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Additional Information

Market:	ASX
Sector:	General Mining
EPIC:	ORD
Latest Price:	0.04 (0.00%)
52-week High:	0.12
52-week Low:	0.04
Market Cap:	19.90M

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Ord River Resources Full Ord River Resources profile here

Ord River Resources (ASX: ORD) is a minerals exploration and development company with projects in copper, bauxite and gold.

ORD has identified undeveloped bauxite resources on the Bolaven Plateau, Southern Laos, potentially one of the world’s largest. Initial exploration indicates that the Laos bauxite deposits may have the potential to support an industry, as large as Western Australia’s Darling Ranges’ deposits which produce 14% of the world’s alumina.

Ord River Resources signs SARCO MoU in Laos

Wednesday, March 10, 2010

Ord River Resources (ASX: ORD) has announced that Champasak Province Laos Sino Australian Resources (Laos) Co. (“SARCO”), a joint venture company between ORD and China Nonferrous Metal Industry’s Foreign Engineering and Construction Co., signed a Memorandum of Understanding with its Lao JV partner Lao Service Incorporation (“LSI”).

The agreement plans to expedite the establishment of a JV Company for the LSI Tenement and strengthen the cooperation between SARCO and LSI. The MoU was signed in Parkse, Laos, on 8 March 2010.

Peter Shou, ORD Managing Director, commented from Laos, “it has been a very successful trip. This MoU is another significant step towards our goal of developing SARCO into major aluminium projects."

In the announcement on 30 October 2009 ORD informed the market that SARCO entered into a JV Agreement with LSI to develop the LSI Tenement in conjunction with Yuqida Tenement into a 600,000ton per annum alumina refinery.

A feasibility study is required to make a final investment decision. In the process LSI and SARCO will establish a JV company to hold the LSI Tenement. This will give SARCO a direct 51% interest in the tenement.

Subsequently, on 18 January, ORD announced SARCO’s successful acquisition of a direct 35% interest in Yuqida Tenement. On 3 March ORD announced the commencement of the feasibility study which is being conducted by Sinomine Resources Exploration Co., Ltd.

Details of the MoU are as follows:

1. LSI and SARCO agree to establish a JV Company in Champasak Province in Laos within next 3 months.

2. The agreed name is China Laos Australia Aluminium Co., Ltd (“CLACO”).

3. LSI will prepare the relevant documents and applications.

4. LSI and SARCO agree to try to expedite the feasibility study to submit the feasibility report to Lao government by end of 2010.

5. CLACO will submit the application of mining license in the beginning of 2011 once the feasibility study has been approved by Lao government.

6. LSI and SARCO agree to establish a Joint Working Committee immediately. The main task of this committee is to prepare the documents for the application of establishing CLACO and coordinate the feasibility study.

It was agreed that the Committee members will include Qin Jun Man, Vice President of NFC, Peter Shou, Managing Director of ORD and Xayxanz Samingvongsa, President of LSI. Qin Jun Man and Peter Shou are Chairman and Vice Chairman respectively.

Shou said, "we thank Mr. Xayxanz Samingvongsa for his support and we look forward to forming CLACO. CLACO and Yuqida give ORD and NFC direct ownership interests in the two tenements and mining licenses which we are confident of securing. We are working hard to complete the feasibility study."

"The strong demand for aluminium in developing countries including China has underpinned the recovery in aluminium price. We expect the economic drivers will be further strengthened when we finish the feasibility study and make the final investment decision,” he added.

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