8th Mar 2007 07:01
Medusa Mining Limited08 March 2007 MEDUSA MINING LIMITED DISMISSAL OF MOTION FOR RECONSIDERATION ON Co-O MINE MPSA Medusa Mining Limited ("Medusa" or the "Company"), the Australian based companyoperating and developing gold mines in the Philippines, today advises that ithas received written confirmation of the 14 February 2007 decision of theSupreme Court of the Republic of the Philippines which dismissed with finalitythe Motion for Reconsideration filed by Picop Resources Inc. in response to theearlier decision by the Supreme Court which permitted the Department ofEnvironment and Natural Resources ("DENR") to proceed, subject to regulatorycompliance, with the issuance to Philsaga Mining Corporation ("Philsaga"), asubsidiary of Medusa, of Mineral Production Sharing Agreement ("MPSA")application number 084-XIII covering the Co-O Gold Mine. Philsaga is now finalising the granting of the MPSA. Background The unanimous decision on 6 December 2006 of the Supreme Court of thePhilippines on the case lodged by Picop Resources Inc ("Picop"), a timberlicence holder, arose when Philsaga's predecessor was required under the newmining code introduced in 1995 to convert old style tenements to new tenementscompliant with the new mining law. Picop lodged an adverse claim against theMPSA application in 1997 on the grounds that mining could not be undertaken intimber licences. Philsaga acquired these tenement applications in 2000 andproceeded to challenge the adverse claim. Philsaga won the case against Picop intwo lower courts and subsequently Picop lodged a case in the Supreme Courtagainst the claimowner and a division of the Department of Environment andNatural Resources. The Supreme Court decision is enumerated above as well as thecourt's decision with respect to the subsequent Motion for Reconsideration. Geoff Davis, Managing Director of Medusa commented: "The dismissal of the Motion for Reconsideration filed by Picop as a result ofthe Supreme Court decision issued on 6 December 2006 is the end of the Picopcase. Philsaga, Medusa's Filipino operating corporation will now finalise theMPSA over the Co-O Mine. "The Group can now focus all its energies on steadily increasing its totalproduction to the targeted level of 100,000oz/year in early 2008". 8th March 2007 For further information, please contact: Medusa Mining Limited +61 8 9367 0601Geoffrey Davis, Managing DirectorRoy Daniel, Finance Director Ambrian Partners +44 (0)20 7776 6417Richard Brown / Richard Greenfield Bankside Consultants +44 (0)20 7367 8888Michael Padley / Daniela Hale This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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