking statements". Such forward-looking statements include, without limitation, statements regarding the financial strength of the Company, estimates regarding timing of future development and production and statements concerning possible expansion opportunities for the Company. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, interpretation and implications of drilling and geophysical results; estimates regarding timing of future capital expenditures and costs towards profitable commercial operations. Other factors that could cause actual results, developments or events to differ materially from those anticipated include, among others, increases/decreases in production; volatility in metals prices and demand; currency fluctuations; cash operating margins; cash operating cost per pound sold; costs per ton of ore; variances in ore grade or recovery rates from those assumed in mining plans; reserves and/or resources; the ability to successfully integrate acquired assets; operational risks inherent in mining or development activities and legislative factors relating to prices, taxes, royalties, land use, title and permits, importing and exporting of minerals and environmental protection. Accordingly, undue reliance should not be placed on forward-looking statements and the forward-looking statements contained in this press release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements contained herein are made as at the date hereof and the Company does not undertake any obligation to update publicly or revise any such forward-looking statements or any forward-looking statements contained in any other documents whether as a result of new information, future events or otherwise, except as required under applicable securities law.

Neither TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Rambler Metals and Mining
    George Ogilvie, P.Eng.
    President and CEO
    709-800-1929 / 709-800-1921

    Rambler Metals & Mining Plc.
    Corporate Office
    +44 (0) 20 8652-2700
    +44 (0) 20 8652-2719 (FAX)
    www.ramblermines.com

    Seymour Pierce Limited
    Nandita Sahgal / Jeremy Stephenson
    +44 (0) 20-7107-8000

    Pelham Bell Pottinger
    Charles Vivian / Philippe Polman
    +44 (0) 20 7861 3921

    Ocean Equities Limited
    Guy Wilkes
    +44 (0) 20-7786-4370