Update on Direct Nickel Limited

RNS Number : 7246J

Regency Mines PLC

19 July 2013

 



Regency Mines Plc

("Regency" or the "Company")

Update on Direct Nickel Limited

19 July 2013

Regency Mines plc, a mining exploration and mineral investment company with interests in nickel and other minerals in Australia, Africa, and Papua New Guinea is pleased to announce an update on progress at Direct Nickel Limited ("DNi"), a company in which Regency is a shareholder holding approximately 7.5% of the shares. DNi is the Company's joint venture partner in the Mambare nickel-cobalt laterite project in Oro Province, Papua New Guinea; a project which has a license for the DNi Process.

As previously announced by DNi  in April and May 2013, Stage 2 of the test plant has been constructed and commissioned. DNi now announces that the plant has produced its first marketable nickel/cobalt concentrate in the form of a Mixed Hydroxide Product (MHP), this from a mixed feed of 25% limonite and 75% saprolite ore.  The plant is also recovering nitric acid for reuse in the process, as well as magnesium oxide (MgO), itself a potentially saleable product, from its waste streams as designed.  

This marks the completion of the full flow sheet of the DNi process with the focus now shifting from activation to optimization of continuous operations.  The overall test programme is expected by DNi to complete by the end of 2013.        

With twelve of the planned nineteen campaigns now completed, DNi considers this to be a significant milestone in the test plant technical program and a large step forward towards generating the data needed to design an initial commercial plant, commencing in 2014. 

The full text of the release by DNi is given at:        

http://www.asx.com.au/asxpdf/20130719/pdf/42h4dpnm4ly84d.pdf 

Enquiries:

Andrew Bell 020 7747 9960 or 07766 474849                             Chairman Regency Mines plc

Sandra Spencer 020 7747 9960 or 07757 660 798                      Investor Relations Regency Mines plc

Colin Aaronson / Daniela Amihood 020 7383 5100                 NOMAD Grant Thornton Corp Finance

Nick Emerson 01483 413500                                                     Broker Simple Investments Ltd

Note to Editors: DNi is a public company incorporated in Australia. It is currently demonstrating a potentially revolutionary process with attractive economics for treating laterite nickel ores (the "DNi Process").

The DNi Process is a hydrometallurgical process for the treatment of nickel laterites. It is designed to operate with tank leaching at atmospheric pressure, and to treat both limonite and saprolite ores with a single flowsheet. The DNi Process claims to recycle its reagents, offer high cobalt and nickel recoveries with short residence time, and to enable the treatment of nickel laterites with industry-competitive capital and operating costs. The DNi Process has the potential to add materially to the prospective value of world nickel laterite resources which receive access to the DNi Process.

 

END

 

 

MSCGGURWMUPWGUB