Erin looks to advance the project to feasibility
Erin Ventures Inc. [TSX-V: EV] announces that the work program required to advance its 100% owned Piskanja project to a feasibility study stage has commenced. Piskanja is a high-grade boron deposit with a NI 43-101 compliant mineral resource of 5.6 million indicated tonnes (30.8% B2O3), in addition to 6.2 million inferred tonnes (28.8% B2O3).
This work phase includes: infill drilling on a 50×50 meter grid to raise the confidence level to “measured” in the central part of the deposit; inclined structural holes to aid in a better understanding of the complexities of the tectonics of the deposit; exploratory drill holes to evaluate the potential propagation of ore bodies in the direction of some positive Rio Tinto drill results to the western and southern extremities of the property; drill holes along the alignment of the planned decline and main ventilation shafts; bulk sampling of several tons of mineralized material from the central part of the deposit utilizing large diameter bore holes for metallurgical and beneficiation studies; geotechnical, environmental, social impact, hydrological and other studies; and, a feasibility study.
“This next phase could possibly be completed within 12 months at a cost of under $5 million, if all goes as expected” said Tim Daniels, President of Erin. “The desired outcome is a deposit with a measured resource, a larger overall resource in all categories, and a feasibility study that helps prepare the project for eventual mine development and exploitation. Taking the project to this next level also improves our ability to source and secure strategic partners and financing on terms that are more favourable to Erin”
This work program is designed to ensure that the project complies both with the Canadian Institute of Mining “Best Practice Guidelines” and Serbian mine development regulations, as well as being a required step in the Serbian mine licensing process.
Additionally, Erin announces that it has temporarily delayed the Resource Certification process (the first step in the mine license application process) for the Piskanja property, until either proposed new mining laws are ratified in Serbia, or Erin completes its next work phase (that takes the project through to feasibility). Erin was anticipating the implementation of the new mining laws prior to the completion of its Resource Certification process, however that has not occurred. Erin believes that the draft mining laws will provide significantly superior protection to Erin’s mineral property rights as Erin proceeds through the mine licensing stages, as well as provide for mine license approval steps that better match with “industry best practice” mine development phases. Erin considers these to be substantial and required improvements to the current Serbian mining regulations, prompting Erin’s decision to delay the certification process.
“The current Serbian mining law prohibits us from completing the next phase of technical work on the property that is required to take the project through to a feasibility study stage, if we were to complete the Resource Certification now. Unfortunately, as the result of the recently called election in Serbia, it may be several more months before the new mining laws are adopted. Therefore the only prudent course of action in order to continue the advancement of the project (given the current laws) is for us to complete the required work before continuing with the resource certification and other mine licensing steps” said Tim Daniels, President of Erin Ventures. “Of course, we may choose to continue with the certification process once the new laws are in place, without stopping or altering our ongoing work program.”
The Piskanja project development timing, strategy, and costs are not anticipated to be materially affected by the decision to delay the Resource Certification. The planned development work phases required in order for the project to comply with both the Canadian Institute of Mining “Best Practice Guidelines” and Serbian mine development regulations remain unchanged and are expected to proceed on schedule. Erin’s operations comply with both the current and the proposed new mining laws.
On behalf of the Board of Directors,
Blake Fallis, CFO
About Erin Ventures
Erin Ventures Inc. is an international mineral exploration and development company with boron assets in Serbia and gold assets in North America. Headquartered in Victoria, B.C., Canada, Erin’s shares are traded on the TSX Venture Exchange under the symbol “EV”. For detailed information please see Erin’s website at www.erinventures.com or the Company’s filed documents at www.sedar.com.
Piskanja is a high-grade boron deposit with a NI 43-101 compliant mineral resource of 5.6 million indicated tonnes (30.8% B2O3), in addition to 6.2 million inferred tonnes (28.8% B2O3).
For further information, please contact:
Erin Ventures Inc. Canada
Blake Fallis, General Manager TSX Venture: EV
Phone: 1-250- 384-1999 or 1-888-289-3746 USA
645 Fort Street, Suite 203
Victoria, BC V8W 1G2
Erin’s Public Quotations:
TSX Venture: EV
SEC 12G3-2(B) #82-4432
Berlin Stock Exchange: EKV
The technical information in this release was prepared and approved by James E Wallis, M.Sc. (Eng), P. Eng., a consultant to the company, who is a Qualified Person under National Instrument 43-101.
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.
Forward Looking Statements
This press release contains or refers to forward-looking information under Canadian securities legislation, including statements regarding the timing of future mineral resource estimates and the PEA, estimation of mineral resources, exploration results, potential mineralization, exploration and mine development plans, timing of the commencement of operations and future production and is based on current expectations that involve a number of business risks and uncertainties. The words “believe,” “expect,” “feel,” “plan,” “anticipate,” “project,” “could,” “should” and other similar expressions generally identify forward-looking statements. Forward-looking statements are subject to significant risks and uncertainties, and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to, failure to convert estimated mineral resources to reserves, capital and operating costs varying significantly from estimates, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and the other risks involved in the mineral exploration and development industry, as well as those factors discussed in the section entitled “Risks of the Business” in the Company’s most recent regulatory filings which are posted on SEDAR at www.sedar.com. These forward-looking statements are made as of the date hereof and the Company assumes no responsibility to update them or revise them to reflect new events or circumstances other than as required by applicable securities law. These and other factors made in public disclosures and filings by the Company should be considered carefully.
Mineral resources are not mineral reserves and do not have demonstrated economic viability. “Inferred Resources” have a great amount of uncertainty as to their existence, and economic and legal feasibility. Investors are cautioned not to assume that all or any part of an inferred mineral resource reported in this news release will ever be upgraded to a higher category or to reserves. U.S. persons are advised that while mineral resources are recognized under Canadian regulations, the U.S. Securities and Exchange Commission does not recognize them. U.S. persons are also cautioned not to assume that all or any part of an inferred mineral resource is economically or legally mineable.