Philex eyes full control over Surigao mining site

MANILA, Philippines - Philex Mining Corp. (PMC) is acquiring the interest of Anglo American Exploration (Philippines) BV in a mining property in Mindanao. Philex Mining approved the acquisition of Anglo American's 50 percent stake in Boyongan copper and gold mining site in Surigao for $55 million. The sale would give Philex and its subsidiary Philex Gold Philippines, Inc. full control of the Boyongan property. Philex owns 81 percent of Philex Gold. “With its attractive and proven copper gold reserves, PMC can aggressively proceed with the final feasibility study…Since the life of Philex’s existing mine at the Padcal may be expiring in 2014, Boyongan can ensure that Philex can continue its mining operations for another 15 to 20 years beyond 2014," said PMC in a statement. The Boyongan deposit was found in 2000 under the joint exploration of Philex Gold and Anglo American. The pre-feasibility study for the site was completed in December 2007. In February, however, Philex Gold issued a statement saying minerals found in Boyongan were insufficient for a "reasonable prospects of eventual economic extraction." “PGPI has differing points of view from Anglo on a number of assumptions and conclusions made in the pre-feasibility study," Philex earlier said. It then asked Anglo American to return the Boyongan property to the Philex group. - GMANews.TV