Last checked at 21 Jan 2021 10:28
21 January
EURASIA MINING PLC
("Eurasia" or "the Company")
West Kytlim DFS Approved
Eurasia Mining plc, the palladium, platinum, rhodium, iridium and gold producing company, operating the established West Kytlim Mine in the Urals, and also the operator of the Monchetundra Project comprising two predominantly palladium open pit deposits near base metal and PGM processing facilities and close to the town of Monchegorsk on the Kola Peninsula, is pleased to announce the approval of the West Kytlim definitive feasibility study ("DFS") by a formal meeting of the Russian State Committee on Reserves.
Approval of the Definitive Feasibility Study
The DFS is the final stage feasibility study that starts with the concept/scoping study, then develops into preliminary feasibility study/studies ("PFS") followed by feasibility study/studies ("FS") and finally by DFS.
As previously announced, the DFS was prepared by GeoInvestProject ("GIP"), an independent technical and engineering consulting company.
The DFS formal approval is a step change in the development of West Kytlim, eliminating single asset risk by allowing production at several open pits concurrently, thereby increasing production volumes in comparison to a sequential mining approach.
In addition, the DFS allows for year-round stripping, earth moving and ore stockpiling in advance of the ore processing.
Ongoing Operations
The stripping and earthmoving activities are ongoing and unaffected by COVID-19 (zero cases to date thanks to the mechanised open pit nature of the operations and the strict prevention measures implemented) and are set to continue uninterrupted until the spring when running water will allow the resumption of ore beneficiation, which will run concurrently with mining operations.
The cash position of the company is over $7m after significant CAPEX made into production expansion and after rehabilitation of the areas already mined at West Kytlim.
Comments
Christian Schaffalitzky, Executive Chairman commented: "The Directors are pleased with the DFS approval, aimed at production increases, and confirming West Kytlim's position as the world's largest operation of this type. After significant capital investment at West Kytlim into the production scale up and into the rehabilitation, the cash position of Eurasia is robust with over $7m, while the Company is pursuing its strategy as previously reported. Further announcements will be made in due course".
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.
ENQUIRIES:
Eurasia Mining Plc
Christian Schaffalitzky/ Keith Byrne
+44 (0)207 932 0418
SP Angel Corporate Finance LLP (Nomad and Joint Broker)
Ewan Leggat / David Hignell / Adam Cowl
+44 (0)20 3470 0470
Optiva Securities (Joint Broker)
Christian Dennis
Tel: +44 (0) 20 3137 1902