This project continues to gain momentum.I'd expect to see a push...

This project continues to gain momentum.

I'd expect to see a push north......soon

OXIANA SIGNS LAOS MINING AGREEMENT UPDATE AT CEREMONY WITH
PRIME MINISTER JOHN HOWARD
Oxiana Limited today signed an addendum to its mining agreement with the
Government of Laos at a ceremony witnessed by Australia’s Prime Minister, The
Honorable John Howard, in Vientiane, Lao PDR.
The Prime Minister is in Vientiane for the 2004 ASEAN Heads of State Summit,
which is being hosted by Lao PDR. Oxiana’s Managing Director Owen Hegarty
said that “hosting the ASEAN Summit has been an invaluable opportunity for Laos
to showcase its increasing attractiveness as an investment host.”
Oxiana owns and operates Laos’ largest foreign investment, the US$350M Sepon
Gold and Copper project in Savannakhet Province south eastern Laos. The
changes to the original 1993 Agreement, were outlined it Oxiana’s third quarter
report and include the Government of Laos confirming its intention to exercise its
option to purchase 10% of the Sepon Project. The Government will fund the 10%
through future dividend payments.
Mr. Hegarty was very complimentary of the Lao Government’s support,
cooperation and encouragement for Oxiana and the Sepon Project.
Also included in the changes is the right for Oxiana to negotiate for further
prospective gold and copper tenements in Laos.
Mr. Hegarty also said that the presence of Australia’s Prime Minister at the signing
ceremony, “signified the importance of Australia and Australian companies to the
growing Lao mining industry, an industry which can be a key to economic growth
and to achieving national poverty alleviation goals”.
The Sepon Project has already seen significant benefits for the Lao economy and
these will continue to grow. Macroeconomic benefits are generated in the form of
increases in export earnings, foreign direct investment and GDP growth. Further
direct benefits, amounting to hundreds of millions of dollars over the life of the
project, are derived from taxes and royalties, whist benefits including employment,
infrastructure and community development have extremely positive flow-on
effects.
Owen L Hegarty
Managing Director