Nordic Mining has in accordance with the project plan filed an application with the National Norwegian Pollution Authority (SFT) for permit regarding waste disposal from the planned mining and processing operations at Engebø in Naustdal municipality in Sogn og Fjordane county in Norway.

 

The rutile deposit at Engebøfjellet is estimated to 380 million tons, with an average titanium dioxide content of 3.96%, representing approximately 15 million tons of rutile. Based on an assumption of combined open pit and underground mining, the estimated available ore for processing is 250 million tons. With an annual production in the range of 6 - 10 million tons, the deposit will be sufficient for 25 - 40 years of operation.

 

Nordic Mining develops the deposit in order to establish industrial operation based on mining and processing of rutile concentrate. Rutile is an environmental friendly raw material for production of pigments used in the paint-, plastics- and paper industries, and for production of titanium metal. The possibility of producing garnet concentrate as by-product is also evaluated.  Future environmental regulations are expected to increase the use of garnet in different applications as i.a. sand blasting and waterjet cutting.

 

Nordic Mining plans to finalise the proposal for Regulation Plan with Environmental Impact Assessment for the project by the end of 2008. The proposal will be submitted to Naustdal municipality and Askvoll municipality. The company's project plan assumes that permits for operation will be in place within April 2009. Start of production is planned in 2013.

 

For questions, please contact project manager Ottar Nakken, tlf. +47 - 928 91 780.

 

 

Oslo, 12 August 2008

Nordic Mining ASA