|By Marketwired .||
|January 20, 2014 08:31 AM EST||
LONGUEUIL, CANADA -- (Marketwired) -- 01/20/14 -- Reunion Gold Corporation (TSX VENTURE: RGD) ("Reunion or the "Company") is pleased to announce that it has signed a Memorandum of Understanding with the National Energy Corporation of Trinidad and Tobago Ltd. ("National Energy") setting out the terms under which the parties will collaborate to evaluate the potential development by Reunion of a silico-manganese plant in Trinidad and Tobago.
Following the release of the pre-feasibility study of the Matthews Ridge Project in July 2013, Reunion performed various desktop studies, including assessing the viability of reducing the output of the Matthews Ridge Project located in Guyana and converting the manganese concentrate into silico-manganese alloys in Trinidad and Tobago. In addition to its proximity to Guyana, Trinidad and Tobago offers numerous benefits including competitive power costs, deep sea port facilities, dedicated areas for industrial projects and proximity to silico-manganese markets.
David Fennell, Chairman of Reunion, stated: "This is a significant development for the Company. While Matthews Ridge as a standalone mining operation is an attractive investment opportunity, we believe that the construction of a silico-manganese plant in Trinidad and Tobago to be supplied by Matthews Ridge ore may potentially allow us to create a vertically integrated operation which could become one of the world's lowest cost producers of silico-manganese."
Reunion Gold Corporation is a mineral exploration company engaged in the exploration and development of the Matthews Ridge manganese project located in the North West District of Guyana, South America. The Matthews Ridge Project consists of four prospecting licenses covering an area of 185 km2 in northwest Guyana, in and around the former Matthews Ridge mine. In July 2013, the Company announced a proven and probable reserve estimate of 26.3 million tonnes of manganese with an average grade of 14.2% Mn. Manganese is the fourth largest metal consumed in the world, behind iron, aluminum and copper. It is a key component in steel and iron production.
About National Energy
National Energy, a subsidiary of the state-owned National Gas Company of Trinidad and Tobago Limited, is engaged in the promotion of new energy-based industries and the provision and management of industrial estates, port and marine facilities to support the industries in Trinidad and Tobago.
Certain statements contained in this press release constitute forward looking information under Canadian securities laws. Such statements include those discussing the potential development of a silico-manganese plant in Trinidad and Tobago, and the possibility of becoming one of the world's lowest cost producers of silico-manganese. No assurance can be given that these events will happen. Reunion needs to complete several studies, including a scoping study and a full feasibility study. The results of such studies may have an impact on the forward looking information.
The statements containing forward-looking information in this press release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking information, except as required by law. Readers are cautioned not to place undue reliance on forward looking information.
Neither the 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.
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