African Minerals in better shape despite Shandong delay
31 Oct 2010 by Ahmed M Kamara in Sierra Leone, 588 Views West Africa 588 Views
African Minerals, the Aim-listed mining and mineral exploration company with significant interests in Sierra Leone, West Africa., is in better shape than ever, despite a delay in reaching a final agreement with Chinese investor Shandong. The company’s interests in Sierra Leone are looking extremely good as it enjoys the support of the locals who have lined up to provide much needed manpower resources as the company discovers that the mining fields of Tonkolili in the northern part of the country, may have more deposits of Iron Ore than had previously anticipated. The Government of Sierra Leone, headed by President Ernest Bai Koroma, has been so impressed with the operations of the company in the country that it renewed the Company’s Exploration Licence at Tonkolili for a two year period with effect from 1 July 2009. The licence was also increased by 17.9 square kilometres, to a total area of 227 square kilometres.
This puts the company in a better position to plan its financial future and secure for itself a formidable role as an important player in the country’s mining sector. The company has overcome many hurdles as it engages the mineral capacity of a country desperately in need to benefit from its abundance of mineral resources. The Chairman of the company, Frank Timis, has not let the people of Sierra Leone down. He has personally ensured the establishment of health centers across the northern region of the country which are set to implement the government’s free health care program, and the building of schools and educational facilities that will provide free education for children that would otherwise have been deprived of these vital services.
The setback the company faces over its new agreement with Shandong, is minor, as it is only natural to give the Iron & Steel company more time to complete due diligence as the Chinese prepare to pump USD 1.5 billion into the AIM listed company’s Tonkolili project in Sierra Leone. Progress is being made, African Minerals has been told. Discussions are on-going, but the deadline has had to be extended to November 10th 2010 – which is in reality only a few days away. African Minerals is indeed poised to make a huge difference to the economy of the West African State of Sierra Leone as it prepares to not only enjoy a massive production boost, but to also contribute positively to the welfare of the people. The Company holds an extensive portfolio of mineral rights in Sierra Leone, a country in which it has been actively investing since 2003. The company has recently shifted its focus almost exclusively to the iron ore project at Tonkolili. It has been an exciting period, in which a number of critical milestones have been reached. AML has conducted what it believes to be the biggest exploration programme in Africa, proving up the largest reported JORC compliant magnetite iron ore resource on the Continent.
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