| Mon 11 Jul 2011, 8:56 | | PET - Petmin Limited - Petmin invest an additional US$1.5m to secure a 50% |
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PET
PET
PET - Petmin Limited - Petmin invest an additional US$1.5m to secure a 50%
interest in Iron Bird Resources Inc
PETMIN LIMITED
Incorporated in the Republic of South Africa
Registration Number 1972/001062/06
Share Code JSE: PET & ISIN: ZAE000076014
Share Code AIM: PTMN
("Petmin" or "the Company")
JOINT ANNOUNCEMENT
Hummingbird Resources plc ("Hummingbird") (AIM:HUM) and Petmin Limited
("Petmin")(AIM:PTMN)
Petmin invest an additional US$1.5m to secure a 50% interest in Iron Bird
Resources Inc
Hummingbird and Petmin are pleased to announce that Petmin has invested a
further US$1.5m in Iron Bird Resources Inc ("Iron Bird") the sole owner of the
Mt Ginka iron ore exploration licence in northern Liberia.
This concludes phase two of Petmin`s investment under the joint venture
agreement with Hummingbird, announced on 25 January 2011 ("Joint Venture
Agreement").
The investment takes Petmin`s total investment in Iron Bird to US$2m, and under
the terms of the Joint Venture Agreement, Hummingbird and Petmin now each hold
50% in Iron Bird. Both parties now have the option to contribute equally to any
further funding required.
This investment means that Iron Bird is fully funded for the next stage of work,
which focuses on geological mapping, trenching, drilling and metallurgical test
work. This work program is focused on obtaining representative samples of the
ore body to confirm the earlier grab samples which ranged from 33%-54% Mag Fe
and to demonstrate that the ore body is both extractable and economic. Future
drilling will give an indication of the size of the deposit.
Commenting today, Dan Betts CEO of Hummingbird:
"We are very pleased that Petmin has invested a further $1.5m to complete its
second phase of investment. This investment underlines Petmin`s confidence in
the potential of this project, which recent airborne geophysics have shown to be
significant."
Jan du Preez, Petmin`s CEO said:
"Our investment of the $1.5m secures our 50% interest in Iron Bird and
highlights the potential of what we see in this well located project. It also
further underpins the value of Petmin`s business strategy of investing astutely
in projects which feed into the steel and infrastructure development value
chain."
Iron Bird
On 27th June 2011 it was announced that a continuous magnetic unit, interpreted
as an iron formation, extended 20km along strike with widths of up to 250m and
depths of 1,000m. This was discovered from the results of a recently flown
aeromagnetic survey over the Mount Ginka license.
Iron Bird Resources is the sole owner of the Mt Ginka iron ore exploration
license in northern Liberia. The prospect lies approximately 20km south of the
Mount Nimba ridge, a historic major iron ore mine reportedly producing between
12Mt and 24Mt per annum of high grade direct shipping ore during the period 1964
to 1989, which has been re-opened by Arcelor Mittal. Approximately 15km to the
west of the Mount Ginka ridge lies the railway built to transport the Mount
Nimba iron ore to the deep water port of Buchanan.
ENDS
Enquiries:
Hummingbird Resources plc
Daniel Betts, Chief Executive Officer
Thomas Hill, Chief Financial Officer and Company Secretary
Robert Monro, Corporate Development
+44 (0)203 416 3560
Liberum Capital Limited
Nominated Adviser and Joint Broker
Tom Fyson / Richard Bootle
+44 (0)20 3100 2222
Mirabaud Securities LLP
Joint Broker
Peter Krens +44 (0) 20 7321 2508
Threadneedle Communications Limited
Laurence Read /Beth Harris +44 (0)20 7653 9850
Petmin Limited
Bradley Doig
+27 82 459 7818
River Group
Andrew Lianos
+27 83 440 8365
Numis Securities Ltd
Nominated Advisor and Broker
John Harrison / James Black
+44 (0) 207 260 1000
Notes to Editors
Hummingbird Resources plc is an AIM quoted mineral exploration company
incorporated in England and Wales and headquartered in London. Since its
establishment in November 2005, the Group has been active in Liberia, West
Africa, and is currently the holder of the largest area of mineral exploration
ground in the highly prospective Birimian geological region of eastern Liberia.
The Group`s licences are prospective for gold, iron ore and other minerals.
The Group currently holds exploration licences covering approximately 7,000
square kilometres in total, which constitutes a significant proportion of
eastern Liberia containing the Birimian sequence.
The Group`s most advanced gold exploration has taken place in the Dugbe, Joe
Village and Zia licence areas, with a recently confirmed gold resource at the
Dugbe F Project of 20.90 million tonnes at 1.208 g/t to give 812,000 oz Au using
a cut-off grade of 0.5 g/t (Indicated resource of 552,000 ounces of gold at
1.078 g/t Au and an Inferred resource of 260,000 ounces of gold at 1.624 g/t
Au). The exploration has been based on sound geological premises and has been
executed in an efficient and practical manner according to best industry
practices.
For more information, please visit www.hummingbirdresources.co.uk
Petmin Limited is a JSE and AIM listed mining company that is primarily focused
on a mix of quality, cash-producing assets and projects, with a diverse
geographical spread of commodities that feed into infrastructure growth and
urbanisation.
Petmin is one of the leading producers of quality anthracite and silica in South
Africa and has an iron ore project in Canada and has recently announced an
investment in a copper project in Turkey. The company has been listed on the JSE
Limited (JSE) since 1986 and the London Stock Exchange`s Alternative Investment
Market (AIM) since 2006.
For more information, please visit www.petmin.co.za
Date: 11/07/2011 08:56:01 Produced by the JSE SENS Department.
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