7th Sep 2006 11:11
Albidon Limited07 September 2006 Level 1 62 Colin StreetALBIDON LIMITED West Perth 6005 Western Australia ARBN 107 288 755 Tel:x+61x8x9211 4600 Fax:x+61x8x9211 4699 Email:[email protected] ASX Code: ALB AIM Code: ALD via electronic lodgement Another Major Advance for Munali - Environmental Approval Granted and Site WorksCommence HIGHLIGHTS > The Environmental Council of Zambia has approved the Company's Environmental and Social Impact Assessment, paving the way for development of the Enterprise Nickel Project at Munali. > All necessary approvals and appointments, required under the Mining Act and Regulations, to commence mining operations have also been completed. > Site construction work commenced immediately after these final approvals were received, with surface clearing for the proposed box-cut, stockpiling of topsoil and site works for offices and other surface facilities. > Following the recently announced positive Bankable Feasibility Study, the approval of the Environmental and Social Impact Assessment ("ESIA") is a major milestone in the development of the project and satisfies a key condition precedent for project financing. > Approval of the ESIA and all other approvals required for mining, ahead of schedule, have enabled early development of the box-cut and underground decline. This will considerably de-risk the Munali Project's mining schedule. Environmental and Social Impact Study The Company conducted a comprehensive Environmental and Social Impact Study ('ESIA') as part of the Bankable Feasibility Study for development of theEnterprise Nickel Project at Munali. The ESIA was submitted to the EnvironmentalCouncil of Zambia in June 2006 and was approved earlier this week. Formalacceptance of the ESIA and all other approvals required under the Mining Act andRegulations mark the final approvals required by the Company to proceed withdevelopment of the project. Following receipt of these approvals clearing and grubbing of the box-cut, theentrance to the underground mine, commenced this week. The ESIA was prepared for Albidon by African Mining Consultants Limited andincluded detailed analysis of the following major areas of study: • Land use; • Groundwater resources; • Flora and fauna studies; • Social infrastructure; • Archaeological and cultural environment; • Impact of mining and processing operations; • Storage of tailings; • Environmental management plan; • Minesite rehabilitation plan; • Relocation action plan; and • Community benefits. These studies and the recommendations they contain were designed according toguidelines published by the World Bank Group which defines world best practicein this area. The ESIA was carried out over a 12-month period and involved closeconsultation and continuous liaison with a large number of stakeholder groups,including: • Environmental Council of Zambia; • Ministry of Mines and Minerals Development; • The Department of Mines Safety; • His Royal Highness, Chief Naluama; • Mazabuka District Council; • The people of Chinkomba and Kachenje villages and the surrounding community; • Ministry of Finance; and • Attorney General's Department. Albidon wishes to express its appreciation for the constructive efforts of allof the above groups in facilitating the completion and approval of theEnvironmental and Social Impact Assessment. Approval of the ESIA represents the final formal Government approval requiredfor development of the Munali Nickel Project, which will now be progressed asrapidly as possible. The successful completion of the ESIA process ahead of schedule will enableearly development of the box-cut and underground decline. This willconsiderably de-risk the Munali Project's mining schedule. Forward Programme Approval of the Environmental and Social Study allows the Company to proceedexpeditiously with development of the project, according to the followingtimetable: September 2006: commence siteworks including construction of road access,surface clearing for the proposed box-cut and ore pad locations and stockpilingof topsoil. October 2006: commence box-cut. November - December 2006: complete excavation of the box-cut. September - December 2006: finalise offtake arrangements and financing for theproject. On behalf of the Board of Albidon. If you have any queries please contact Dale Rogers, Managing Director or NickDay, Company Secretary on +61 8 9211 4600 or email [email protected] Additional information may also be viewed on Albidon's website atwww.albidon.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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