Atalaya Mining Regulatory News (ATYM)

AIM: EMED, TSX: EMD 6 September 2011

EMED Provides Update on Permitting Progress for its Rio Tinto Mine

EMED Mining Public Limited (AIM: EMED, TSX: EMD) ("EMED Mining" or "the Company"), the Europe-based minerals development and exploration company, announces that it has duly completed and submitted documents as requested by the Junta de Andalucia (the "Government") Departments of Industry and Environment, mainly comprising the documents required to create an environmental restoration plan covering an enlarged land footprint.

Background:

In March 2011, the Government announced that it had satisfied itself as to the legality of the proposed administrative transmission (the approval of "Administrative Standing") of the Rio Tinto mineral rights acquired in 2007 by EMED Tartessus, the Company's wholly-owned subsidiary.

This thereby facilitated the prompt processing of the Company's application for Administrative Standing and the other approvals necessary for the restart of the mine. The Department of Culture and Heritage then issued its formal approval and the other two departments set out their requests and conditions.

The intended next steps during Q4-11 are the conditional approval of the enlarged restoration plan and the approval of Administrative Standing.

Harry Anagnostaras Adams, Managing Director of EMED Mining, commented:

"We continue to make notable progress on several fronts. The current regulatory process is consistent with the Company completing the critical permitting stages in 2011, obtaining formal access to all project lands in mid-2012 and to start commissioning in late 2012. As demonstrated by our prompt completion and submission of responses to all outstanding requests and conditions, we continue to work closely and positively with the local authorities.

Additionally, we have triggered the detailed documentation for plant-repair contracts, most of which are intended to be let to local suppliers. The number of people of people working at the site will now temporarily increase by about 50 and upon formalization of all permits, including formal occupation of the enlarged land footprint, there would be over 1,000 people working on the site. 

"We have received indicative term sheets from alternative project financiers, including the Company's bankers and the intended product customers.

"We continue as well to explore the larger potential at Rio Tinto. We have identified significant expansion possibilities in the Cerro Colorado open pit and in the adjacent San Dionisio underground mine. These possibilities will require separate permitting in due course, after completing the required drilling and planning which can proceed when Administrative Standing is granted."

Enquiries