Metal Tiger Plc
("Metal Tiger" or the "Company")
Thailand Strategic Progress Update
Metal Tiger plc (LON: MTR) the London Stock Exchange AIM listed investor in strategic natural resource opportunities is pleased to announce that South East Asia Exploration and Mining (“SEAM”), the Company’s 90% owned Joint Venture partner in Thailand has agreed an extension to the Standstill Letter Agreement (“SLA”) as originally announced on 11 April 2016.
The SLA is in respect of the Company’s work to secure an interest in the Boh Yai and Song Toh Silver-Lead-Zinc mines within its exploration properties in Kanchanaburi province, Western Thailand (the “Mines”).
The Company has been undertaking extensive discussions with the existing owners to identify the optimal route to undertake mine permitting, rehabilitation and planning for re-commencement of production and the formulation of a commercial agreement that is fair and reasonable to all parties.
Our work with the existing owners has been highly productive and the parties have agreed a workable approach across all material elements of the proposed commercial agreement. It is pleasing to note that great care is being taken by all parties to ensure the agreement recognises the importance of thorough and diligent mine planning, with a full focus on environmental protection, and support for the communities engaged with the Mines.
The Directors of the Company believe that there is potential for the Mines to offer profitable production over an extended period particularly when considering the upside exploration potential and it is necessary to ensure that we adopt an optimal corporate structure post agreement. In order to finalise our collaborative work in this regard all parties have agreed a modest extension to the SLA until 20 August 2016.
It is prudent to note that until a commercial agreement has been signed and announced to the market there can be no certainty that a transaction will be finalised. However reflecting the progress achieved to date, and with the support of all parties, initial preparatory work for the mine permitting process will now commence and a further update will be provided outlining this work in due course.
Paul Johnson Chief Executive Officer of Metal Tiger commented:
“We are pleased to confirm continuing progress with our work in Thailand. To date we have been impressed with the professionalism and diligence of the mine owners to secure a fair and reasonable commercial agreement. We look forward to finalisation of the corporate structure in the near term and reporting back to market on the pathway to re-commence production.
Our team in Thailand is expanding in line with the growth in opportunities and we are aiming to be the most significant junior company investor in Thai resource opportunities. To achieve this objective we will leverage off our extensive and growing project interests and the national geological database we are preparing.
Metal Tiger and our Joint Venture partners SEAM are absolutely focused on ensuring the work undertaken in-country is conducted in a safe, considerate and environmentally focused manner; with full respect and regard for the communities with whom we engage. We are investing in extensive environmental planning and community liaison to ensure this objective is achieved.
Metal Tiger is delighted to be investing in Thailand helping to further Thai resource exploration, development and production opportunities. Southeast Asia, with Thailand at the heart, offers tremendous opportunity for companies willing to engage in a respectful and diligent manner.
Further Thailand updates will follow shortly.”
Note: when reviewing this announcement investors are advised to also review the Company's announcement dated 16 February 2016 which detailed the terms of Metal Tiger's acquisition of SEAM interests in Thailand and which provided the basis for Metal Tiger to enter into this SLA, through a 90% holding in the Thailand operational vehicle.
This SLA and the proposed commercial transaction being considered reflects a major step forward and will enable Metal Tiger to utilise the considerable project specific research and information gathered from SEAM's involvement with the mines over a number of years.
Specifically SEAM has secured Eight Special Prospecting Licence Applications ("SPLAs") surrounding the historical mining operations at the Boh Yai and Song Toh Silver-Lead-Zinc mines where historical Metallgesellschaft and German consultant records indicate over five million tonnes of crude ore was processed producing approximately 520,000 tonnes of concentrate to smelter over a 22 year period.
In addition, SEAM has created an exploration and mining database relating to the Boh Yai and Song Toh mines. This includes local/regional mapping, soil & rock chip sampling and three geophysics programs. Furthermore the dataset includes material utilised to produce an NI 43-101 resource and Preliminary Economic Assessment extending to mine planning, geology and micro mine files, economic modelling and conceptual tailings planning.
Considering the above and the longstanding working relationship with the mine owners, SEAM in conjunction with Metal Tiger is exceptionally well placed to assist permitting and mine rehabilitation.
For further information on the Company, visit: www.metaltigerplc.com:
|Paul Johnson (Chief Executive Officer)||Tel: +44 (0)7766 465 617|
|Terry Grammer (Non- Executive Chairman)||Tel: +44 (0)207 099 0738|
| Sean Wyndham-Quin |
| Spark Advisory Partners Limited |
Tel: +44 (0) 2033 683 555
Tel: +44 (0) 1483 413 500
Notes to Editors:
Metal Tiger plc is listed on the London Stock Exchange AIM Market (“AIM”) with the trading code MTR and invests in high potential mineral projects with a precious and strategic metals focus.
The Company’s target is to deliver a very high return for shareholders by investing in significantly undervalued and/or high potential opportunities in the mineral exploration and development sector timed to coincide, where possible, with a cyclical recovery in the exploration and mining markets. The Company’s key strategic objective is to ensure the distribution to shareholders of major returns achieved from disposals.
Metal Tiger’s Metal Projects Division is focused on the development of its key project interests in Botswana, Spain and Thailand. In Botswana Metal Tiger has a growing interest in the large and highly prospective Kalahari copper/silver belt. In Spain Metal Tiger the Company has tungsten and gold interests in the highly mineralised Extremadura region. In Thailand Metal Tiger has expanding interests over licences, applications and critical historical data covering antimony, copper, gold, silver, lead and zinc opportunities.
The Company has access to a diverse pipeline of new opportunities focused on the natural resource sector including physical resource projects, new natural resource centred technologies and resource sector related fintech opportunities. Pipeline projects deemed commercially viable may be undertaken by Metal Tiger or by an ISDX or AIM partner with whom the Company is engaged.
Metal Tiger also has an Asset Trading Division that holds various financial instruments for trading purposes including equities, warrants and royalty income. The aim of the division is to generate profits to reinvest into the Company’s project based activities.
Copyright Business Wire 2016