bolaven plateau laos

Could yesterday's massive buying be a delayed reaction to this announcement in addition to the copper discovery?


16 November 2006
The Company Announcements Office
Australian Stock Exchange Limited
UPDATE ON BAUXITE AND ALUMINA PROJECT: BOLAVEN PLATEAU, LAOS

An Ord River Resources (ORD) team has returned from Laos with updates on its venture to develop a world class
aluminium industry on the Bolaven Plateau, Southern Laos.
ORD has consolidated its commercial position in Laos.
• ORD has moved to establish a Lao-based joint venture company, Sino Australian Resources (Laos) Co., Ltd
with its strategic partner China Non-ferrous Metals International Mining Co Ltd (CNMIM).
• ORD and CNMIM have jointly applied for a foreign investment licence in Laos to implement the minerals
investment program.
A field trip was made to the Bolaven Plateau to increase ORD’s understanding of the bauxite resource.
• Bauxite was discovered in the Plateau’s sandstone, in addition to the Plateau’s known basalt bauxite deposits.
This may positively affect the grade and quantity of the region’s resources.
• A work plan proposed by ORD for further exploratory work has been approved by the joint venture partners.
The team also investigated a number of Lao infrastructure developments that will support an aluminium industry.
• Trans-Asian Railway Network (TAR): On Friday 10 November 2006, eighteen countries, including Laos,
Vietnam and China, signed a landmark co-operative agreement to develop a railway linking China to several
South-East Asian nations, including Laos and Vietnam. TAR will be overseen by the United Nations Economic
and Social Commission for Asia and the Pacific (UNESCAP), who have already prepared extensive feasibility
studies on the project.
The proposed rail link runs near the Bolaven Plateau, which will support a relatively short slurry pipeline from
the Plateau to the TAR railhead, and will enhance the economics of the mine development.
• Hydropower: The future of hydropower in Central and Southern Laos looks promising, with early indications
of suitable hydropower tariffs, at industry standard prices, required to underpin an integrated alumina industry.
ORD and CNMIM’s aluminium industry proposal has been presented to Lao Government officials. It has been well
received for further consideration in bilateral economic relations between China and Laos.


Patrick Sam Yue
Company Secretary
Contact:
Libby Gauld, Wilkinson Media, 02 8001 8888, 0404 889 692, [email protected]
Ord River Resources


Currently there is a JV between ORD (49%) and CNMIM (51%).
The ORD/CNMIM JV (70%) has an agreement with a Laos company (30%) to develop a 138 square kilometre
tenement on the Bolaven Plateau.
The bauxite potential, in and around the Joint Venture’s existing tenement, is estimated to be up to 2 – 2.5 billion
tonnes.

Negotiations are in progress to secure additional tenements in the area.
With that potential ORD estimates an annual production of up to 20 mtpa (million tonnes per annum) of bauxite from
the Bolaven Plateau is possible, which may be refined to 5 – 7 mtpa of alumina.
2006 spot alumina price
average1
US$430/tonne Price of aluminium2 US$2,709/tonne
14 Nov 2006
The information in this report that relates to Exploration Results is based on information compiled by Mr Peter Temby
and reviewed Mr Michael Morgan, a bauxite consultant and a member of The Australian Institute of Mining and
Metallurgy. Mr Morgan has sufficient experience that is relevant to the style of mineralization and type of deposit under
consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004
Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr
Morgan consents to the inclusion in this report of matters based on this information in the sense that the scientific
reasoning behind the acquisition of the figures appears to him to be reasonable.
1 ABARE Australian Commodities: September Quarter 2006
2 London Metal Exchange: cash seller and settlement
Media Release Thursday 16 November 2006
ORD moves Laos a step closer to a world-class aluminium industry
An Ord River Resources (ORD) team has returned from Laos with updates on its venture to
develop a world class aluminium industry on the Bolaven Plateau, Southern Laos.
“The trip was extremely productive from both a geological and a commercial point of view,” said
John Towner, Executive Chairman, ORD.
“The quantity and grade of bauxite mineralisation appears greater than originally estimated. Key
relationships were also developed with Lao Government ministries and potential infrastructure
partners.”
The geology
A check analysis was performed on initial mineralisation results to confirm that the Bolaven
Plateau contains large undeveloped bauxite deposits.
“Excitingly, we also discovered bauxite in the Bolaven Plateau sandstone, in addition to the
known basalt bauxite,” said Peter Temby, General Manager – Mining Operations, ORD.
“In Australia for example, Weipa’s sandstone bauxite is a much higher grade than the Darling
Ranges’ basalt bauxite deposits.
“Our discovery of this on the Bolaven Plateau may significantly affect the quantity and grade of
the resources in the region.”
The infrastructure
There are also encouraging signs regarding the Lao infrastructure required to support an
aluminium industry.
On Friday 10 November 2006, eighteen countries, including Laos, Vietnam and China, signed a
landmark co-operative agreement to develop the Trans-Asian Railway Network (TAR) - linking
China to several South-East Asian nations, including Laos and Vietnam. TAR will be overseen by
the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP).
“Lao is a landlocked country – so the rail link will be critical to the country’s long term
development,” explained Mr Towner.
“Strategically for ORD, the proposed rail link runs close to the Bolaven Plateau. When
constructed, the rail link could potentially transport the mine’s off-take to Vietnam, the closest sea
port, or directly to China, the world’s largest metal market.”
Components of the rail link are already under construction.
The future of hydropower in Central and Southern Laos also looks promising.
There are early indications of suitable hydropower tariffs in Laos, at industry standard prices, to
underpin a world class mine.
The commercial arrangements
As a result of the trip, ORD has further consolidated its commercial position in Laos.
ORD has moved to establish a Lao-based joint venture company, Sino Australian Resources
(Laos) Co., Ltd with its strategic partner China Non-ferrous Metals International Mining Co Ltd
(CNMIM).
This is the first joint venture company established between ORD and CNMIM since their strategic
agreement in 2004. Both companies are pleased with the evolution and solidarity of the
partnership.
ORD and CNMIM have also jointly applied for a foreign investment licence in Laos to implement
the minerals investment program.
“Bauxite mining in the Bolaven Plateau could become the biggest resource project in Laos,” said
Mr Towner.
Ends
Contact: Libby Gauld, Wilkinson Media, +61 2 8001 8888, +61 404 889 692
ORD: key facts
The bauxite potential, in and around the joint venture’s existing tenement, is estimated to be up to
2 – 2.5 billion tonnes. Negotiations are in progress to secure additional tenements in the area.
With that potential ORD estimates an annual production of up to 20 mtpa (million tonnes per
annum) of bauxite from the Bolaven Plateau is possible, which may be refined to 5 – 7 mtpa of
alumina.
2006 spot alumina
price average*
US$430/tonne Price of aluminium** US$2,709/tonne
14 Nov 2006
*ABARE Australian Commodities: September Quarter 2006
**London Metal Exchange: cash seller and settlement