Last checked at 16 Aug 2012 07:00
For immediate release 16 August 2012 Galileo Resources Plc ("Galileo" or the "Company") Award of Preliminary Economic Assessment of Glenover Rare Earth Project
The Board of Galileo Resources Plc ("Galileo"), the AIM-quoted emerging African Rare Earth exploration company, is pleased to announce that its joint venture company Glenover Phosphate (Pty) Ltd ("Glenover") has awarded a contract for a compliant preliminary economic assessment ("PEA") of its Glenover Rare Earth Project ("Glenover Project or the Project") to UK-based GBM Minerals Engineering Consultants Limited ("GBM").
Highlights
* Glenover commissions a compliant preliminary economic assessment of its Glenover Project on the back of the recently announced resource estimate for the Project * Quotations for the PEA received from four highly regarded industry consultants * GBM awarded contract on basis of minerals experience, price, delivery, study and project management capability and referee due diligence * Fast track completion of PEA anticipated in early 2013
Colin Bird, Chairman and Chief Executive Officer of Galileo Resources, commented: "We are pleased with our Project's results and as such we are moving rapidly to process the Project's development to production. The Project's rare-earth-bearing stockpiles, ease of access and position provides us with a strategic time advantage over our competitors."
Technical Sign-Off
Andrew Sarosi, Technical Director of Galileo, who holds a B.Sc. Metallurgy and M.Sc. Engineering, University of Witwatersrand and is a member of The Institute of Materials, Minerals and Mining, is a 'qualified person' as defined under the AIM Rules for Companies and a competent person under the reporting standards. The technical parts of this announcement have been prepared under Andrew Sarosi's supervision and he has personally approved the release of this announcement.
Editor's Note:
Galileo, is a natural resource exploration company. Its flagship project is the Glenover RE project, 100% held by Glenover Phosphate (Pty) Ltd, a joint venture with Fer-Min-Ore (Pty) Ltd and Black Economic Empowered entities. This property produced phosphate for many years. Phosphate however, is now subordinated to Rare Earths (REs), which the recent independently commissioned compliant resource estimate has shown to be present in the stockpiles from the previous operation and in the defunct open pit.
One of the current key benefits of this project for a medium-sized rare earth operation is that the costs and associated risks of mining the stockpiles and the resource in the defunct open pit should substantially be reduced.
The concession is of considerable size and hosts several RE mineralisation types. Following the issue of the compliant resource statement, the Company is undertaking a preliminary economic assessment with a view to advancing the project to feasiblity and eventual development and proving up a mineable RE resource.
Galileo currently has a 31.66% interest in Glenover and has the option, by way of additional staged payments, as set out in the Company's Admission Document, to earn up to a maximum interest of 73.73%. The operator is Glenover.
The Company also has a number of Iron Ore and Manganese exploration projects in the Cape Province, all of which are in proximity either to current operations or discoveries that are not currently being processed.
Galileo has rights to joint venture in an aggregate producing quarry close to Mthata in the Eastern Cape. The directors believe that the quarry is well positioned to supply construction aggregate for the significant potential infrastructure programme being undertaken by the local government.
For further information, please contact:
Colin Bird Tel +44 (0)20 7581 4477Chairman & CEOAndrew Sarosi Tel +44 (0) 1752 221937Technical & Finance DirectorBeaumont Cornish Limited, Tel +44 (0)20 7628 3396Nominated Advisor and BrokerRoland Cornish/James BiddleShore Capital Stockbrokers Limited Tel +44 (0)20 7408 4090Joint BrokerJerry Keen/Toby Gibbs
Bishopsgate Communications Tel +44 (0)20 7562 3350 Nick Rome/Anna Michniewicz/Ivana Petkova