TORONTO, ONTARIO -- (Marketwire) -- 03/28/13 -- Asian Mineral Resources Limited ("AMR") (TSX VENTURE: ASN) is pleased to announce the successful completion of its previously announced shareholder rights offering (the "Rights Offering") for aggregate gross proceeds of $12,500,000 and an update of the Ban Phuc Nickel Project.
AMR has issued a total of 250,000,000 common shares of AMR pursuant to the Rights Offering, of which, 161,237,768 Common Shares were issued pursuant to the exercise of the basic subscription privilege and additional subscription privilege and the remaining 88,762,232 Common Shares were issued to Pala Investments Limited ("Pala") pursuant to Pala's standby commitment. Following completion of the Rights Offering, Pala and its affiliates, now own approximately 79.6% of the issued and outstanding common shares of AMR.
Construction of the Ban Phuc nickel project continues to progress rapidly towards the June 2013 target commissioning date. In particular, the ball mill, the last piece of major equipment, is now mounted on site. The construction of the tailings storage facility continues ahead of schedule and is expected to be completed in May 2013, as planned. Recent pictures of construction progress can be viewed at AMR's website (http://www.asianminres.com).
AMR has selected to retain an Australian mining contactor to ensure efficient commencement of mining at the Ban Phuc nickel project. The mining contractor is currently mobilizing equipment and personnel to the Ban Phuc site, and mining operations are scheduled to recommence in April. Due to the existing underground infrastructure already in place at Ban Phuc, mining will immediately focus on production of nickel ore ready for commissioning of the process plant.
AMR is also pleased to announce continued progress with obtaining key remaining permits, including:
-- The approval of the updated project feasibility study by the Ministry of Industry and Trade;-- The approval of the company's updated environmental impact assessment and environmental remediation and rehabilitation plan by the Ministry of Natural Resources and Environment; and-- The issuance of the water use permit for the Ban Phuc nickel project by the Son La Department of Natural Resources and Environment.
The recent receipt of these approvals demonstrates the ongoing support received by AMR from the Government of the Socialist Republic of Vietnam.
Simon Booth, AMR CEO, commented: "We are extremely pleased with the ongoing progress of the Ban Phuc nickel project towards production. In particular, the selection of an experienced mining contractor significantly de-risks a key element of the operations. In addition, the ongoing high-level of support AMR has received from both the central and provincial bodies of the Government of Vietnam, as well as the continued support of its major shareholders have been highly encouraging."