Approval for Mining Concession Acquisition

    RNS Number : 8765K
  Monterrico Metals PLC
  30 December 2008
   

    
    Monterrico Metals plc
    ("Monterrico" or the "Company")


    30 December 2008                                                                                     AIM: MNA


    Approval for Important Mining Concession Acquisition


    LONDON, 30 December 2008: Monterrico is pleased to announce Peruvian Government approval of its principal shareholder's request to
acquire an additional buffer zone around the eight core mining concessions of the Rio Blanco Project. The additional area comprises 27
mining concessions totalling 21,794.69 hectares located in the Provinces of Huancabamba and Ayabaca, Department of Piura, in northern Peru. 
The eight core concessions around Rio Blanco total 6473.15 hectares and together with the additional areas, represent a total of 28267.84
hectares in contiguous mining concessions around Rio Blanco in Piura.

    Because these concessions are located within 50 Km of the Peruvian Border, special government approval for the acquisition was required
in accordance with Peruvian Law. The request filed by the majority shareholder of the Company in April 2007 was approved by the Ministry of
Defence on December 19, 2007, following a positive report from the Joint Chiefs of the Peruvian Army. Such approval was confirmed by the
President of the Council of Ministers, the Minister of Energy and Mines and the Minister of Defence.  Formal approval was granted by way of
Supreme Decree 024-2008-DE dated December 1st, 2008 and published in Peru's Official Gazette on December 27, 2008 containing the signatures
of the President of the Republic of Peru, the President of the Council of Ministers, the Minister of Energy and Mines, and the Minister of
Foreign Affairs in representation of the Ministry of Defence.

    In obtaining this approval, the Company has successfully created an extensive buffer zone around Rio Blanco that allows for control of
the development of mining activities in the area. This ensures contained natural resources and the environment will be respected in
accordance with company policy. The buffer zone guarantees the integrity of the ecological conservation area proposed for Rio Blanco which
is considered a vital component of the current development plan for the project. In addition, the social viability of Rio Blanco is
protected by eliminating any activity of other mining companies in the vicinity of the Project. The Company reiterates that any exploration
or mining activities in these new concessions would require proper environmental permits and other approvals from the Peruvian government
and respective surface land owners.

    For more information please contact:

    Monterrico Metals plc
    Susan Li, Finance Director                                 + 852 2803 2738
    Andrew Bristow, Investor Relations Manager     + 511 226 3322
        
    EVOLUTION SECURITIES LIMITED
    (Nominated adviser)                                           [phone]
    Rob Collins
    Tim Redfern
        
    EVOLUTION SECURITIES CHINA LIMITED 
    (Financial adviser and broker)                            [phone]
    Nick Martin 

This information is provided by RNS
The company news service from the London Stock Exchange
 
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