Business
Red Rabbit Joint Venture Upda
Red Rabbit Joint Venture Upda.
About this update from Ariana Resources Plc
[{"type":"text","content":"\n RNS Number : 2670E Ariana Resources PLC 17 December 2009 \n \n\n17th December 2009\nAIM / PLUS Markets: AAU\n\nRED RABBIT JV UPDATE\n\nAriana Resources plc (\"Ariana\" or \"the Company\"), the gold exploration and development company focused on Turkey is pleased to announce further solid progress towards production on its proposed joint venture (\"JV\") with Proccea Construction Co. (\"Proccea\") on the Red Rabbit Project in western Turkey. Work is underway on a number of fronts in preparation for the planned 2010 feasibility study.\n\nHighlights\n\n\n\nGood-will payment of US$0.5 million received from Proccea \n\n\n\n\nWardrop Engineering, a Tetra Tech Company (\"Wardrop\"), engaged to undertake a NI43-101 compliant mineral resource estimate\n\n\n\n\nSGS Mineral Services engaged to undertake new metallurgical testwork\n\n\n\n\nSRK Consulting engaged to commence environmental scoping\n\n\n\n\nPriceWaterhouseCoopers engaged as financial consultant for the transaction\n\n\nDr. Kerim Sener, Managing Director, commented:\n\n\"The Company has taken several rapid steps forward for the development of the Red Rabbit Project. The Company has chosen to make these positive moves ahead of formal completion of our JV agreement in order to make optimal use of time. Proccea is being highly supportive of these work programmes and is reinforcing the efforts being made by our team. Accordingly, we are confident that the JV agreement will be concluded during the first quarter of next year.\"\n\nCurrent Progress\n\nFollowing the signature of the Memorandum of Understanding (\"MoU\") with Proccea, the Company and its JV partner have initiated work on several core aspects of project development. In the first phase of this work, efforts are being directed toward the Kiziltepe sector of the Red Rabbit Project.\n\nUnder the terms of the MoU, Ariana's operating subsidiary has received US$0.5 million in cash from Proccea in exchange for a letter of guarantee from Türkiye Iş Bankasi in Turkey. The Company intends to hold this sum in a high interest bearing account until completion of the JV agreemen...