Preparatory work for plant construction continued during the quarter. Key activities included:
Project Engineering & Procurement:
Alara JV company
The Company has since investigated having the engineering outsourced, procurement ownermanaged and the construction contractor managed by an AHRL team, together with Project Management Consultant, Progesys. AHRL is in discussions with Progesys to extend its contract by four months.
Following the entry of a preliminary commercial agreement in the previous quarter,
Project site metallurgical drilling
Drilling has continued at the project site to obtain metallurgical samples for processing plant design work. Drilling progress has continued throughout the period with 2000m of HQ/NQ samples collected with 98% core recovery. Potential for further optimisation of copper recoveries may also be investigated. ALS Global has been engaged to conduct the geochemical analysis and
Project Finance:
AHRL previously agreed to proceed with project finance offers from local Omani banks:
Oman Copper Consolidation
The Company is continuing to pursue opportunities to extend its project portfolio in
AHRL Management Appointment
AHRL appointed Mr Avigyan Bera (formerly with
COVID-19 impacts
Government officials in
Off-take agreements
The advance payment under a 2017 off-take agreement between a Company controlled entity and commodities trader
ARL's first mining contract is with
Management Services Agreements between
Expenditure Summaries
Mining production and development
During the quarter, the consolidated entity incurred expenditure of
Mining exploration
During the quarter, the consolidated entity incurred expenditure of $nil on mining exploration activities.
Related-Party Payments
Director's remuneration
During the Quarter, the consolidated entity made payments totalling
Next Quarter Expected developments in the next Quarter include:
Looking to see COVID-19 restrictions lifted and options analysis completed.
Progress with laboratory test work.
LOI with ARL converted into a mining contract.
Tenement Status
Oman Copper-Gold Projects
Alara has joint venture interests in five copper-gold deposits located within five Exploration Licences in
The Khnaiguiyah Zinc-Copper Project5 is located approximately 170km south-west of the Saudi Arabian capital city of
Additional Tenement Information
Mining tenement disposals and acquisitions
The consolidated entity did not acquire or dispose of any interest in any mineral tenement during the quarter.
Farm-in and farm-out agreements
The consolidated entity did not enter or terminate any farm-in or farm-out agreement during the quarter. The consolidated entity holds its percentage interests in the mineral tenements disclosed under the heading Daris and Awtad Copper-Gold Projects under farm-in agreements with the respective Licence Owners disclosed there.
Disclaimer
This report contains 'forward-looking statements' and 'forward-looking information', including statements and forecasts which include without limitation, expectations regarding future performance, costs, production levels or rates, mineral resources, and studies. Often, but not always, forward-looking information can be identified by the use of words such as 'plans', 'expects', 'is expected', 'is expecting', 'budget', 'scheduled', 'estimates', 'forecasts', 'intends', 'anticipates', 'believes' or variations (including negative variations) of such words and phrases, or state that certain actions, events or results 'may', 'could', 'would', 'might', or 'will' be taken, occur or be achieved. Such information is based on assumptions and judgements of management regarding future events and results.
The purpose of forward-looking information is to provide readers with information about management's expectations and plans. Readers are cautioned that forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Alara and/or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include, among others, changes in market conditions, future prices of gold and copper, the actual results of current production, development and/or exploration activities, changes in project parameters as plans continue to be refined, variations in grade or recovery rates, plant and/or equipment failure and the possibility of cost overruns.
Forward-looking information and statements are based on the reasonable assumptions, estimates, analysis and opinions of management made in light of its experience and its perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances at the date such statements are made, but which may prove to be incorrect. Alara believes that the assumptions and expectations reflected in such forward-looking statements and information are reasonable. Readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used. Alara does not undertake to update any forward-looking information or statements, except in accordance with applicable securities laws.
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