7th Nov 2006 12:42
Lonrho Africa PLC07 November 2006 LONRHO AFRICA PLC ("Lonrho" or "the Company") Lonrho notes today's announcement made by Brinkley Mining Plc ("Brinkley"), inwhich Lonrho has a 9.94% interest. "We are pleased with the progress Brinkley is making in the Democratic Republicof Congo ("DRC"). The DRC Atomic Energy Commission's public statementdemonstrates its commitment to the partnership with Brinkley in developing thecountry's uranium potential. This partnership will allow the Commission toincrease its nuclear activity in the industrial sector and consolidate the useof nuclear energy for the sustainable development of the DRC," said Lonrho'sJoint Executive Chairman and Chief Executive, David Lenigas. The full text of Brinkley's announcement released earlier today is as follows: Brinkley Mining Plc ("Brinkley Mining" or the "Company") DRC's CGEA Announces Agreement with Brinkley Africa During a visit to Kinshasa, the capital city of the Democratic Republic of theCongo ("DRC), Gerard Holden, Chairman of Brinkley Mining, today participated ina press conference hosted by the Commissaire General of the Commissariat Generala l'Energie Atomique ("CGEA" or "The Atomic Energy Commission"), where the CGEAformally announced its Memorandum of Understanding with Brinkley Africa Ltd. This agreement was the subject of a previous press release dated 23 October2006, which stated that the CGEA had partnered with Brinkley Mining to developand advise on all Uranium assets in the DRC. Both the French language version ofthe CGEA press release dated 7 November 2006 and an English translation areattached to this document for information. While in Kinshasa, the Brinkley Mining delegation, led by Gerard Holden, heldextensive discussions with both the Minister of Scientific Research andTechnology, Honorable Minister Gerard Kamanda Wa Kamanda and the CommissaireGeneral of the Atomic Energy Commission, Professor Fortunat Lumu Badimbayi-Matu. Following this announcement, plans are now in place to commence work onidentified target areas and a technical team is being mobilised to start work inthe country. Gerard Holden, Chairman of Brinkley Mining, commented that: "We are extremely pleased with the progress we have made with our Congolesepartners. It bodes well for our future cooperation and collaboration that weunderstand each others objectives clearly. We share a common desire to maximisethe value of the country's uranium resources in a timely and safe manner andlook forward to announcing specific projects in the near future." The translation of the French press release from the CGEA is attached below forinformation. "PRESS RELEASE Democratic Republic of Congo The Commissariat General a l'Energie Atomique ("CGEA" - The Atomic EnergyCommission) formally announced its Memorandum of Understanding ("MoU") withBrinkley Africa Ltd for the research, development and production of nuclearmaterials in the Democratic Republic of the Congo ("DRC"). Furthermore, Brinkley Africa Ltd will assist the CGEA in the installation ofequipment to control nuclear matter and radioactive substances destined forexports. I have the pleasure in presenting, Mr Gerard Holden, Chairman of Brinkley MiningPlc, who has come to Kinshasa to begin implementing our MoU. With this document in mind, I would like to alert you to the 20th September2006, when the Ministers of Mines and of Scientific Research and Technologysigned an Inter-ministerial Decree No. Ndegrees051/CAB.MIN.MINES/01/2006 andNdegrees029 CAB.MIN.RST/01/2006 dated 20th September 2006 which focused on themining of radioactive products and the deposit of core samples with the CGEA. As you are aware in our country, the production of Uranium is regulated by theCGEA statutes and Act No. 017/2002. The Ordinance No. 78-195 dated 5th May 1978 stipulates in article 3 that theCGEA's objectives, among others are; a. effect, promote and coordinate scientific and technical research in the diverse areas of science an d industry, including the use of atomic energy and spatial research b. effect the prospecting, production and treatment of minerals, radioactive material and their production, alone or with third parties. Furthermore, the Act No. ndegrees 017/2002 dated 16th October 2002 stipulatesthe need for protection against the danger of ionising rays and physicalprotection of nuclear installations and products. It stipulates in articles 3,4, 5 and 6 that all activity linked to the exploration or production of nuclearmaterials requires authorisation beforehand from the CGEA. As the preferred partner of CGEA, Brinkley Africa Ltd, has the first right ofpreference over exploration and production areas identified by the CGEA orproposed to the CGEA for development. Conforming to the objectives set out by the State, the CGEA wishes to developthis industry with other credible external partners experienced in the activityof research and production of uranium. The prospecting and research in this sector will therefore fit into the economicpolicy of the country, promoting the value of mineral resources, training of thenational workforce, transfer of technology and thus an increased standard ofliving. It is also recognised that investments in this sector can be a majorcontributor to the socio-economic development of the country as theseinvestments are characterised by returns over the medium to long-term. Under the terms of this MoU, once the results of the research and feasibilitystudy are concluded and deemed satisfactory, the CGEA and Brinkley Africa Ltdcan agree to explore deposits by creating a production company in line withnational legislation. The MoU with Brinkley Africa Ltd will allow the CGEA to increase its nuclearactivity in the Industrial sector, to grow, to consolidate and to bring to theCGEA and our country additional resources that will help increase the peacefuluse of nuclear energy for sustainable development within the DRC. Kinshasa, 7th November 2006" End For further information, please contact: Lonrho Africa Plc +44 (020) 7016 5105David Lenigas, Chief Executive +44 (0)7881 825 378Emma Priestley, Executive Director +44 (0)7867 785 177 Strand Partners Limited +44 (0)20 7409 3494Simon RaggettMatthew Chandler Cardew Group +44 (0)20 7930 0777Nadja Vetter +44 (0)7941 340 436Eden Mendel +44 (0)7887 676 603Emma Consett +44 (0)7971 468 308 Notes to Editors Lonrho is in the process of re-establishing a significant presence on theAfrican continent. Its investment and acquisition strategy, which was adoptedfollowing the appointment of David Lenigas as Chairman and Chief Executive andsubsequent shareholder approval in February 2006, focuses on the naturalresources, infrastructure, leisure and agribusiness sectors. Lonrho's executiveteam has considerable experience across these industries in a wide range ofcountries. This year, the Company has announced investments in Brinkley MiningPlc, Nare Diamonds Ltd, Luba Freeport, Fly540 and Norse Air. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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