Afferro Mining Inc. - Signing of MOU with POSCO for Development of Projects in
/NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS
LONDON, Feb. 25, 2013 /CNW/ - Afferro Mining Inc. ("Afferro" or the
"Company"), the exploration and development company focused on iron ore in
Cameroon, is pleased to announce that it has signed a memorandum of
understanding ("MOU") with POSCO Africa (Pty) Ltd. ("POSCO Africa"). Both
parties have agreed to endeavor and cooperate in order to negotiate a
definitive agreement in relation to Afferro's Nkout, Ntem and Akonolinga iron
ore projects in Cameroon.
-- POSCO Africa signs MOU with the intention of making a project
-- POSCO Africa to cooperate to facilitate infrastructure and
project development funding
-- Both parties working towards signing a definitive agreement
during Q2 2013
POSCO Africa (Pty) Ltd is a 100% subsidiary of POSCO Co. Ltd. This MOU is
non-binding and non-exclusive.
Luis da Silva, Chief Executive Officer of Afferro, commented:
"The MOU with POSCO Africa is a potentially transformational step in the
continuing development of our high quality and strategically located portfolio
of iron ore assets in Cameroon. The MOU is an endorsement of the work we have
undertaken to de-risk our asset base and establish a platform from which to
enter the next stage of our development.
POSCO has extensive expertise in developing iron ore projects and related
infrastructure, and an existing presence in Africa, making them an ideal
partner to work with us to unlock long term value from our project portfolio.
We are pleased to have reached a stage of negotiations with a potential
partner with the credibility and capabilities of POSCO Africa, which we firmly
believe reflects the potential of our assets."
About Afferro Mining Inc.
Afferro is an established exploration and development company listed on the
TSX-V (AFF) and AIM (AFF). Afferro's portfolio includes the 100% owned
Nkout, Ntem and Akonolinga iron ore projects. It also holds a 70% interest
in the Ngoa project, an exploration target bordering Nkout. Nkout comprises
a National Instrument 43-101 ("NI 43-101") compliant Indicated Mineral
Resource Estimate of 1.19Bt at 32.9% Fe and an Inferred Mineral Resource
Estimate of 1.33Bt at 30.3% Fe.
POSCO is an integrated steel producer in Korea. It produced approximately 37.3
million tons of crude steel during the year ended December 31, 2011, a
substantial portion of which was produced at Pohang Works and Gwangyang Works.
POSCO's product portfolio consists of hot rolled steels, steel plates, wire
rods, cold rolled steels, galvanized steels, electrical galvanized steels,
electrical steels, stainless steels and titanium products, which are used in
ships, automobiles, consumer electronics, machine structural uses and general
Howard Baker (MAusIMM(CP)) has 18 years' experience in the mining industry and
10 years' experience in the exploration, definition and mining of iron ore
mineral resources. Mr Baker is a full-time employee of SRK Consulting (UK)
Ltd., an independent consultancy, and has sufficient experience which is
relevant to the style of mineralisation and type of deposit under
consideration, and to the type of activity which he is undertaking to qualify
as a Qualified Person in accordance with NI 43-101 and a Competent Person as
defined in the June 2009 Edition of the AIM Note for Mining and Oil & Gas
Companies. Howard Baker consents to the inclusion in the announcement of the
matters based on their information in the form and context in which it appears
and confirms that this information is accurate and not false or misleading.
This announcement includes certain forward-looking statements. All statements,
other than statements of historical fact, included herein are forward-looking
statements that involve various known and unknown risks and uncertainties as
well as other factors. Such forward looking statements are subject to a number
of risks and uncertainties that may cause actual results or events to differ
materially from current expectations, including delays in obtaining or failure
to obtain required regulatory approvals. There can be no assurance that such
statements will prove to be accurate and actual results and future events
could differ materially from those anticipated in such statements.
Information about the risks and uncertainties of the Company's business is
provided in its disclosure materials, including its Annual Information Form
and its MD&A for the 12 months ended 31 December 2011, available under the
Company's profile on SEDAR at www.sedar.com. Factors that could cause actual
results or events to differ materially from current expectations include but
are not limited to: exploration risks, the grade and recovery of ore which
is mined varying from estimates; estimates of future production, mine
development costs, timing of commencement of operations; changes in exchange
rates; access to capital; fluctuations in commodity prices; and adverse
political and economic developments in the countries in which we or our
investments operate. Although the Company has attempted to identify
important factors that could cause actions, events or results to differ
materially from those described in forward looking information, 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
information will prove to be accurate, as actual results and future events
could differ materially from those anticipated in such information.
Accordingly, readers should not place undue reliance on forward-looking
information. The forward-looking information contained herein, speaks only as
of the date hereof (unless stated otherwise) and, except as may be required by
applicable law, Afferro disclaims any obligation to update or modify such
forward-looking statements, either as a result of new information, future
events or for any other reason.
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 of this release.
Afferro Mining Inc. Luis da Silva / Jeremy Cave Tel: +44 (0) 20 7010 7680
Investec Nominated Adviser: Neil Elliot Corporate Broker: Chris Sim Tel: +44
(0) 20 7597 5970
RBC Capital Markets Joint Broker: Martin Eales / Richard Hughes Tel: +44
(0) 20 7653 4000
Pelham Bell Pottinger Daniel Thöle / James MacFarlane Tel: +44 (0) 20 7861
SOURCE: Afferro Mining Inc.
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CO: Afferro Mining Inc.
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-0- Feb/25/2013 12:00 GMT
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