Scandium International {TSX: SCY}
Scandium International Mining Corp. has received notice from counsel for the NSW Department of Planning and Environment that, due to a procedural issue within the department, the company’s mine lease grant, (ML 1763), pertaining to the Nyngan scandium project in New South Wales, Australia, previously issued by the department on Oct. 4, 2017, is invalid.
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Scandium Int’l’s Nyngan mine lease determined invalid
2019-04-18 06:44 ET – News Release
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SCY RECEIVES NOTICE THAT NYNGAN MINE LEASE HAS BEEN DETERMINED INVALID
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Scandium International Mining Corp. has received notice from counsel for the New South Wales Department of Planning and Environment that, due to a procedural issue within the department, the company’s mine lease grant, (ML 1763), pertaining to the Nyngan scandium project in New South Wales, Australia, previously issued by the department on Oct. 4, 2017, is invalid.
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The department has determined that its internal procedures failed to properly and fully consider an affected landowner’s agricultural land objection prior to the grant of ML 1763, as specified by applicable law.
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The department has not changed the formal granted status of ML 1763 on its electronic public record system, but that is now expected to occur.
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As the company’s mine lease application submitted in 2016 covering the entire area originally requested has not been validly determined by the department, the mine lease application remains in force and pending.
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The department has not yet completed its review and determination of the validity of the landowner’s objection, as per applicable law, but has advised the company that it is continuing with its ongoing formal review.
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The department’s ultimate decision on validity of the landowner objection will then determine the outcome on the pending application. If the landowner’s objection is not upheld by the department, then the department will proceed to grant a new mining lease to the company.
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The company believes that the viability of the project is not dependent on land related to the current objection and can proceed based exclusively on surface rights owned by the company.
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The company is currently in ongoing discussions with the affected landowner, and is also in the process of filing other MLA documents that could potentially address issues central to this matter.
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George Putnam, chief executive officer of Scandium International, commented: “The determination by the department as to the validity of the agricultural land objection has not been made, and remains at the heart of this matter. The company (with counsel) has provided the department with extensive comments on the objection and will press for an early, accurate and fair decision in this regard. The company remains committed to building the Nyngan scandium project, regardless of the decision by the department.”
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About Scandium International Mining Corp.
Scandium International is focused on developing its Nyngan scandium project, located in New South Wales, Australia, into the world’s first scandium-only producing mine. The project is owned by the company’s 100-per-cent held Australian subsidiary, EMC Metals Australia Pty Ltd. The company filed a National Instrument 43-101 technical report in May, 2016, titled “Feasibility Study – Nyngan Scandium Project.” That feasibility study delivered an expanded scandium resource, a first reserve figure and an estimated 33.1 per cent internal rate of return on the project, supported by extensive metallurgical test work and an independent, 10-year global marketing outlook for scandium demand.
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Willem Duyvesteyn, MSc, American Institute of Mining, Metallurgical and Petroleum Engineers, Canadian Institute of Mining, Metallurgy and Petroleum, a director and chief technology officer of the company, is a qualified person for the purposes of NI 43-101 and has reviewed and approved the technical content of this press release on behalf of the company.
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We seek Safe Harbor.
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