TIDMBEM
RNS Number : 4151W
Beowulf Mining PLC
14 November 2017
The information contained within this announcement is deemed to
constitute inside information as stipulated under the Market Abuse
Regulations ("MAR") (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
For the purposes of MAR and Article 2 of Commission Implementing
Regulation (EU) 2016/1055, this announcement is being made on
behalf of Kurt Budge, Chief Executive Officer.
14 November 2017
Beowulf Mining plc
("Beowulf" or the "Company")
Kallak North Exploitation Concession Update
Beowulf (AIM: BEM; Aktietorget: BEO), the mineral exploration
and development company, focused on the Kallak magnetite iron ore
project and the Åtvidaberg polymetallic exploration licence in
Sweden, and its graphite portfolio in Finland, provides an update
on the Kallak North Exploitation Concession application
process.
The Company understands that the Swedish National Heritage Board
(Riksantikvarieämbetet, "RAÄ") and the Swedish Environmental
Protection Agency (Naturvårdsverket, "NV") have provided comments
in a letter to the County Administrative Board ("CAB") for the
County of Norrbotten, ahead of the CAB's response to The Government
of Sweden due 1 December 2017.
RAÄ and NV have confirmed to the CAB that the information
provided by the Company is possibly sufficient for the CAB to
provide its opinion to the Government, on whether mining is an
appropriate land use for Kallak with reference to Chapters 3 and 4
of the Environmental Code.
The CAB has previously stated, on 1 October 2014, that the
Company's Environmental Impact Assessment ("EIA") is sufficient
with respect to Chapters 3, 4 and 6 of the Environmental Code, and,
on 7 July 2015, the CAB wrote to the Government indicating that the
Company's application could be permissible with respect to Chapters
3 and 4 of the Environmental Code. The CAB confirmed its support
for the Company's application to the Mining Inspectorate, and in
October 2015, the Mining Inspectorate recommended to the Government
that the Exploitation Concession be awarded.
In addition, on 29 June 2017, the Mining Inspectorate confirmed
to the Government that the Company's EIA is consistent, in the
detail provided, in meeting the requirements of the Supreme
Administrative Court ("SAC") judgement in the case of Norra K
rr.
RAÄ and NV have given the Company recognition for the additional
information that has been provided, namely a submission to the CAB
in December 2016 and the Heritage Impact Assessment ("HIA")
submitted to the Mining Inspectorate in April 2017.
Each document was produced voluntarily by the Company, as the
prescribed application process for an Exploitation Concession, in
accordance with Swedish law, does not require the Company to
produce any further information, beyond its original, and later
supplemented application, and the EIA for Kallak.
RAÄ and NV have not taken any position regarding the potential
impact on reindeer herding caused by Kallak, and have suggested
that the CAB may wish to consult with Sametinget on this matter.
RAÄ and NV consider that the claim by Sametinget for a national
interest for reindeer herding at Kallak, despite being made four
years after the Swedish Geological Unit's designation, is relevant
and needs to be considered. Previously, the Company has written to
RAÄ and NV, suggesting that to most observers, the timing of
Sametinget's claim, given no attempt has been made in the four
years prior to make such a claim, should look like an attempt to
frustrate the Company's application.
It remains the Company's belief, that mining and reindeer
herding can cooperate and prosper. Our submission to the CAB in
December 2016, shows that reindeer herding in Sweden is on the
increase, and that there is no evidence of any reindeer herding
cooperative in Sweden having ever been forced out of business, by
any form of industrial activity. To the contrary, there are many
examples of mining companies reaching agreement with Sami
communities, cooperating, and working side by side.
Kurt Budge, CEO, commented:
"It is good to see that the Company's additional work, in
support of its application, has been acknowledged by RAÄ and
NV.
"Recently, the Company has written to the two agencies, to
ensure they are well-informed on the latest developments with
respect to Kallak and Beowulf, providing them with documentation
submitted to the CAB and the Mining Inspectorate, the Copenhagen
Economics Study, and details on the Scoping Study.
"We made RAÄ and NV aware of what I, and Göran Färm our new
Swedish Chairman have been saying about the Company's development
philosophy for Kallak, the design, engineering, and operation of a
modern and sustainable mine. As is RAÄ and NV's remit, their
comments are restricted to their specific areas of expertise.
"While deliberations continue with the Company's application,
the Company has been maintaining itself for four and a half years,
and by the time the Scoping Study is complete we will have invested
circa SEK 100 million in Kallak.
"We continue to invest on the basis that we have satisfied the
requirements to be granted an Exploitation Concession, in
accordance with the prescribed process, and Swedish law, and as
validated by statements from the Swedish authorities, the CAB and
the Mining Inspectorate, in 2015 and 2017.
"Jokkmokk needs Kallak - new enterprise, new jobs, and the hope
of an economic future to improve its current situation. A brighter
future for Jokkmokk will benefit all members of the community.
"The Company has gained the trust and support of the Kommun,
landowners, and local entrepreneurs, and remains committed to
working with the Sami reindeer herders as we move forward. This is
entirely consistent with the approach that I have adopted since I
became CEO three years ago, and the focus of our new Chairman.
"We will provide further updates to shareholders in due
course."
Enquiries:
Beowulf Mining plc
Kurt Budge, Chief Executive Tel: +44 (0) 20 3771 6993
Officer
Cantor Fitzgerald Europe
(Nominated Advisor & Broker)
David Porter Tel: +44 (0) 20 7894 7000
Blytheweigh
Tim Blythe / Megan Ray Tel: +44 (0) 20 7138 3204
Cautionary Statement
Statements and assumptions made in this document with respect to
the Company's current plans, estimates, strategies and beliefs, and
other statements that are not historical facts, are forward-looking
statements about the future performance of Beowulf. Forward-looking
statements include, but are not limited to, those using words such
as "may", "might", "seeks", "expects", "anticipates", "estimates",
"believes", "projects", "plans", "strategy", "forecast" and similar
expressions. These statements reflect management's expectations and
assumptions in light of currently available information. They are
subject to a number of risks and uncertainties, including, but not
limited to, (i) changes in the economic, regulatory and political
environments in the countries where Beowulf operates; (ii) changes
relating to the geological information available in respect of the
various projects undertaken; (iii) Beowulf's continued ability to
secure enough financing to carry on its operations as a going
concern; (iv) the success of its potential joint ventures and
alliances, if any; (v) metal prices, particularly as regards iron
ore. In the light of the many risks and uncertainties surrounding
any mineral project at an early stage of its development, the
actual results could differ materially from those presented and
forecast in this document. Beowulf assumes no unconditional
obligation to immediately update any such statements and/or
forecasts.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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