Zinc

[Lone Clone]

EMED Mining receives positive feasibility study on Klirou copper-zinc project

Source: Edited Press Release

http://metalsplace.com/metalsnews/?a=10205

EMED Mining said Thursday that it has expanded resources at its Klirou copper-zinc project in Cyprus.

The Preliminary Feasibility Study on the Klirou Copper-Zinc Project has been completed with satisfactory results and concluded:

* Inferred Resources expanded to 6.6 million tonnes of 0.7% copper-equivalent, excluding associated gold (refer technical background below for JORC-compliant resources statement) for contained metal of 18,500 tonnes copper and 53,600 tonnes zinc with market value of GBP140 million (US$270 million) at current spot market values and excluding by-product gold credits.

* Drilling results indicate potential in five locations to increase resource-base within easy-trucking distance of the plant.

* Geophysical results reveal deeper targets with potential for +10 million tonne deposits which are planned to be drill-tested during 2007. * Initial environmental baseline surveys indicate the site continues to be an excellent site for its long-standing purpose and the environmental legacy to be capable of proper remediation.

* Permitting roadmap agreed with regulators.

* Preliminary financial model indicates an encouraging range of net present values, based on:
• Copper price of $US2.00/lb and zinc price of $US1.00/lb (LME spot prices on Feb. 8, 2007 were $US2.37/lb and $US1.38/lb, respectively);
• Initial open-pit model recovering 4.6 million tonnes from total resource of 6.6 million tonnes;
• Initial metallurgical test work indicating good copper recoveries and the need to improve zinc and gold recoveries;
• Operating costs based on preliminary quotations received from relevant suppliers, and
• Refurbishment of the Mitsero processing plant and continued use of existing site for waste.

AMC Consultants, an international project manager, have been appointed to oversee:

* a Feasibility Study to be completed in 2007, which will include a detailed Environmental Impact Assessment by appropriate specialists and detailed cost-engineering for the entire operation including mining, transport, ore processing and shipment.

* a Final Feasibility Study following receipt of regulatory permits for the development of the Klirou Copper-Zinc Project targeting development in 2008. This further work will include sufficient drilling to upgrade resources into the reserve category along with final optimised engineering, costings, product pricing and financing.