11 May 2011 10:36
Regency Mines PLC
('Regency', 'Regency Mines' or the 'Company')
Update on Mambare project timetable and Bundarra
Technical Team - Group Chief Scientific Adviser appointment
Shares in Issue
11 May 2011
Direct Nickel Ltd ("DNi")/Mambare project timetable update
Regency Mines, the mining exploration and mineral investment company with interests in nickel and other minerals in Western Australia, Queensland, Papua New Guinea and Pakistan, announces progress in the Joint Venture between DNi and Regency (the "JV"), operating through the JV's Papua New Guinea ("PNG") subsidiary Canopus No 83 Ltd (to be renamed Oro Nickel Ltd), that is currently preparing a drill programme at the JV's Botue-Mambare nickel-cobalt project.
The Project Management staff are on site to complete preparation for the start of drilling, which is now expected to start towards the end of the month, some 4 weeks later than the original schedule.
Other staff are working on site to complete the line survey, test pitting, camp construction, and contracting of local labour. Clearing of the drill lines and compensation to land occupants is complete, clearance and preparation for the GPR (ground-penetrating radar) survey is 95% complete and work has begun on the infill drilling lines. Test pitting for density and moisture sampling is 95% complete.
Exploration camp construction is 75% complete, with the helicopter pad complete. Community meetings are being held. Communications equipment is being installed, including a satellite dish. 220 ground control points have been established to improve survey accuracy. Medical support has been organised with a paramedic expected on site shortly from Customer Care in Sydney.
The drill company's shipping container has arrived at Port Moresby and awaits customs clearance before transhipment to the project area. Delay here and delays in the procuring of visas for the drillers mean that the start date for drilling is now targeted for 23rd May, and could be end month.
The new GPR survey is also expected to start end-month.
Canopus No 83 Ltd, the local operating company, is changing its name to Oro Nickel Ltd, and will henceforth be referred to under that name.
Bundarra prospect
The Company through its subsidiary Regency Mines Australasia Pty Ltd has contracted Geotech Airborne Pty Ltd to conduct a 1,054 line km helicopter-borne VTEM (versatile time-domain electromagnetic) survey over five areas at Regency's Bundarra copper-gold prospect in Queensland. The programme is planned for after 15th August 2011, and will take one week.
Technical Team - Group Chief Scientific Adviser
Richard Evans, an adviser to the Company's associate Red Rock Resources plc (AIM:RRR), has taken up the role of Group Chief Scientific Adviser, in which capacity he will advise all companies in the Regency Mines group. Mr Evans has a BSc degree in geology from the University of Melbourne and a postgraduate qualification in business studies. He is a Member of the Australasian Institute of Mining and Metallurgy, with 25 years' experience in the mining industry. He spent 18 years with WMC Limited in a variety of technical, commercial and managerial roles; including front-line exploration and production, project assessment and feasibility. This also included five years based in South Africa and Mozambique progressing WMC's Corridor Sands Project. Since 2009 he has worked with Resource Star Limited (ASX:RSL), an associated company of RRR, as CEO and latterly as geological consultant.
Shares in Issue
In Regency Mines' announcement dated 6th May 2011 it was erroneously stated that the total number of the Company's ordinary shares in issue following the exercise of options was 411,856,777. The figure should have been 603,244,403.
For further information contact:
Regency Mines PLC Andrew Bell, Chairman 0207 402 4580
Sandra Spencer, Public and
Investor Relations 0207 402 4580
Nominated Adviser
Religare Capital Markets Peter Trevelyan-Clark/Ben Jeynes 020 7444 0800
Broker
Simple Investments Ltd Nick Emerson 01483 413500
Updates on the Company's activities are regularly posted on its website www.regency-mines.com.
Note: DNi is a private company incorporated in Australia. Itis currently demonstrating a potentially revolutionary process with attractive economics for treating laterite nickel ores (the "Direct Nickel Process" or the "Process").
The Direct Nickel Process is a hydrometallurgical process for treating nickel laterites with unprecedented efficiency and environmental benefits. It is designed to operate with tank leaching at atmospheric pressure, and is the first to treat both limonite and saprolite ores with a single flowsheet. The Process recycles its novel reagents, offers high cobalt and nickel recoveries with short residence time, produces mixed hydroxide precipitates ("MHP") or sulphide concentrate, has substantially lower capital and operating costs than competing processes and is fully scalable.