Update on Environmental Impact Assessment Process

RNS Number : 6165T

Capital Metals PLC

26 March 2021

 

26 March 2021 

Capital Metals plc

("CMET" or the "Company")

Update on the Company's Environmental Impact Assessment Process

Capital Metals plc (AIM: CMET) is a natural resources company focused on the development of the Eastern Minerals Project in Sri Lanka ("the Project"), one of the highest-grade mineral sands' projects globally. The Company is pleased to provide the following update on the ongoing Environmental Impact Assessment process.

Highlights

· Environmental Impact Assessment ("EIA") progressing with the public consultation period now concluded

· Management focus on final permitting steps and grant of Mining Licence with first production targeted for H1 2022

As reported previously, the Project's EIA report has received the initial approval of the Sri Lankan authorities, which is subject to a public consultation process.  The public consultation period ended on 12 March 2021 with any submissions currently being compiled and reviewed by the Coastal Conservation Department ("CCD") who will then provide feedback to the Company.

The Company is fully engaged with the CCD and other relevant Government departments to finalise the EIA.  The next step in the EIA process is a Technical Evaluation Committee ("TEC") meeting scheduled to be held in April before final approval by the CCD.. The TEC has representatives from numerous government departments from across Sri Lanka, many of whom are already familiar with the Project, and the logistics for the meeting is still subject to the Covid restrictions in Sri Lanka.

When the EIA approval process is completed, the Company can then formally engage with the Geographical Survey and Mines Bureau of Sri Lanka under the Mines and Minerals Act of Sri Lanka ("GSMB") for issue of the mining licence.

Michael Frayne, CEO, commented:

"The Company is actively working with the CCD and other relevant Government departments to finalise the EIA as the next step towards production next year and we continue to make steady progress through the approval process. There is growing awareness in Sri Lanka of the positive economic and social benefits our mineral commodities export project can bring to the local communities and Sri Lanka as a whole. Whilst we work towards development and first production, we are encouraged by the strengthening in the global metals market and specifically the ilmenite, rutile and zircon markets which are the main minerals in our high-grade deposit"

For further information, please visit www.capitalmetals.com or contact:  

Capital Metals plc Michael Frayne (CEO)	Tel [phone]
SPARK Advisory Partners (Nominated Adviser) Neil Baldwin / James Keeshan	[phone]
Brandon Hill Capital Limited (Broker) Jonathan Evans/Oliver Stansfield	[phone]

 

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