Rambler Completes Purchase of 50% Interest in the Little Deer Project
LONDON, ENGLAND and BAIE VERTE, NEWFOUNDLAND AND LABRADOR --
(Marketwired) -- 10/15/13 -- Rambler Metals and Mining plc (TSX
VENTURE:RAB) (AIM:RMM) ('Rambler' or the 'Company'), a copper and
gold producer operating in Newfoundland and Labrador, Canada,
announces that the Company has closed the transaction with
Cornerstone Capital Resources Inc. (TSXV:CGP) ('Cornerstone') for the
purchase of its 50 per cent participating interest in the Little Deer
Copper Deposit and Whalesback Mine (together called the 'Little Deer
The purchase results from the conditions in respect of the
conditional offer made to Cornerstone, which were announced on 17
September 2013, having been satisfied and has been effected through
Rambler's 100 per cent owned subsidiary, Rambler Metals and Mining
Canada Limited. The 50 per cent interest in the Little Deer Project
remains subject to a Joint Venture Agreement dated 20 April 2007 with
Thundermin Resources Inc. (TSX:THR) ('Thundermin').
The purchase price paid for Cornerstone's 50 per cent interest was
CAD$550,000, consisting of CAD$200,000 in cash and CAD$350,000 in
common shares of Rambler, to be issued within 90 days of closing and
after release of the Company's year-end results on 29 October 2013.
In addition, the purchase price consists of a 0.75 per cent net
smelter return (NSR) on Rambler's proportionate share of all products
derived from the Little Deer Project subject to a buyback of 0.5 per
cent of the NSR for CAD$500,000 at anytime; and the remaining 0.25
per cent of the NSR for fair market value as determined by the
economics of the Little Deer Project's feasibility study, at any
time, following the completion of the feasibility study.
George Ogilvie, President and CEO, commented:
"We are pleased to have closed this deal so quickly and can now
redirect our attention to working with Thundermin to help further the
Little Deer Project towards making a production decision. Some of the
initial work required will be diamond drilling to move the inferred
resource category into the measured and indicated resource categories
in preparation for more detailed engineering studies.
"Looking at the potential of the past producing mines on the property
we see many new synergies with our own fully integrated shipping and
mineral processing facilities."
Additional information on the project and future work programs will
be available on the Company's website at www.ramblermines.com.
ABOUT LITTLE DEER & WHALESBACK
The Little Deer copper Project, located in north-central
Newfoundland, is a 50-50 joint venture with Thundermin, the project
operator. Since 2007 approximately CAD$8 million has been invested
into the property including 55,000 metres of diamond drilling,
scoping level metallurgical test work, NI43-101 mineral resource
estimates and a Preliminary Economic Assessment ("PEA").
The project includes the past-producing Little Deer and Whalesback
underground copper mines which operated during the 1960's and 1970's.
Cornerstone's press release, dated 26 July 2012, outlined a NI43-101
resource estimate for Little Deer and Whalesback containing combined
Indicated Resources of 2,708,000 tonnes grading 2.16 per cent copper
(129.1 million pounds of copper) and Inferred Resources of 4,191,000
tonnes grading 2.07 per cent copper (191.3 million pounds of copper).
While Thundermin and Cornerstone have completed a NI43-101 technical
report on the property, a qualified person from Rambler has not done
sufficient work to classify the work as current mineral resources or
mineral reserves; as such Rambler is not treating the historical
estimate as current mineral resources or mineral reserves. Further
review of the previous work will be completed with the closing of the
Planned future work consists of infill diamond drilling to upgrade
any Inferred Resources to an Indicated or Measured Resource category
in order to further advance the project's engineering studies. Good
opportunities also exist to expand the mineral resources at both
The Little Deer Project is located less than 140 kilometres from the
Company's Nugget Pond base and precious metals processing facility
and only 30 kilometres from the Goodyear's Cove Port Facility.
ABOUT RAMBLER METALS AND MINING
Rambler is a mining and development Company that in 2012 brought its
first mine into commercial production. The group has a 100 per cent
ownership in the Ming Copper-Gold Mine, a fully operational base and
precious metals processing facility and year round bulk storage and
shipping facility; all located on the Baie Verte peninsula,
Newfoundland and Labrador, Canada.
Our Company Vision is to be Atlantic Canada's leading mine operator
and resource developer through the expansion of the Ming Mine,
discovering new deposits and through mergers and acquisitions.
Rambler listed on the London AIM in 2005 and Toronto TSX-V in 2007.
Larry Pilgrim, P.Geo., is the Qualified Person responsible for the
technical content of this release and has reviewed and approved it
accordingly. Mr. Pilgrim is an independent consultant contracted by
Rambler Metals and Mining Canada Limited.
Tonnes referenced are dry metric tonnes unless otherwise indicated.
Neither TSX Venture Exchange nor its Regulation Service Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
Caution Regarding Forward Looking Statements:
Certain information included in this press release, including
information relating to future financial or operating performance and
other statements that express the expectations of management or
estimates of future performance constitute "forward-looking
statements". Such forward-looking statements include, without
limitation, statements regarding copper, gold and silver forecasts,
the financial strength of the Company, estimates regarding timing of
future development and production and statements concerning possible
expansion opportunities for the Company. Where the Company expresses
or implies an expectation or belief as to future events or results,
such expectation or belief are based on assumptions made in good
faith and believed to have a reasonable basis. Such assumptions
include, without limitation, the price of and anticipated costs of
recovery of, copper concentrate, gold and silver, the presence of and
continuity of such minerals at modeled grades and values, the
capacities of various machinery and equipment, the availability of
personnel, machinery and equipment at estimated prices, mineral
recovery rates, and others. However, forward-looking statements are
subject to risks, uncertainties and other factors, which could cause
actual results to differ materially from future results expressed,
projected or implied by such forward-looking statements. Such risks
include, but are not limited to, interpretation and implications of
drilling and geophysical results; estimates regarding timing of
future capital expenditures and costs towards profitable commercial
operations. Other factors that could cause actual results,
developments or events to differ materially from those anticipated
include, among others, increases/decreases in production; volatility
in metals prices and demand; currency fluctuations; cash operating
margins; cash operating cost per pound sold; costs per ton of ore;
variances in ore grade or recovery rates from those assumed in mining
plans; reserves and/or resources; the ability to successfully
integrate acquired assets; operational risks inherent in mining or
development activities and legislative factors relating to prices,
taxes, royalties, land use, title and permits, importing and
exporting of minerals and environmental protection. Accordingly,
undue reliance should not be placed on forward-looking statements and
the forward-looking statements contained in this press release are
expressly qualified in their entirety by this cautionary statement.
The forward-looking statements contained herein are made as at the
date hereof and the Company does not undertake any obligation to
update publicly or revise any such forward-looking statements or any
forward-looking statements contained in any other documents whether
as a result of new information, future events or otherwise, except as
required under applicable law.
Rambler Metals and Mining
George Ogilvie, P.Eng.
President and CEO
Rambler Metals and Mining Plc
+44 (0) 20 8652-2700
+44 (0) 20 8652-2719 (FAX)
Cantor Fitzgerald Europe
Stewart Dickson / Jeremy Stephenson
+44 (0) 20 7894 7000
Blythe Weigh Communications
Tim Blythe/Halimah Hussain
+44 (0) 20 7138 3204
Ocean Equities Limited
+44 (0) 20-7786-4370
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