Aldridge Minerals to Exit Papua New Guinea
- All Efforts Focused on Developing Yenipazar Project in Turkey -
TORONTO, July 6, 2012 /CNW/ - Aldridge Minerals Inc. (TSX Venture: AGM) ("Aldridge" or the "Company") announced today that it plans to exit Papua New Guinea ("PNG") following receipt of a formal notice from the Registrar of Tenements in PNG that the Company's licence renewal application for its non-core Kili Teke property was denied.
"Since Aldridge began to implement a change in management in the fall of 2011, our focus has been to advance our Yenipazar project in Turkey given the significant size of its mineral deposit, access to skilled labour and modern infrastructure, and support from local stakeholders," said Mario Caron, President and CEO of Aldridge. "The rejection of our renewal application supports current management's position that PNG is too volatile and that our efforts, as evidenced by recent progress, will deliver greater rewards if concentrated in Turkey."
Aldridge has had a limited presence in PNG since announcing the results of its first drill campaign at Kili Teke, which was completed in 2011 and affected by technical problems and poor drilling conditions.
As announced on February 24, 2012, Aldridge has been actively seeking partners or transactions that would allow the Company to realize the maximum value from its investments in Kili Teke. Given the uncertain political climate in PNG and the recent volatility of the capital markets, no discussions with potential partners progressed beyond the preliminary stage.
Aldridge submitted its licence renewal application in January 2011 as required by local mining laws and was operating under such renewal application. With the receipt of the formal notice, Aldridge has determined that it will take no further action in PNG, and avoid any litigation costs to seek redress.
About Aldridge Minerals Inc.
Aldridge is a near development stage mining company focused on advancing its Yenipazar polymetallic VMS deposit (Au, Ag, Cu, Pb, Zn) in Turkey - a country that is committed to developing its natural resources and is rapidly emerging as an economic powerhouse. Aldridge is currently building on its December 2010 Preliminary Economic Assessment with a Feasibility Study, which Aldridge expects to complete by the end of 2012. The Yenipazar deposit is subject to an earn-in agreement with Alacer Gold Corp., wherein Aldridge can earn a 100% working interest subject to certain conditions, subject to a 6% net profit interest ("NPI", revenues less operational costs) until revenues of US$165 million are generated, and a 10% NPI from there on.
Caution Regarding Forward-Looking Information
This news release includes certain forward-looking statements within the meaning of Canadian securities laws. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed in such forward-looking statements. Forward-looking statements in this news release, include, but are not limited to, economic performance and future plans and objectives of Aldridge. Any number of important factors could cause actual results to differ materially from these forward-looking statements as well as future results. Although Aldridge believes that the assumptions and factors used in making the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this new release, and no assurance can be given that such events will occur in the disclosed timeframes or at all. Aldridge disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Aldridge Minerals Inc.