Update on Kallak North
29 January 2015
Beowulf Mining Plc
(“Beowulf” or the “Company”)
Update on Kallak North
Beowulf (AIM: BEM; Aktietorget: BEO), the mineral exploration and development company focused on the Kallak iron ore project in northern Sweden and its Swedish exploration portfolio, announces that it has been advised by the Mining Inspectorate of Sweden that the decision on the Company’s Exploitation Concession application will now be made in the second half of February 2015, the delay a direct result of staff availability to complete their work.
Kurt Budge, Chief Executive Officer of Beowulf, commented:
“As stated previously, the timing of the Inspectorate’s decision does not affect the Company’s objectives for the development of Kallak”.
|Beowulf Mining Plc|
|Kurt Budge, Chief Executive Officer||Tel: +44 (0) 20 3771 6993|
|Cantor Fitzgerald Europe|
|Stewart Dickson / Jeremy Stephenson||Tel: +44 (0) 20 7894 7000|
|Tim Blythe / Halimah Hussain / Eleanor Parry||Tel: +44 (0) 20 7138 3204|
Statements and assumptions made in this document with respect to the Company’s current plans, estimates, strategies and beliefs, and other statements that are not historical facts, are forward-looking statements about the future performance of Beowulf. Forward-looking statements include, but are not limited to, those using words such as “may”, “might”, “seeks”, “expects”, “anticipates”, “estimates”, “believes”, “projects”, “plans”, strategy”, “forecast” and similar expressions. These statements reflect management’s expectations and assumptions in light of currently available information. They are subject to a number of risks and uncertainties, including, but not limited to, (i) changes in the economic, regulatory and political environments in the countries where Beowulf operates; (ii) changes relating to the geological information available in respect of the various projects undertaken; (iii) Beowulf’s continued ability to secure enough financing to carry on its operations as a going concern; (iv) the success of its potential joint ventures and alliances, if any; (v) metal prices, particularly as regards iron ore. In the light of the many risks and uncertainties surrounding any mineral project at an early stage of its development, the actual results could differ materially from those presented and forecast in this document. Beowulf assumes no unconditional obligation to immediately update any such statements and/or forecasts.
The Kallak North iron ore deposit is located about 40km west of the Jokkmokk municipality centre in the Norrbotten County in Northern Sweden.
Local infrastructure is excellent with all-weather gravel roads passing through the project area and all parts easily reached by well used forestry tracks. A major hydroelectric power station with associated electric power-lines is located only a few kilometres to the south east. The nearest railway (the ‘Inland Railway Line’) passes approximately 40km to the east. This railway line is connected at Gällivare with the ‘Ore Railway Line’, which is used by LKAB for delivery of their iron ore material to the Atlantic harbour at Narvik (Norway) or to the Botnian Sea harbour at Luleå (Sweden).
The total Kallak project area is approximately 243km2 in size, with the Kallak North and Kallak South orebodies being centrally located, as defined by drilling covering an area approximately 3,700m in length and 350m in width. The mineral resource estimate for Kallak North and South is based on drilling conducted between 2010-2014, a total 27,895m drilled, including 131 drillholes.
The latest resource statement for the Kallak project was finalised on the 28 November 2014, following the guidelines of the JORC Code 2012 edition, summary as follows:
The Ballek Joint Venture project comprises four exploration permits over a total area of 109.9km2, located in the Norrbotten County in Northern Sweden. In September 2008 Beowulf reported a maiden JORC Code compliant Inferred Resource estimate for the Lulepotten copper-gold deposit of 5.4Mt, grading 0.8% Cu and 0.3g/t Au.
Other attractive portfolio assets include the Nautijaure licence with potential for IOCG, Grundträsk gold project and the Munka licence area, which covers approximately 800 hectares and hosts Sweden’s largest, drill confirmed deposit of molybdenum.