VANCOUVER, Feb. 4, 2013 /CNW/ - Flinders Resources Limited ("Flinders") (TSXV: FDR). Mr. Martin McFarlane, President & CEO, is pleased to provide an update
on the wide range of activities that are underway at the Woxna Graphite
Mine in Sweden. Highlights include:
Pumping water from the Woxna mine pit has continued through winter and
the depth of the water remaining is now minimal. The process to empty
the pit is effectively complete.
Golder Associates of Sweden has delivered a mining plan for the Kringel
graphite mineral resource outlining 4 phases of graphite mining over
more than 20 years. The plan is being evaluated by Flinders and has
been sent to mining contractors for pricing.
GBM Mineral Engineering Consultants ("GBM") has designed a new process
flow sheet for the Woxna process plant. While it largely relies on
existing equipment, certain enhancements have been made which are
intended to improve recoveries of large flake, increase graphite purity
and overall graphite recovery.
Bulk samples of fresh graphite mineralisation from the Kringel deposit
have been extracted and sent to flotation specialist Aminpro
Metallurgical Laboratories in Chile to run a series of graphite
processing tests to optimise grinding characteristics and verify flake
size, purity and recovery results that are forecast to be achieved from
the proposed process flow sheet for the Woxna project. The test results
are due in April.
GBM has completed an audit of all processing plant equipment and listed
and specified all items of new equipment that will need to be
purchased. GBM has sent requests to suppliers for quotes and delivery
schedules for each item to be purchased.
Woxna personnel have commenced dismantling and inspecting all items of
equipment that will be re-used in the new process flow sheet. Once
dismantled, each item is cleaned and its condition assessed. Items
requiring repairs or maintenance are then sent to local contractors to
perform this work.
Updated and enhanced process control systems have been specified and
sourcing has commenced. Laboratory equipment will be upgraded as
Detailed designs for upgrading the tailings storage facility have been
received from the Swedish consultants. These will be presented to the
regulators in February for approval to proceed. The designs have been
sent to several contractors for quotation.
Updated operating and capital costs as well as revenue projections are
expected to be finalised in March 2013 and compiled as part of a
Preliminary Economic Assessment of the Woxna graphite project.
We continue to monitor European graphite markets. In line with global
trends, graphite demand and prices fell during the second half of 2012.
Slower economic growth in Europe also contributed. In response, and
given the impact of current graphite prices, Flinders is examining
options to further reduce both operating and capital costs for the
Woxna graphite project. In addition, Flinders is considering advancing
studies to enhance shareholder returns via expanding graphite capacity,
adding higher value graphite products and strategic opportunities.
On behalf of the Board
Martin McFarlane, President and CEO
Certain information set out in this news release may constitute
forward-looking statements or forward-looking information within the
meaning of applicable securities laws (collectively, "Forward-Looking
Statements"). All statements, other than statements of historical fact,
that address activities, events or developments that the Company
believes, expects or anticipates will or may occur in the future are
Forward-Looking Statements. Forward-Looking Statements are often, but
not always, identified by the use of words such as "seek,"
"anticipate," "believe," "plan," "estimate," "expect," and "intend" and
statements that an event or result "may," "will," "can," "should,"
"could," or "might" occur or be achieved and other similar expressions.
Forward-Looking Statements are based upon the opinions and expectations
of the Company based on information currently available to the Company.
Forward-Looking Statements are subject to a number of factors, risks
and uncertainties that may cause the actual results of the Company to
differ materially from those discussed in the Forward-Looking
Statements including, among other things, the Company has yet to
generate a profit from its activities; there can be no guarantee that
the estimates of quantities or qualities of minerals disclosed in the
Company's public record will be economically recoverable; uncertainties
relating to the availability and costs of financing needed in the
future; competition with other companies within the mining industry;
the success of the Company is largely dependent upon the performance of
its directors and officers and the Company's ability to attract and
train key personnel; changes in world metal markets and equity markets
beyond the Company's control; mineral reserves are, in the large part,
estimates and no assurance can be given that the anticipated tonnages
and grades will be achieved or that the indicated level of recovery
will be realized; production rates and capital and other costs may vary
significantly from estimates; unexpected geological conditions; delays
in obtaining or failure to obtain necessary permits and approvals from
government authorities; all phases of a mining business present
environmental and safety risks and hazards and are subject to
environmental and safety regulation, and rehabilitation and restitution
costs; the Company does not maintain insurance against environmental
risks; and management of the Company have experience in mineral
exploration but may lack all or some of the necessary technical
training and experience to successfully develop and operate a mine.
Although the Company believes that the expectations reflected in the
Forward-Looking Statements, and the assumptions on which such
Forward-Looking Statements are made, are reasonable, there can be no
assurance that such expectations will prove to be correct. Readers are
cautioned not to place undue reliance on Forward-Looking Statements, as
there can be no assurance that the plans, intentions or expectations
upon which the Forward-Looking Statements are based will occur.
Forward-Looking Statements herein are made as at the date hereof, and
unless otherwise required by law, the Company does not intend, or
assume any obligation, to update these Forward-Looking Statements.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER
(AS SUCH TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE)
ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS
SOURCE: Flinders Resources Limited
For further information:
Jim Powell +1 647-478-5806