Quarterly report to 31 December 2009

 

TIDMRMLA 
 
RNS Number : 3765G 
Rusina Mining NL 
29 January 2010 
 

         FOR IMMEDIATE RELEASE 
                                                     29 January 2010 
 
 
 
 
                                     Rusina Mining NL 
                               ("Rusina" or the "Company") 
 
 
                                     QUARTERLY REPORT 
                          FOR THE PERIOD ENDED 31 DECEMBER 2009 
 
 
         The Company announces that is has released its Quarterly Report to the 
         ASX today. A copy of the document is available from the Company's 
         website - www.rusina.com.au and as a link to this announcement. 
 
 
http://www.rns-pdf.londonstockexchange.com/rns/3765G_-2010-1-29.pdf 
 
http://www.rns-pdf.londonstockexchange.com/rns/3765G_1-2010-1-29.pdf 
 
         HIGHLIGHTS DURING THE QUARTER 
 
 
  *           Heap Leach Trial Site officially opened 
  *           Crushing of all ore completed 
  *           Second tranche of placement to UK institutions approved and completed 
  *           DSO shipments to re-commence 
 
 
 
         RUSINA CORPORATE 
 
 
         In late October a general meeting of shareholders approved the second 
         tranche of the placement undertaken by the Company in mid September. A 
         total of 21,000,000 new shares were approved to be issued at a 
         placement price of 5.25 pence. This was in addition to 37,760,800 
         shares issued under the Company's 15% placing limit during September. 
 
 
In November the Company held its Annual General Meeting at which all resolutions 
were passed on a show of hands. 
 
 
         At the end of the quarter the Company's cash on hand was $4.95m. In 
         addition, receivables owed by our joint venture partner on the Acoje 
         nickel heap leach project totaled US$0.8 m. 
 
 
A total of 8,600,000 unquoted options expired unexercised during the quarter. 
There were 2,888,040 new unquoted options issued with an exercise price of 11 
cents and a term of 2 years. 
 
 
The total number of ordinary shares on issue as of the end of the 2009 calendar 
year was 302,963,515. 
 
 
ACOJE HEAP LEACH TRIAL AND TEST CENTRE 
 
 
         The Acoje nickel heap leach trial pad and pilot plant was officially 
         opened on 9 December by Australian Ambassador to the Philippines, Rod 
         Smith. 
 
 
         This is the first pilot plant in the Philippines to trial heap leaching 
         technology on nickel laterites. 
 
 
         The trial heap will be constructed at the same height as the full 
         commercial operation and is designed to prove the heap percolation and 
         leach rates on a full scale basis as well as demonstrating the rain 
         control methodology. In addition the trial facility will showcase the 
         clean, safe and environmentally friendly nature of the process to the 
         government and local stakeholders. 
 
 
         The crusher was commissioned and the 3,000 tonnes of nickel laterite 
         ore, a mixture of limonite and saprolite, was completed within the 
         required specifications of 95%<50mm on the first pass. 
 
 
         All electrical work on the agglomerator, binder plant and associated 
         monitoring equipment has been completed and the agglomerator and 
         associated conveyers are now fully commissioned. All water and 
         reticulation equipment required for agglomeration and stacking is in 
         place and will commence pressure testing during late January. 
 
 
         The downstream processing plant concrete pad has been completed with 
         shed erection due to commence shortly. The Resin in Pulp, Ion Exchange 
         and Centrifuge installation is scheduled to commence in late February. 
 
 
         Leaching will commence once the pad has been stacked and irrigation 
         pipes placed over the heap. An HDPE raincoat will cover both the pad 
         and the ponds. 
 
 
         DIRECT SHIPPING ORE (DSO) AGREEMENT 
 
 
         DMCI Mining ('DMCI') has notified the Company that it is intending to 
         resume operations at Acoje in the first quarter of 2010. DMCI have 
         received buyer interest for higher grade nickel laterite ore and will 
         seek to undertake selective shipments from the Santa Cruz purpose built 
         loading facility. 
 
 
Subsequent to quarters end the Company modified the existing DSO agreement with 
DMCI to enable the mining to recommence. In accordance with the terms of the 
modified arrangement, DMCI shall continue to be responsible for all mining, 
marketing, transport and capital costs of up to 200,000 tonnes high grade ore 
(>2%Ni) at a fixed operating cost whist providing a 50% share of profits to 
Rusina on a shipment by shipment basis. There is an agreed minimum profit before 
a shipment can take place. 
 
 
         In addition, the modified arrangement includes a substantially reduced 
         fixed incremental cost1 for lower grade ores, again on a minimum agreed 
         profit on a ship by ship basis. This modified arrangement greatly 
         reduces the risks to both DMCI and Rusina in the volatile DSO market 
         whilst taking advantage of favourable marketing conditions as they 
         arise. 
 
 
 
 
         Contacts:Mark Hanlon    Rusina Mining                 Tel: [phone] 
         1111 
                         Roland CornishBeaumont Cornish           Tel: +44 (0) 
         207 628 3396 
 
 
 
 
 
 
         For further information please visit our website - www.rusina.com.au 
 
 
 
 
 
 
 
 
 
 
          1Incremental cost - where the low grade mining costs are covered by 
         the high grade removal and therefore only trucking and shipping costs 
         are charged to the low grade. 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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