Alexander Mining PLC Licence Agreement with Deep-South Resources Inc. (8169S)

TIDMAXM

RNS Number : 8169S

Alexander Mining PLC

28 June 2018

28 June 2018

Alexander Mining plc

("Alexander" or the "Company")

Licence Agreement with Deep-South Resources Inc.

Alexander is pleased to announce that it has signed a licence agreement ("Agreement") with Deep-South Resources Inc. ("DSR"; www.deepsouthresources.com) for the potential use of its proprietary Leaching Technologies ("Leaching Technologies") at the Kapili Tepe polymetallic copper project ("KT Project") in the Sivas Province in the northeast/ central part of Turkey. The Agreement is conditional on DSR completing the acquisition of a 75 per cent. equity interest in the KT Project. DSR is a Canadian exploration company, traded on the TSX-V exchange under the symbol DSM.

The KT Project is primarily a copper mineralised altered and brecciated shear zone also containing nickel, cobalt and gold mineralisation. The KT Project comprises one Mining Licence and two Exploration Licences, which are contiguous. The licensed area covers approximately 5,240 hectares (52.40km(2) ).

DSR proposes to delineate a NI 43-101 Compliant Mineral Resource Estimate and then decide on whether to conduct a Preliminary Economic Assessment ("PEA"), which would be followed by a Pre-Feasibility Study ("PFS") for the potential construction of a mine. Both the PEA and PFS work will include investigating a mineral processing plant at the KT Project using the Leaching Technologies.

Alexander has granted DSR a licence for the potential use of its Leaching Technologies on amenable mineralised materials sourced from the KT Project and also associated mineral processing technical consultancy services on the following key terms:

I. Alexander will receive a royalty of 2.5 per cent. of gross saleable metal products produced from a potential mine at the KT Project, if using Alexander's Leaching Technologies.

II. Upon completion of DSR's acquisition of the 75 per cent. interest in the KT Project and approval from the TSX Venture Exchange, DSR shall issue 500,000 common shares to Alexander.

III. For an initial period of 24 months from the start of DSR formally committing to a PEA of the KT Project, to be renewed on a mutually acceptable rolling three months' basis thereafter, a monthly technical consultancy services retainer fee of US$7,500, paid in advance.

Martin Rosser, Chief Executive Officer, said: "Alexander's interest in the KT Project goes back several years and we are delighted that a strong potential new owner is now interested in progressing the KT Project. We look forward to working closely together with DSR on this project, which has significant potential for the use of our Leaching Technologies."

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

Background on the KT Project

For background to the KT Project, please see the following link.

https://www.deepsouthresources.com/investors/news-releases/deep-south-resources-to-acquire-75-of-the-kapili-tepe-copper-nickel-cobalt-and-gold-project-in-turkey-will-proceed-with-a-private-placement-and-will-seek-a-listing-in-london/

About Deep-South Resources Inc.

DSR is a mineral exploration company largely held by Namibian shareholders and Teck Resources Ltd, which holds about 35 per cent. of DSR's issued share capital. DSR is actively involved in the acquisition, exploration and development of major mineral properties. DSR currently holds 100 per cent. of the Haib Copper project in Namibia, one of the largest copper porphyry deposits in Africa.

ENDS

For further information, please contact:

 
 Martin Rosser 
  Chief Executive 
  Mobile: [phone] 
 Alexander Mining plc 
  Tel: [phone] 
  Email: [e-mail] 
  Website: www.alexandermining.com 
 
 Northland Capital Partners Limited 
  Matthew Johnson / Dugald J Carlean 
  (Corporate Finance) 
  John Howes 
  (Corporate Broking) 
  Tel: [phone] 
 
  Turner Pope Investments (TPI) 
  Ltd 
  Andy Thacker 
  Tel: [phone] 
 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

END

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June 28, 2018 02:00 ET (06:00 GMT)