AVM 13.6% 2.5¢ advance metals limited

anvil confirms denial of unfounded allegations

  1. 321 Posts.
    FOR IMMEDIATE RELEASE TSX, ASX:
    AVM June 21, 2005
    Common shares outstanding: 29 million

    Anvil Confirms Denial of Unfounded Allegations

    PERTH ­ Anvil Mining Limited (TSX, ASX: AVM) confirmed today that it would vigorously
    defend any inference or allegation that it had knowledge of, or provided assistance to, the
    Democratic Republic of Congo (DRC) armed forces (known as FARDC) in the committing of any
    human rights violations during the suppression of a rebel insurgency in the town of Kilwa, in
    October 2004.

    Since October 2002, Anvil has operated a copper/silver mine at Dikulushi, 50 kilometres from
    Kilwa and about 400 kilometres from Lubumbashi, the Provincial Capital.

    Anvil President and CEO Mr Bill Turner repeated his earlier response stated in a news release dated
    June 7, 2005 that the allegations against Anvil are deplorable and without foundation.

    Mr Turner confirmed that: ·Following the taking of the town of Kilwa by rebels on October 14, 2004, the Military of the
    DRC Government had commandeered Anvil vehicles, drivers and chartered aircraft to assist the
    Military in suppressing the rebel insurgency. Given Anvil's previous experience with rebel
    activity in the Kilwa area, during which Anvil's vehicles were, after initial resistance,
    commandeered at gunpoint, Anvil had absolutely no choice but to provide the transport required
    by the DRC Military and had no reason to suspect that this would involve anything other than
    the lawful enforcement of the laws of the DRC. Anvil had no knowledge of what was planned
    for the Military operations and was not involved in the Military operations in any way. ·Anvil was aware, following the October 2004 insurgency, that the United Nations were
    conducting an investigation, but Anvil was not contacted by the UN in relation to the incident
    other than to confirm the security situation in the Kilwa area. ·After Anvil personnel, who had been evacuated from the area on October 14, returned to Kilwa
    on October 16, Anvil coordinated relief efforts and ensured that the situation was normalised as
    quickly as possible. At this stage, there were rumours of looting by the military and some of the
    villagers. Anvil established and manned a Crisis Centre at the mission and delivered three
    truckloads of food to Kilwa from the Dikulushi Mine to ensure that basic foodstuffs were
    available to locals and to the Military personnel, to ensure no further looting took place. ·Anvil was encouraged by the Government of DRC to reopen its operations as soon as possible
    to ensure that Kilwa could normalise as quickly as possible. Mining operations recommenced on
    October 19, 2004. ·Anvil is cooperating fully with investigations of the October 14 incident by the United Nations
    Mission in the Democratic Republic of the Congo (MONUC), which maintains about 16,000
    peacekeepers in the DRC.
    "Although at the time, Anvil had no knowledge of the occurrence of human rights abuses, we are
    now learning, it was a terrible event. The climate of fear and retribution that exists in this strife-torn part of the world means that it takes a considerable amount of time for any party to obtain all
    information that relates to such events as occurred at Kilwa. We will of course co-operate with any
    further inquiry into the incident." Mr Turner said that he and all Anvil employees were deeply upset
    that deaths occurred as a result of the military activity in the town of Kilwa in October last year.

    Mr Turner confirmed that despite operating in one of the most difficult and poorest regions of the
    world, the Company had made, and was continuing to make a significant and meaningful
    contribution to the region through employment and community initiatives, the latter being funded
    out of a 10% interest in the project held via a trust structure for the benefit of the local community.

    Anvil employs 621 Congolese nationals and 27 expatriate staff. The local employees are estimated
    to support approximately 6,000 other locals with their salaries in an area where there is almost total
    unemployment and no other source of reasonable income. In addition, the Company conducts
    training programs for young Congolese geologists, mining engineers, surveyors, metallurgical
    engineers, welders and electricians. The Company draws approximately one third of its workforce
    from the town of Kilwa, transporting approximately 200 staff from Kilwa to the mine every day.

    Anvil's community projects include providing a new school in Dikulushi for 200 children,
    refurbishing the Kilwa hospital, upgrading roads and bridges, and providing power lines to the local
    high school and mission. Mr Turner said that despite the terrible allegations and the impact on its
    many employees, the Dikulushi Mine is operating normally.



    For further information, contact:

    Australia: Bill Turner
    President and CEO
    Telephone: +61 8 9481 4700
    Email: [email protected] Munro
    Vice President Corporate & Finance
    Telephone: +61 8 9481 4700
    Email: [email protected] Caroline de Mori
    Director
    Purple Communications
    Tel: +61 8 9485 1254 or Mobile +61 418 919 064
    Email: [email protected]
    Canada: Robert La Vallière
    Vice President Investor Relations
    Telephone: Office +1 (514) 448 6664, Cell +1 (514) 944 9036
    Email: [email protected] Notes:
    Caution Regarding Forward Looking Statements: Statements regarding the Company's plans with respect to future mining activities in the DRC are
    forward-looking statements. There can be no assurance that Anvil's future plans will materialize or that future required regulatory approvals will be
    obtained. There can be no assurance as to the exact result of the recent expansion of the Dikulushi operation.
 
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