The long wait is finally over for promising nickel exploration firm Amur Minerals Corporation (OTC:AMMCF) after the Russian government approved its application for mining rights for its Kun-Manie nickel copper sulphide deposit.
It took the company almost a decade to obtain the go signal to operate as a full-blown junior pre-production company. Now, the only thing that Amur has to do is to make a one-time payment of $460,264 (23.6 million rubles) to officially complete the transaction.
The company is expected to turn over its exploration results within 30 days. This includes the permanent Russian feasibility study based on further metallurgy and engineering work on the site, which also need an approval from GKZ or the State Reserves Committee. Nevertheless, the company can now legally conduct pre-production undertakings to mine all drilled mineralization equivalent to 841,000 nickel tons within the site.
The license is valid until December 2034—a total of nineteen years—and it covers 36 square kilometers.
Chief executive Robin Young expresses his delight on the license’ terms and conditions. He stated that the authorities give considerable leeway to advance the project as quickly and efficiently as possible.
“As we prepare for the detailed exploration, engineering and subsequent production stages of the project, we express gratitude to our team in Russia and the UK , to the Russian Government for their support of the company’s efforts, and to our shareholders, many of whom have been steadfast over the years in their belief that Kun-Manie is a highly substantial asset with a great future,” said Young.
Amur’s current success is met by celebrations from penny stocks investors who have long believed that the small company could go beyond exploration and become a substantial player on the global stage.
The company’s shares skyrocketed by 115 percent on news of the license approval.
Amur has been one of the best penny stocks to watch since it first announced its pre-production goals in 2014.
It now holds 100 percent of the rights to mine nickel, copper, platinum, palladium, cobalt, and other minor minerals from the Kun-Manie property.
In November 2014, Amur announced that the company’s application to conduct pre-production undertakings on the reserve had finally reached its last stage upon placing the request back in the same period. From there, the company made substantial steps to convince the government that it could really run a world-class mining project.
Young invited several government officials to personally present the ongoing infrastructure and technological developments at the Kun-Manie Reserve. This ended up in an agreement on continuous partnership, and, on the company’s end, a committed adherence to the country’s mining regulations.