October 01, 2012 09:05 ET
Montero Increases its Interest to 80.81% in the Wigu Hill Rare Earth Project, Tanzania and Submits ESIA for Approval
TORONTO, ONTARIO--(Marketwire - Oct. 1, 2012) - Montero Mining and Exploration Ltd. (TSX VENTURE:MON) ("Montero") announces that it has increased its shareholding interest in the Wigu Hill Rare Earth Element Project in Tanzania by a further 10.81% from the original 70% shareholding to an 80.81% interest in the project. The increase in Montero's interest is pursuant to the Shareholders Agreement signed last year with our partner RSR (Tanzania) Ltd. on September 22, 2011 (see news release dated 04/10/2011).
Montero has submitted the Environmental and Social Impact Assessment Report ("ESIA"), including a non-technical executive summary for the potential to mine rare earth elements, to the National Environment Management Council (NEMC) in Tanzania. The ESIA is a crucial step in obtaining the Environmental Permit, required for the Mining License application for a mining operation to commence on a portion of the Wigu Hill Project area upon completion of feasibility work.
Dr. Tony Harwood, President and CEO of Montero commented, "With a further increase in our interest in the Wigu Hill REE Project, our equity stake in our flagship project is secured and we are advancing the project to a mining stage. The submission of the ESIA to NEMC is a further step towards the application of a mining licence and the requirement for a feasibility study. Montero remains focused on de-risking the Wigu Hill Project and targeting a fast-track strategy for early production of rare earths. Discussions with potential strategic and off-take partners continues and we are pleased to report how our fast-track strategy is advancing."
About Montero Mining & Exploration
Montero Mining and Exploration Ltd. is a mineral exploration and development company engaged in its flagship Rare Earth Elements (REE) Project Wigu Hill in Tanzania, has phosphate assets in South Africa and uranium assets in Tanzania and Quebec, Canada. The flagship Wigu Hill REE Project is a high-grade, undeveloped Light Rare Earth Element deposit, where the current focus is on the fast track strategy to advance a portion of the large deposit to the mining and production stage in the short-term whilst defining a larger deposit and further advancing the hydro-metallurgical testwork with Mintek. With China's control over export quotas, it is becoming imperative that the rest of the world develops new rare earth resources to meet the increasing demand from "green" technology and high-tech applications.
Montero's growth strategy is to de-risk the Wigu Hill Rare Earth Element project and bring this to account through eventual rare earth production and cash flow, while operating in an environmentally and socially responsible manner. Montero trades on the TSX Venture Exchange under the symbol MON.
Dr. Tony Harwood, President and CEO