EGU.L Regulatory News (EGU)

27 Sep 2006 07:01

European Goldfields Ltd27 September 2006 For Immediate Release 27 September 2006 URBANISATION CERTIFICATE RECEIVED FOR CERTEJ European Goldfields Limited (AIM: EGU / TSX: EGU) is pleased to announce thatthe Hunedoara County Council has issued a General Urbanisation Certificate forthe company's 80%-owned Certej project in Romania. The certificate confirms thedesignation of Certej as an industrial mining area. In August 2006, European Goldfields announced that it expected to receive theUrbanisation Certificate by November 2006. Commenting on this award, David Reading, Chief Executive Officer of EuropeanGoldfields, said: "We are delighted to have received the UrbanisationCertificate, two months earlier than expected. This important milestone is thefirst official step in the permitting process for Certej." Clear path for permits at Certej - European Goldfields has recently completedall necessary Environmental Impact Assessments (Levels I and II) for the Certejproject, and is now actively conducting various additional studies in support ofits permit application, including: • a Social Impact Assessment Study, to be completed by November 2006• an Archaeological Study, to be completed by the Ministry of Culture by January 2007• an Environmental Impact Study (EIS), to be completed in Q1 2007• a Romanian Feasibility Study (RFS), to be submitted to the government together with the EIS European Goldfields already holds a mining permit for Certej, which is currentlybeing exploited in a small scale by Minvest S.A., the company's partner inRomania. Minvest, the state-owned mining company, owns the remaining 20%interest in Certej. In Q1 2007, European Goldfields plans to submit the RFS and EIS as part of itsapplication for environmental and mining permits, allowing an increase inproduction at Certej and the processing of ore on site. The permits and adetailed urbanisation plan would then be expected by Q3 2007 following astandard public consultation process with the local community. Customaryconstruction and public utility permits would follow later in 2007 when thedetailed engineering design has been completed for the site plant. ECOIND and Cepromin, Romanian companies with proven track records inenvironmental research and permitting procedures, and the Technical Universityof Civil Engineering Bucharest have been employed to assist in preparing thesestudies. About European Goldfields European Goldfields is a resource company involved in the acquisition,exploration and development of mineral properties in Greece, Romania and theBalkans. Greece - European Goldfields holds a 65% interest in Hellas Gold S.A. HellasGold owns the three major gold and polymetallic deposits of Stratoni, Skouriesand Olympias in Northern Greece. Hellas Gold commenced production at Stratoni inSeptember 2005 and selling an existing stockpile of Olympias gold concentratesin July 2006. Hellas Gold is applying for permits to develop the Skouries andOlympias projects. Romania - European Goldfields owns 80% of the Certej project in Romania.Resources were recently converted into Canadian NI 43-101 compliant reserves,underpinning the value of the project. European Goldfields is now completing afeasibility study for submission to the Romanian government in Q1 2007, insupport of a permit application to develop the project. For further information please contact: European Goldfields: website: www.egoldfields.comDavid Reading, Chief Executive Officer e-mail: info@egoldfields.comOffice: +44 (0)20 7408 9534 Buchanan Communications: e-mail: bobbym@buchanan.uk.comBobby Morse / Ben WilleyOffice: +44 (0)20 7466 5000 Renmark Financial Communication: website: www.renmarkfinancial.comTina Cameron e-mail: tcameron@renmarkfinancial.comOffice: +1 514 939 3989 Forward-looking statements Certain information included in this news release, including any information asto the Company's future financial or operating performance and other statementsthat express management's expectations or estimates of future performance,constitute "forward-looking statements". The words "expect", "will", "intend","estimate" and similar expressions identify forward-looking statements.Forward-looking statements are necessarily based upon a number of estimates andassumptions that, while considered reasonable by management, are inherentlysubject to significant business, economic and competitive uncertainties andcontingencies. The Company cautions the reader that such forward-lookingstatements involve known and unknown risks, uncertainties and other factors thatmay cause the actual financial results, performance or achievements of theCompany to be materially different from its estimated future results,performance or achievements expressed or implied by those forward-lookingstatements and the forward-looking statements are not guarantees of futureperformance. These risks, uncertainties and other factors include, but are notlimited to: changes in the worldwide price of gold, base metals or certain othercommodities (such as fuel and electricity) and currencies; the successful andtimely permitting of the Company's Skouries, Olympias and Certej projects;legislative, political, social or economic developments in the jurisdictions inwhich the Company carries on business; operating or technical difficulties inconnection with mining or development activities; the speculative nature of goldand base metals exploration and development, including the risks of diminishingquantities or grades of reserves; and the risks normally involved in theexploration, development and mining business. These factors are discussed ingreater detail in the Company's Annual Information Form for the year ended 31December 2005, filed on SEDAR at www.sedar.com. The Company disclaims anyintention or obligation to update or revise any forward-looking statementswhether as a result of new information, future events or otherwise. This information is provided by RNS The company news service from the London Stock Exchange