TORONTO, ONTARIO--(Marketwired - Sep 16, 2013) - AXMIN Inc. (TSX VENTURE:AXM) ("AXMIN" or the "Company") wishes to provide an update on its operations in the Central African Republic ("CAR").
Passendro Gold Project
On August 29, 2013, the Company received a letter (the "Letter") dated August 19, 2013 from the Government of the CAR (the "Government") stating that the Company is in violation of certain provisions of the April 29, 2009 Mining Code (the "Mining Code"). Specifically, the Government is purporting that there has been an assignment of the 25-year Mining Licence held by SOMIO Toungou SA, a wholly owned CAR registered subsidiary of the Company, in breach of the Mining Code. The Letter gives a formal notice of 60 days for the Company to address the purported violation and, if the Company fails to do so, the 25-year Mining Licence could be cancelled. The Company understands that other mining companies operating in the CAR received similar letters.
After discussions with the Company's legal counsel and a review of this matter by the Board of Directors, the Company strongly believes that there has been no breach of the Mining Code as there has been no assignment of the 25-year Mining Licence by SOMIO Toungou SA. The Company intends to work closely with its legal counsel and other advisors to address this issue in a timely manner.
AXMIN's Chairman and Interim CEO, Lucy Yan, stated, "Following AXMIN's July meetings in the CAR with the President and several of the Ministers, we made the commitment to work with the Government to build a relationship of trust, opening all lines of communication in order to address any outstanding issues. We will be working diligently to resolve the issue raised by the Government in relation to the 25-year Mining Licence."
Bambari 1 and 2 Exploration Licences
The Bambari 1 and 2 Exploration Licences held by Aurafrique SARL, a wholly owned CAR registered subsidiary of the Company, were subject to renewal on or before August 7, 2013. Due to the current political environment in the CAR, the Company has not yet filed applications for the renewal of those Exploration Licences. The Company is in ongoing discussions with the Government regarding the filing of the renewal applications and intends to file them in the near future.
Addition of New Members of Management in the CAR
Following the July meetings in the CAR, the Company has hired two new members of management to be permanently stationed in the Bangui office of the Company in the CAR: Mr. Jiang Lifei, Vice President and CAR Country Manager; and, Ms. Celine Li, Assistant to the CEO. Both Mr. Jiang and Ms. Li are experienced in working in the French West African environment and will be working closely with the Company's representatives in the CAR to facilitate the advancement of the Passendro project.
AXMIN is a Canadian exploration and development company with a strong focus on central, east and West Africa. AXMIN has projects in Central African Republic, Mozambique and Senegal. AXMIN is positioned to grow in value as it progresses its Passendro Gold Project towards development focusing on transitioning from an explorer to producer. For more information regarding AXMIN, please visit our website at www.axmininc.com.
This press release includes certain "Forward-Looking Statements." All statements, other than statements of historical fact included herein, including without limitation, statements regarding future plans and objectives of AXMIN and statements regarding the ability to develop and achieve production at Passendro are forward-looking statements that involve various risks and uncertainties.
There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from AXMIN's expectations have been disclosed under the heading "Risk Factors" and elsewhere in AXMIN's documents filed from time-to-time with the TSX Venture Exchange and other regulatory authorities. AXMIN disclaims any intention or obligation to update or revise any forward-looking statements whether resulting from new information, future events or otherwise, except as required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.