Aureus Mining gets approval to relocate two Liberian villages

3rd April 2013 By: Henry Lazenby - Creamer Media Deputy Editor: North America

TORONTO (miningweekly.com) – The Liberian Environmental Protection Agency has approved the relocation action plan (RAP) and the community development plan (CDP) for the relocation of the Larjor and Kinjor villages, which would allow Aureus Mining to move forward with developing its New Liberty gold project in the country.

The company on Wednesday said the granting of the approvals was the culmination of an extensive consultation process with interested and affected parties, the community and the relevant government departments that had started in December 2010.

The relocation affects 325 property owners and new housing plans and village layouts had been designed. The communities in question would relocate three kilometres to the east of the current village.

The RAP and the CDP were completed in compliance with Liberian legislation, as well as International Finance Corporation and World Health Organisation principles and standards.

Aureus said the New Liberty mine would become a significant economic driver in the local area and the surrounding Grand Cape Mount County.

The project was expected to provide a catalyst for socioeconomic development, which would provide opportunities for local, national and international organisations to play a significant role in developing the broader area.

The work on the relocation programme was progressing after the company had bought land for the new village site location. The village site was currently being cleared and construction of the 325 dwellings would start this month, and be completed during the third quarter.

"The approvals of the RAP and CDP are important steps for Aureus in the development of New Liberty and in our commitment to work with the local community. To have obtained these approvals illustrates the productive relationships we have been able to develop with the local community and the government, both of whom are key stakeholders in New Liberty,” CEO David Reading said.

Aureus in March secured a bank-mandated project debt finance facility of up to $100-million, together with an associated $8-million cost overrun facility, to support the development of the New Liberty gold project.

Aureus was advancing with optimisation studies at New Liberty, which were almost complete and had simultaneously started an early works programme, with the first gold pour on track for December 31, 2014.