PERKOA ZINC - HIGHLY POSTIVE BANKABLEFEASIBILITY STUDY...

PERKOA ZINC - HIGHLY POSTIVE BANKABLE
FEASIBILITY STUDY RESULTS
AIM Resources Limited (ASX code “AIM� / London AIM market “AIMR�) announces that its
plans to develop the first zinc mine in West Africa have moved a step closer with the
announcement today of the completion of the bankable feasibility study (BFS) for the high
grade Perkoa Zinc Project in Burkina Faso.
The BFS indicates total Revenues from the project of USD1.3 billion (AUD1.7 billion) and a
Net Present Value (“NPV�) of the Project of USD147.7 million (AUD197.0 million) based on
a discount rate of 10%. The NPV equates to AUD38.6 cents per AIM share.
The current market capitalisation of AIM Resources is AUD29.1 million based on
yesterday’s share price of AUD5.7 cents.
The project capital cost required to bring the mine and process plant into production in
2007, is USD 72.5 million. The Feasibility Study indicates that cash flow from the
operations will repay all establishment capital costs within the first two years of full
production.
AIM Resources’ Managing Director Mr Marc Flory said “we are extremely pleased to have
reached this important milestone in the Company’s history, as we now embark on bringing
this mine into production and join the world market as a significant zinc producer�.
The Managing Director is currently in Europe negotiating offtake agreements.
The Board extends its thanks to all who contributed to the BFS, which was completed in
the short timeframe of less than nine months from when we took ownership of the Project.
The Directors are pleased to announce the Study findings and note that these are based
on the current Perkoa deposit, and take no account of the future exploration potential
nearby, which is considered by company management to be very high. A review of the BFS
has noted a number of areas where the project may be able to be further optimised due to
the conservative approach taken in this feasibility.
The BFS was undertaken by internationally respected Snowden Mining Industry
Consultants (“Snowden�). Barclays Capital, the investment banking division of Barclays
Bank PLC and largest mining project financier in the world, are debt financing advisors for
the Project. Seymour Pierce was recently appointed as the Company’s broker for the
London Market. A roadshow is planned for early in the New Year to update potential
financiers and investors on the Project details and financing requirements.
The Company will continue to keep shareholders informed as to the progress of the
project’s development.
For further information please contact: