ZUG, SWITZERLAND, March 30, 2012 /PRNewswire/ - Katanga Mining Limited (TSX: KAT) ("Katanga" or the "Company") is pleased to announce the filing of its Annual Information Form and updated Independent 43-101 Compliant Technical Report (the "2012 ITR") today on SEDAR.
The 2012 ITR updates the Company's Independent 43-101 compliant Technical Report dated March 2011 (the "2011 ITR"):
- The Updated Phase 4 Expansion of Katanga's mine complex, which is comprised of the following changes to the Company's New Phase 4"":
- an additional 100,000 tonnes per annum solvent extraction ("SX") plant, over and above the 200,000 tonnes per annum SX plant described in the 2011 ITR, to be constructed in front of the existing Luilu electrowinning plant.
- Katanga reaching higher copper and cobalt production levels sooner than the timelines described in the 2011 ITR;
- an increase in capital expenditures relating to the Updated Phase 4 Expansion from approximately $537 million as described in the 2011 ITR to approximately $635 million due primarily to the inclusion of the additional SX plant and an in-pit crusher at the KOV Open Pit; and
- the increase of copper production to 270,000 tonnes per annum of LME Grade A copper and thereafter the expansion of copper production to 310,000 tonnes per annum which the Company intends to proceed with utilizing anticipated cash flows from operating activities;
- an update of ore reserves and mineral resources described in the Company's press release dated March 23, 2012 titled "Katanga Mining Announces Ore Reserves and Mineral Resources". The ore reserve estimate has decreased by only 1 million tonnes despite 4.5 million tonnes being mined in 2011. This results from the following inclusions in the ore reserve estimates:
- ore reserves at KOV Open Pit due to additional design work conducted;
- the ore reserve up to 2014 at T-17 underground due to additional technical and design studies conducted during 2011; and
- an extension to T-17 Open Pit due to additional study conducted.
This press release was prepared under the supervision of Tim Henderson, Technical Consultant, Katanga and a 'qualified person' as such term is defined in NI 43-101. Mr. Henderson has reviewed and approved the contents of this press release.
About Katanga Mining Limited
Katanga Mining Limited operates a major mine complex in the Democratic Republic of Congo producing refined copper and cobalt. The Company has the potential to become Africa's largest copper producer and the world's largest cobalt producer. Katanga is listed on The Toronto Stock Exchange under the symbol KAT.
Forward Looking Statements
This press release may contain forward-looking statements, including, but not limited to, an increase in copper and cobalt production levels, an increase in capital expenditures and mineral reserve and mineral resource estimates. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.
Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the actual results of current exploration activities; actual results and interpretation of current reclamation activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of copper and cobalt; possible variations in ore grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, development or construction activities, as well as those factors disclosed in the Company's current annual information form and other publicly filed documents. Although Katanga has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise, except in accordance with applicable securities laws.
SOURCE Katanga Mining Limited