PERTH, Western Australia, April 26 /CNW/ - Mantra Resources Limited ('Mantra' or 'the Company') (ASX: MRU, TSX: MRL) wishes to update shareholders on the permitting process for the Nyota Prospect ('Nyota' or 'the Prospect'), part of its wholly owned Mkuju River Project, following the recent promulgation of the Mining Act 2010 ('the Act') by the Tanzanian Government on 23 April 2010.
The Environmental Impact Statement ('EIS') and an application for a Special Mining Licence ('SML') have been lodged with the relevant government departments.
The Mine Development Agreement ('MDA') is currently being finalised to incorporate the new provisions of the Act and will be lodged with the Ministry of Energy and Minerals ('the Ministry') during May 2010. Mantra expects that the EIS, SML and MDA will be approved during 2010.
The 2010 Mining Act retains key provisions of the 1998 Act, introduces a 5% royalty for uranium (the same level that has applied to, and continues to apply to, diamonds); and introduces provisions that will enable government participation in strategic projects. These new provisions will be incorporated into Mantra's MDA, within the context of negotiating the specifics of the agreement, including fiscal incentives and development concessions, with the Ministry, prior to a project development decision.
The 2010 Act reflects the stated intent of the 2009 Mineral Policy which aims at "strengthening integration of the mineral sector with other sectors of the economy; improving economic environment for investment; maximizing benefits from mining; improving the legal environment; strengthening capacity for administration of the mineral sector; developing small scale miners; promoting and facilitating value addition to minerals; and strengthening environmental management." This includes the stated objective of increasing the mining industry's contribution to the country's Gross Domestic Product from the current level of 2.5% to 10% by 2025.
The Mining (Radioactive Minerals) Regulations, in accordance with the requirements of the International Atomic Energy Agency, have been drafted by the Government and the Company anticipates that these will be gazetted shortly, following the promulgation of the 2010 Mining Act.
This news release contains 'forward-looking information' that is based on the Company's expectations, estimates and projections as of the date on which the statements were made. This forward-looking information includes, among other things, statements with respect to pre-feasibility and definitive feasibility studies, the Company's business strategy, plans, development, objectives, performance, outlook, growth, cash flow, projections, targets and expectations, mineral reserves and resources, results of exploration and related expenses. Generally, this forward-looking information can be identified by the use of forward-looking terminology such as 'outlook', 'anticipate', 'project', 'target', 'likely', 'believe', 'estimate', 'expect', 'intend', 'may', 'would', 'could', 'should', 'scheduled', 'will', 'plan', 'forecast', 'evolve' and similar expressions. Persons reading this news release are cautioned that such statements are only predictions, and that the Company's actual future results or performance may be materially different.
Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information. Forward-looking information is developed based on assumptions about such risks, uncertainties and other factors set out herein, including but not limited to the risk factors set out in the Company's Annual Information Form.
This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. The Company disclaims any intent or obligations to update or revise any forward-looking statements whether as a result of new information, estimates or options, future events or results or otherwise, unless required to do so by law.
For further information regarding the Mkuju River Project, including a description of Mantra's quality assurance program, quality control measures, the geology, samples collected and testing procedures in respect of the Mkuju River Project please refer to the technical reports prepared in accordance with NI 43-101 entitled "January, 2010 Resource Update - Mkuju River Project" dated 10 March 2010, "December, 2009 Resource Update - Mkuju River Project" dated 7 December 2009, and "Technical Report on the Mkuju River Project located in Tanzania, Africa" dated 18 September 2009, which are available under the Company's profile at www.sedar.com.
SOURCE MANTRA RESOURCES LIMITED
For further information: For further information: Peter Breese, Chief Executive Officer, Tel: +27 82 888 6852