TORONTO, Feb. 26 /CNW/ - TEAL Exploration & Mining Incorporated
(TSX-"TL")(JSE-"TEL") ("TEAL") has received its written notification from the
Minister of Mines of the Democratic Republic of the Congo ("DRC") informing
the Company of the outcome of the DRC's Mining Contracts Review Commission
with respect to TEAL's Kasonto-Lupoto Mines sprl ("Kalumines") property.
TEAL, through a fully-owned DRC subsidiary, owns 60% of Kalumines and 40%
is owned by La Générale des Carrières et des Mines ("Gécamines").
Requests from Government presented in the letter are, translated
verbatim, as follows:
- Kalumines must transmit to the Government the feasibility study for
the project. The feasibility study shall among other things, identify
the real contribution of each of the Parties in order to achieve a
fair attribution of shares;
- Kalumines must present a planning of realization of social actions
with a visible impact; and
- Gécamines must actively participate in the daily management of the
Until early 2006, informal miners were active on the Kalumines property.
TEAL, through Kalumines, has since managed the equitable and peaceful removal
of these miners, completed an exploration program at the Lupoto Copper Project
area on the Kalumines property, and started a phase 1 mining operation that is
building up to nearly 25,000 tonnes a year of copper.
The Company is advanced in preparing a pre-feasibility study on the
viability of a larger operation at Kalumines capable of producing a total of
over 40,000 tonnes a year copper in cathodes.
The Phase 1 mine, which employs over 600 locally resident people as well
as a number of the previous informal miners, has also permitted the initiation
of a number of social investment projects, including:
1) The provision of water, transport and medical services to a local
population of approximately 10,000;
2) The upgrading and construction of roads; and
3) A contribution to public infrastructure projects in nearby
The DRC Government has requested that Gécamines participate actively in
the daily management of Kalumines. TEAL works in close informal and formal
cooperation with Gécamines in managing Kalumines and has recently appointed a
senior Gécamines employee as a full time member of the Kalumines executive
team. In addition, Kalumines has entered into an offtake agreement with
Gécamines to sell a significant portion of Phase 1 mining production to
Gécamines on fully commercial terms.
TEAL will respond shortly to the Government and we are confident that all
challenges that have been posed can be addressed to the satisfaction of all
parties. The Company looks forward to working in full collaboration with
Gécamines and the Government to develop the full potential of the Kalumines
TEAL is incorporated under the laws of the Yukon, Canada and its common
shares are listed on the Toronto Stock Exchange ("TSX") and the JSE Limited
("JSE"). The common shares of the Company trade under the symbol "TL" on the
TSX and "TEL" on the JSE.
TEAL is a mineral development and exploration company with development
projects and exploration areas in Namibia, Zambia and the DRC. TEAL has a
portfolio of base and precious metal development projects and complementary
exploration areas, and the Company continues to seek other opportunities,
mainly in southern and central Africa
TEAL has targeted specific core projects: the Konkola North Copper
Project in Zambia; the Otjikoto Gold Project in Namibia; and the Kalumines
Copper-Cobalt Project in the DRC. TEAL also has interests in various other
mineral licence areas in Zambia and in Namibia on which the Company continues
drilling and other exploration activities.
ADDITIONAL TEAL INFORMATION CAN BE FOUND AT: www.tealmining.com
Forward-Looking Information: Statements contained in this press release
that are not historical facts are forward-looking statements that involve
risks, uncertainties and other factors that could cause actual results,
performance, prospects and opportunities to differ materially from those
expressed or implied by such forward-looking statements. Although TEAL
believes that the assumptions inherent in the forward-looking statements are
reasonable, undue reliance should not be placed on these statements, which
only apply as of the date of this press release. TEAL disclaims any intention
or obligation to update or revise any forward-looking statement, whether as a
result of new information, future events or otherwise. This press release
shall not constitute an offer to sell or the solicitation of an offer to buy
securities of TEAL in any jurisdiction.
For further information:
For further information: For further details contact: Julian Gwillim
(VP: Investor Relations and Corporate Development) on +27 82 4524 389 (SA), or
firstname.lastname@example.org; or Rick Menell (President and CEO) on +27 82 450 2301,