• Site visit reaffirms MYL Board’s view that the Bawdwin Mining Complex represents a clear opportunity to build and develop a tier-1 base metals mine
  • Excellent existing local and regional infrastructure
  • Significant scope to use some existing mine complex infrastructure to cost-effectively fast-track the development of a modern mine
  • Release of JORC 2012 Mineral Resource estimate to support Bawdwin open pit mine studies expected shortlyMyanmar Metals Limited (ASX: MYL) (“MYL” or “the Company”) is pleased to advise that the Board recently completed a site visit to the Bawdwin Mine in Myanmar, hosted by the Company’s in-country development partners Win Myint Mo Industries Co Limited (“WMM”).

    Importantly, MYL and WMM have developed a strong and trusting relationship and are making great progress towards the shared goal of building and operating Bawdwin as a modern mine.

    The Board, together with CSA Global (Perth) consultant Dr. Neal Reynolds, made a technical visit to the Bawdwin mine and nearby Namtu Township where the historical mill and smelter facilities are located.

    Myanmar Metals Executive Chairman and CEO John Lamb commented:

    “Before visiting the site, I was firmly of the view that we were targeting a globally significant deposit at Bawdwin. Following the visit, I now also know that we have a genuine opportunity to practically build and operate a mining project in that location which takes full advantage of this outstanding tier- 1 deposit.

    Importantly, we have established a very strong relationship with our in-country partners, namely WMM, and we look forward to working closely with them over the coming months. As already flagged, the release of the JORC-compliant mineral resource is our next milestone and we anticipate a steady flow of updates thereafter.”

Bawdwin Site Visit – Key Findings

The historical Bawdwin mining complex consists of a village, mine offices, 1980’s (German) flotation plant and the Marmion headframe and winder house; all located near the Bawdwin open pit.

Figure 1: Marmion headframe (operational) Figure 2: Abandoned 1980’s flotation cells

Beneath the pit, at the 6 Level in the historical workings, the approximately 2.9km long Tiger Tunnel connects the shaft to the ore processing and train loading facilities located at Tiger Camp, some 4km along the valley to the south. Significantly, it is apparent that this tunnel is well maintained and in working order.

Importantly, it is also apparent to the Board from this visit that although some upgrading to the access road and historical railway will be necessary, it will be feasible to transport the heavy equipment needed for a modern mining operation to Bawdwin. Furthermore, the open pit is in a suitable condition to be extended by way of a series of cut-backs to produce ore early in the mine development process from high-grade material which has been shown from recent exploration work to be present in and below the existing pit.

Figure 3: Bawdwin open pit looking north, ready for extension by cutting back the east wall

To further enhance the mine development options, the Board recognises that there is significant scope to utilise some of the historical infrastructure.

This includes:

  • For ore transportation – the Tiger Tunnel, railway corridor and rail infrastructure; and
  • For ore processing – the existing industrial land at Bawdwin, at the Tiger Camp and at Namtuwhere the old mill and smelter complex is located.

    Figure 4: Narrow-gauge rail line and cleared corridor runs 15 miles from Bawdwin to Namtu

    Figure 5: Tiger Tunnel Portal, near Tiger Camp, Bawdwin

The Bawdwin site is serviced by road from Lashio via Namtu; and by rail from Namtu. Notably, the original 1914 steam locomotive still operates a weekly service for passengers and freight from Namtu to Tiger Camp. Excellent daily commercial air services operate between Lashio and major centres, including Yangon and Mandalay. Lashio is very favourably located on the Oriental Highway linking Mandalay to Kunming in western China.

Figure 6: WW1-era steam locomotive makes a weekly trip from Namtu to Bawdwin

Figure 7: Rail bridge on the Namtu line, constructed by the British in the early 1900’s

Figure 8: British-constructed ore loading facilities and rail yards provide a location for a modern grinding plant at the Tiger Camp

Figure 9: Rail yards and abandoned processing facilities at Namtu provide a location for a modern flotation and filter plant

Bawdwin is self-sufficient for water. Electricity is supplied at 33KV from the nearby hydro-electric plant, owned and operated by WMM. More generally, the entire region is well-serviced by grid power thanks to the development of hydro-electricity schemes on both the Myanmar and Chinese sides of the border.

The Board was delighted to find a supportive community and key staff employed by WMM in place at Bawdwin and we look forward to including these people in the development of a safe, environmentally and socially considerate mining operation.

John Lamb Chairman and CEO

For More Information:

John Lamb, Chairman
Mob: +61 (0) 400 165 078
Email: j.lamb@myanmarmetals.com.au

Forward Looking Statements

The announcement contains certain statements, which may constitute “forward –looking statements”. Such statements are only predictions and are subject to inherent risks and uncertainties, which could cause actual values, results, performance achievements to differ materially from those expressed, implied or projected in any forward-looking statements.

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