Monument Announces TSXV's Acceptance of its Ball Mill Acquisition from Avocet
Release #12 - 2008
Vancouver, B.C. Monument Mining Limited (TSX-V:MMY and FSE:D7Q1) (“Monument” or the “Company”) announces that it has received the acceptance from TSX Venture Exchange to acquire, from Avocet Mining PLC (“Avocet”), one of its major shareholders, a 1.0 M tpy capacity ball mill in readiness for the planned Stage II gold treatment plant extension at its 100% owned Selinsing Gold Mine Project in Pahang State, Malaysia.
The Company announced on July 28, 2008 that it had met certain conditions to close the acquisition of the ball mill with Avocet, including the official announcement upon completion of the $28 million private placement and $10 million credit note facility which was released on July 22, 2008.
Worldwide shortage of key mining and mineral processing equipment, particularly ball mills is a significant issue for plant construction and upgrades. Monument is taking advantage of the present availability of the mill from its major shareholder. The twin of this mill was recently installed at the nearby Penjom Gold Mine, 45 km east of Selinsing site. Therefore acquisition and relocation of the mill from Penjom to the Selinsing site is readily and economically attractive. Monument is engineering Stage I of the Selinsing gold open pit project treatment plant with an upgraded crushing circuit for a future extension of the leach tank farm. The acquisition of the second mill forms a further step towards the planned future Stage II gold treatment plant upgrade.
The planned Stage II gold plant upgrade will not happen for approximately 6-12 months after the commissioning of Stage I and will be dependent on the future exploration success of Buffalo Reef, which presently does not have a NI-43-101 resource report issued. This report is expected to be commissioned upon completion of the present drilling program later in 2008.
Consideration of $3,250,000 for the mill was paid by the issue of 8,125,000 units at $0.40 per unit, on the same price and the same terms as the private placement announced closed on 22 July, 2008, with each unit representing one share and one share purchase warrant exercisable at $0.50 for three years from date of issuance. Post closing of the capital raising Avocet maintains an approximate 15% shareholding in the Company on an undiluted basis.
Robert F. Baldock, President and CEO
Monument Mining Limited
Park Place, Suite 710, 666 Burrard Street
Vancouver B.C. Canada V6C 3P6
For further information contact:
Richard Cushing, Investor Relations
Wolfgang Seybold, President and CEO, Axino.AG
The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this news release.
Not for distribution to U.S. news wire services or dissemination in the United States. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of the information contained herein. Certain disclosures in this release, including management’s assessment of the Company’s plans and projects, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to the Company’s operation as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such.