Emerging Nickel Producer

In late 2008 construction activities at Ban Phuc were suspended as a direct result of the Global Financial Crisis and associated decline in metals prices, circumstances faced by many of the world’s exploration and mining companies.   When recovery set in by the second half of 2009, AMR continued fund raising to complete the project. With funds received in 2010 and 2011, AMR was able to sustain and carry out development work. Additional funding is however required to complete the project for production to begin. Gryphon Partners, a Standard Chartered group company, has been engaged for the funding process, initiatives being pursued include equity and debt financing, strategic partnerships and recapitalisation of AMR.   Continuing exploration activities led to the announcement in June 2010 of a 40% increase of contained nickel within the massive sulphide deposit and a corresponding 55% increase in disseminated sulphide resource, in the measured and indicated categories. Ongoing geological mapping and sampling work have also revealed exciting targets of Ban Phuc style mineralisation within the project area.    By end-2011 process site earthworks were complete, with 80% of the plant’s concrete works installed. The 3-stage crushing circuit has also been successfully commissioned. All 2008 plant procurement packages, held in various offshore locations, have been imported;   the key components of a modern sulphide concentrator are now stored on site. All undertakings associated with the process plant construction work have targeted a rapid start-up once funding has been secured.