Jun. 28, 2011 (Canada NewsWire Group) --
/NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS WIRE SERVICES./
TSX-V: AFF
AIM: AFF
LONDON, UK, June 28, 2011 /CNW/ - Afferro Mining Inc. ("Afferro" or the "Company"), the TSX-V / AIM listed exploration and development company with iron ore projects in Cameroon and Liberia, is pleased to announce the release of the Q1 2011 Condensed Interim Consolidated Financial Statements (unaudited) of the Company for the period ended, March 31, 2011 which should be read in conjunction with the accompanying Management Discussion and Analysis. These documents have been filed on Sedar and are available on the Company's website http://www.afferro-mining.com or at www.sedar.com.
Luis da Silva, President and CEO of Afferro commented:
"This is the first period for reporting the financial condition of Afferro based on International Financial Reporting Standards and the last quarter as a combined iron ore and gold company.
Since period end the Company completed the Plan of Arrangement at which time the Company's interests in its gold assets, Stellar Diamonds Plc, and cash and cash equivalents of approximately $10.6 million were transferred to Aureus Mining Inc. Whilst the resulting split into two companies came at a very difficult time for the equity markets, the board believes that the pure play commodity strategy is the correct one going forward.
As an iron ore company Afferro is now focused on developing its world class assets in Liberia (Putu) and Cameroon (Nkout); the key objectives for the remainder of 2011 are to:
- Increase the resource at Putu (currently 2.4Bt at 34% iron) with a significant proportion classified as indicated by year end;
- Increase the magnetite resource at Nkout (increased to 1.42Bt at 33.6% iron in June 2011);
- Further identify direct shipping ore material at Nkout by end 2011;
- Complete the logistics and infrastructure scoping study during Q4 2011; and
- Commence a preliminary economic assessment on Nkout after the delivery of the scoping study.
Afferro, like many other companies in the mining sector has lost significant value as a result of market volatility. Despite this the directors are confident that the implementation of its strategy will provide significant upside in the foreseeable future."
About Afferro Mining Inc.
Afferro Mining is an established exploration and development company listed on the TSX-V (AFF) and London's AIM (AFF). Afferro Mining's portfolio includes the Nkout iron ore project, which has an estimated Indicated Mineral Resource of 701 million tonnes grading 32.4% Fe, 45.8% SiO2 and 2.4% AL2O3 and 0.05% P Inferred Mineral Resource of approximately 716.5 million tonnes grading 34.8% Fe, 41.6% SiO2 and 3.2% AL2O3 and 0.05% P, and surrounding iron targets in Cameroon which is subject to a resource expansion drilling programme targeting 4Bt. Afferro Mining also has a 38.5% interest in the Putu iron ore project in Liberia (the "Putu Project"), which has an estimated Inferred Mineral Resource of 185 Mt of oxide material with a grade of 37.8% Fe, 17 Mt of haematite itabirite at 48.25% Fe, and 2,173 Mt of magnetite itabirite at 33.7% Fe. The Putu Project is subject to a resource expansion drilling programme and is moving through pre-feasibility managed by joint venture partner Severstal Resources (the mining division of London and Moscow listed OAO Severstal). In September 2010, Putu was granted a 25 year renewable Mineral Development Agreement by the Government of Liberia.
Qualified Person
Howard Baker has some ten years experience in the exploration, definition and mining of iron ore Mineral Resources. Mr. Baker has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration, and to the type of activity which he is undertaking to qualify as a "qualified person" under NI 43-101 and a Competent Person as defined in the June 2009 Edition of the AIM Note for Mining and Oil & Gas Companies.
Howard Baker consents to the inclusion in this press release of the matters relating to iron ore in the form and context in which they appear and confirms that the information is accurate and not false or misleading.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this release.
Afferro Mining Inc.
Luis da Silva, CEO and President
Tel: +44 (0) 20 7257 2930
Evolution Securities Limited
Nominated Advisor: Jeremy Ellis / Neil Elliot
Corporate Broker: Tim Redfern / Jonathan Wynn
Tel: +44 (0) 20 7071 4300
RBC Capital Markets
Joint Broker: Martin Eales / Richard Hughes
Tel: +44 (0) 20 7653 4000
Pelham Bell Pottinger
Charles Vivian / James MacFarlane
Tel: +44 (0) 20 7861 3232