Symbol: GEM
Listing: TSX Venture Exchange
Common Shares Outstanding: 133,938,746
TORONTO,
July 27, 2011 /PRNewswire/ - Pele
Mountain Resources Inc. (TSXV: GEM) (OTCQX: GOLDF)
("Pele" or the "Company") announced today that
Roger Payne, P.Eng., has accepted an
appointment to serve as Executive Vice-President of Pele, effective
immediately.
Mr. Payne has more than 40 years of professional
engineering experience in Europe,
Africa, and the Americas,
including nearly 20 years in the Elliot
Lake mining camp with Rio Algom Limited. After serving
in a number of technical positions, he ultimately oversaw the
exemplary and precedent-setting mine closure process at
Elliot Lake through the 1990s,
serving as Manager of Environment & Decommissioning and then as
General Manager. He has contributed to Pele as a consultant at
its Eco Ridge Mine Rare Earths and Uranium Project since 2008.
Pele President and
CEO Al Shefsky stated, "Roger's
experience in the Elliot Lake camp
is unparalleled. His project management expertise and professional
relationships with local communities, regulatory agencies, and
technical consultants are invaluable as we prepare for sustainable
development at Eco Ridge. His knowledge and proficiency
regarding all facets of the mining life cycle in Elliot Lake adds great depth to our management
team. It is a privilege to welcome Roger to Pele
Mountain."
Mr. Payne stated, "As a consultant to the Eco Ridge
Mine project over the last several years, I'm impressed with its
steady course of progress. The management and technical service
providers at Eco Ridge are first-class and have clearly
demonstrated the seriousness and outstanding potential of this
project. Mr. Shefsky and his team should be commended for their
efforts to-date. I'm very pleased to be associated with
Pele and Eco Ridge."
Mr. Payne joins Pele's technical advisors Drs.
Tony Mariano and William Bird along with several highly qualified
consulting firms including SNC Lavalin, Roscoe Postle Associates
("RPA"), SRK Consulting, and MIRARCO. Pele is
assembling a world-class team to advance mine development at Eco
Ridge.
Pele also announced today that Fergus Kerr has stepped down as Vice President
of Uranium Operations. Mr. Shefsky commented, "We would like
to express deep gratitude to Mr. Kerr for his outstanding
contributions at Eco Ridge. We look forward to a continued
working relationship with Fergus as a consultant to the
Company."
Pele's Preliminary Economic Assessment1
(the "PEA") of Eco Ridge, prepared by RPA, demonstrates its
potential to become a profitable producer of rare earth oxides
("REO") and uranium oxide
("U3O8").
The PEA forecasts cumulative production of 10.7-million pounds of
Total REO and 24.9-million pounds of U3O8
over a 14-year mine life with pre-tax cash flow of US$1.31-billion, a positive NPV of $662-million (at a 7.5% discount rate), and an
IRR of 47-percent. For more details on the PEA, please see
Pele's press release dated July 5, 2011
About Pele
Pele Mountain Resources is focused on the sustainable development
of its 100-percent owned Eco Ridge Mine Rare Earths and Uranium
Project. Eco Ridge is one of very few North American Rare Earths
deposits that has completed a NI 43-101 Preliminary Economic
Assessment with robust economics and is located in Elliot Lake, the only Canadian mining camp to
have ever achieved commercial REO production. With well-understood
geology, excellent regional infrastructure, and strong local
support, Eco Ridge is an ideal location for a safe, secure, and
reliable long-term supply of REO and U3O8.
Pele also holds interests in a portfolio of Northern Ontario gold properties at Highland
and Ardeen. Pele's shares are listed on the TSX Venture Exchange
under the symbol "GEM" and on the OTCQX under the symbol
"GOLDF".
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release. Some of the
statements contained in this release are forward-looking
statements, such as estimates and statements that describe Pele's
future plans, objectives or goals, including words to the effect
that Pele or management expects a stated condition or result to
occur. Since forward-looking statements address future events and
conditions, by their very nature, they involve inherent risks and
uncertainties. Actual results in each case could differ materially
from those currently anticipated in such statements. The economic
viability of the 43-101 mineral resource at Pele's Elliot Lake
Project has not yet been demonstrated by a preliminary feasibility
study.
SOURCE Pele Mountain Resources Inc.
