12th Sep 2013 10:30
LONDON (Alliance News) - Amur Minerals Corporation Thursday said it has passed another two hurdles in its journey for a mining license at the Kun-Manie project in Russia.
The nickel-and-copper exploration miner hoping to produce in the far-east of the vast country said that the Russian state authorities have verbally confirmed that the Department of Defence and Federal Security Service have approved the company's mining license.
To start mining it needs to convert its exploration license to a mining license and for that it needs four approvals. Despite first applying three years ago, up until now it only had one, from Russia's Anti-Monopoly Board.
The mining license is now forwarded on to its final stage through the Ministry of Economic Development which will consider Amur's credentials regarding the project and will report its findings to the company's partner Rosnedra when it is complete.
Three years ago it also secured final approval from the Anti-Monopoly Board, the Department of Defence and the Federal Security Service, but the approvals expired because the Ministry of Economic Development couldn't then agree with the other departments on an adequate calculation for a one-time payment for the conversion.
Amur has been trying to push its applications along in Russia, petitioning people in authority it thinks may be able to help the process. However, the company has seen a number of those people fall out of favour, sending it back to square one.
While it isn't earning any revenues, Amur posts losses each year. It narrowed its loss to USD4.0 million in 2012, from USD4.6 million in 2011, and had USD2.0 million in net cash.
"The Kun-Manie mining application continues to be advanced through the mining licence award process. The company will update its shareholders as various milestones are reached, and we move towards the final decision on award of the mining licence on the Kun-Manie project," Chief Executive Robin Young said in a statement.
Amur Minerals shares were flat at 7.60 pence Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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