it's in the bag silevrfox, conix_vale
rtm's announcement provided a plausible sequence of events surrounding their activities in connection with u-prospecting in Erongo. Clearly the application was rejected because they did not announce to the MME their intention to prospect for U before they lodged the application seeking approval to do so. If you read it on face value, the announcement suggests there was no deception on RTMs behalf. All they have to do is convince the Minister of MME that their activities were not undertaken illegally or in contravention of any mining Act. The Minister may or may not be convinced - I won't even attempt to deal with that issue but I don't think people should overlook the fact that MME have already had dealings with RTM and approved a number of mining licences. All depends on what's in the bag :D
______________________________________________
4 August 2005
Company Announcements Office
Australian Stock Exchange Limited
Level 4
Exchange Centre
20 Bridge Street
SYDNEY NSW 2000
Dear Sir / Madam
MME PRESS RELEASE - REASONS FOR REFUSAL OF NUCLEAR FUELS APPLICATION
The Company wishes to advise that it is yet to receive any official
correspondence addressed to it from the Mining Commissioner regarding reasons
for the Ministry of Mines & Energy, Namibia ('MME') refusing the Company's
applications for the inclusion of nuclear fuels within the scope of permitted
exploration activities on the licences covering the Erongo Project (EPLs 2805 -
2811).
The Company has however become aware of a press release issued by the Honourable
E Nghimtina, MP, Minister of Mines and Energy, Namibia that relates to the above
matter. The Company did not receive a copy of the press release until Tuesday
2nd August after a request by our legal representative.
In summary, the MME has alleged that the Company has breached provisions of the
Minerals (Prospecting and Mining) Act, 1992 by exploring for uranium without
legal rights to do so, and undertaking a drilling programme for uranium without
notifying the Mining Commissioner of the MME as required by Section 53 of the
Minerals (Prospecting and Mining) Act, 1992.
In accordance with the terms of EPLs 2805 - 2811, the Company is entitled to
undertake prospecting operations on its licences, and therefore may explore for
the minerals to which the licences relate. On 16 March 2005 the Company
commenced an exploration programme at Erongo.
On 11 March 2005, prior to the commencement of this exploration programme, the
Company advised the Mining Commissioner by facsimile of its intention to
undertake a reverse circulation drilling programme with the prescribed form and
a covering letter. This notification was provided in accordance with Section 53
of the Minerals (Prospecting and Mining) Act, 1992. However, it is correct that
this notification did not specify uranium as a target - no specific minerals
were identified as targets in the notification.
On 16 March 2005, prior to the start of the RC drill programme, the Company used
a geophysical technique of ground truthing radiometrics to delineate potential
paleochannel systems. Ground truthing radiometrics was determined as an
appropriate mapping tool for this purpose as the area being tested was within a
known uranium enriched province and paleochannel systems within the province
were likely to contain some uranium mineralisation which would act as an
effective tracking mineral.
The results of the ground truthing radiometrics were significantly higher than
expected, and focused the Company's attention on uranium as a target in its own
right. This led to:
- lodgement of applications for inclusion of uranium as a permitted
target for exploration on the Erongo licences - submitted 18 March
2005; and
- the Company's ASX announcement of 18 March 2005 entitled 'New Uranium
Discovery'.
Following this Company announcement, notification to the Mining Commissioner of
the MME of possible low grade uranium within EPL 2811 in accordance with Section
74 (read with Section 41(1)(i)(i)) of the Minerals (Prospecting and Mining) Act,
1992 was given on 7 April 2005.
As to the statement in the press release that the discovery is not new, it is
true that the presence of radiometric anomalies and uranium in the Hakskeen area
had previously been identified, and then published by the Geological Survey of
Namibia. As previously advised by the Company, information it obtained from the
Geological Survey of Namibia on the Hakskeen area lacked the necessary detail to
make it complete and sufficiently definite. The Company's view is that
information obtained in March 2005 significantly enhanced the prospectivity of
the area by validating historical airborne radiometric anomalies and identifying
the location of the enriched paleochannel systems.
The Company will seek an audience with the Minister of Mines & Energy to discuss
these issues at his earliest convenience.
Yours faithfully,
BRADLEY S MOORE
Chairman
RTM
reefton mining nl
