female driver
Female driver driving Komatsu HB785-7
process plant
Overlooking Processing Plant, workshop and Batching Plant areas. Photo taken 28 March 2014
return water tank
Process Plant Workshop and Return Water Tank. Photo taken 4 April 2014
Site Civil Engineer giving instruction to site Junior Engineer. Photo taken 7 April 2014
return water tank
Return Water Tank. Photo taken 7 April 2014
biox area
Biox Primary Reactors foundation. Photo taken 7 April 2014
Construction of Neutralization Tanks foundation. Photo taken 4 April 2014
Construction of heavy vehicle workshop. Photo taken 1 February 2014
dump truck
Komatsu HB785-7 at surface mine area. Photos taken 4 April 2014
crushing area
Crushing area. Photo taken 28 March 2014
Powerlines. Photo taken 28 March 2014
Safety berm placed along mine access road.
Safety berm placed along mine access roads.
Gabion wall to protect river from flooding
Gabion wall to protect river from flooding
Mine operation mess hall
Camp mess hall
Fully constructed road rehabilitation
Fully constructed road rehabilitation
Water system
female construction workers
Female workers undergoing training on plumbing
Regular water quality, air and noise monitoring are conducted within the FTAA area
Regular water quality, air and noise monitoring are conducted within the FTAA area
The company donated 1 Million coffee seedlings for the National Greening Program of the Philippine government.
Company donated 1 Million coffee seedlings for the National Greening Program of the Philippine government
Company-sponsored student scholars visiting the project site are given an orientation by a senior geologist
Two scholars of the company recently finished college education
Two scholars of the company recently finished college education, and now work for the company as Mining Engineer and Geologist
Community pharmacy and medical clinic funded by the company to cater to health needs of the community.
School children beneficiaries of feeding program
Basic Learning Program are given to adults who were not able to go to regular school
Aside from jobs, the community are given livelihood to help them stand on their own feet after the project decommissions
Animal dispersal as part of the livelihood program for the community
Medical mission, feeding program and other program for the benefit of the community

Latest News

04/12/2013 Operational Update to 25 November 2013Read More
12/11/2013 Typhoon HaiyanRead More
21/10/2013 Writ of KalikasanRead More
15/10/2013 Issue of EquityRead More
24/09/2013 Interim Results for the Six Months Ended 30th June 2013Read More
02/08/2013 Board Changes Read More
31/07/2013 OPERATIONAL UPDATE TO 31 JULY 2013 Read More
05/06/2013 - Open Offer Result and Issue of Equity Read More
29/05/2013 - Dismissal of petitions for a Writ of Kalikasan and a Writ of Continuing Mandamus Read More
24/05/2013 - Chairman's Letter Read More
24/05/2013 - Notice of Annual General Meeting Read More
24/05/2013 - Annual Results 2012 Read More
10/05/2013 - Open Offer Announcement Read More
08/04/2013 - Operational Update to 31 March 2013 Read More
28/03/2013 - Equity Raising Circular and Notice of General Meeting March 2013 Read More
26/03/2013 - $57.7m Equity Raising Read More
28/02/2013 - Information on BIR Memorandum Circular No17-2013Read More

Metals Exploration Plc


Operational Update
28 February 2014

Metals Exploration plc (AIM: MTL) ("Metals Exploration" or "the Company"), the natural resources exploration and development company with assets in the Pacific Rim region, is pleased to provide an operations update on matters relating to its Runruno gold-molybdenum project ("the Project") and exploration activities in the Philippines.


  • Construction phase of the Runruno gold project 46% complete (as at 31 January 2014).
  • Project is on track and on budget to support the objective of commencing operations in Q4 2014.
  • Banking due diligence workflows for US$70m debt facility, progressing satisfactorily and nearing completion. Finalisation of the debt component will
    conclude Runruno financing requirements.
  • Forecast operating costs updated to reflect current cost base. Operating cost now estimated to average US$474/oz gold over the first five years of production.
  • Mining activity continues to ramp up with over 1.6 million tonnes of material mined from within the pit outline.
  • Mineralisation where intersected in the pit is showing a positive correlation to the ore reserve block model.
  • On-site infrastructure now fully operational in support of processing plant and residual storage construction activities.
  • Engineering of the processing plant 75% complete (as at 31 January). Procurement of long lead items and major mechanical packages completed during the quarter.
  • Construction work on stage 2 of the 69kV overhead power line from Bayambong to Maddiangat has commenced and is currently 75% complete.
  • Tree cutting permit issued clearing the way to commence construction of the Residual Storage Impoundment.
  • Safety at site remains a key priority and no loss time accidents were recorded in the quarter.
  • Resource extension continued with two additional holes completed in the period confirming continuity of mineralisation to the south and east of the ore body.

Ian Holzberger, Executive Chairman, commented:

"Metals Exploration continues to make good progress on the construction of the Runruno gold project. As at 31 January, the Project was 46% complete and importantly remains on track and within budget to support the objective of commencing commissioning Q4 2014.

A key component in this is to finalise the US$70 million debt facility required to conclude the remaining financing requirements. I am pleased to report that banking due diligence workflows are progressing satisfactorily and nearing completion.

At site, mining activities have begun from within the pit outline and over the next nine months will fully expose the ore body in readiness for production. The on-site infrastructure is now fully operational to support the processing plant and residual storage construction activities and it is pleasing to begin taking delivery of the mechanical equipment to be used in the processing plant."

Read More

Metals Exploration is a natural resources exploration and development company operating in the Pacific Rim, with particular focus on the Philippines.

The Company’s principal asset is the Runruno Gold-Molybdenum Project on the island of Luzon in the northern Philippines. The Company acquired the project in February 2005 and recently increased its interest in the project to 100%.

Work to date has a defined mineral resource of 1.39 million ounces (Moz) of gold, and 25.6 million pounds (Mlb) of molybdenum with 1,050,000oz gold reporting to the Measured and Indicated categories and 900,000oz gold within the Mining Proven & Probable Reserve category. For further information please see the Runruno Resource page.

In October 2011, the Runruno Declaration of Mining Project Feasibility ("DMPF") was approved. This paved the way for the Project to move forward to development and construction phase. Early project development works have began in January 2012.

In May 2010 the Company announced the results of the Runruno project Feasibility Study which confirmed the viability of the project, projecting average production of 96,700oz of gold per annum over a mine life of 10.4 years, at an average forecast operating cost $477/oz gold before any molybdenum credits. The capital cost is forecast to be US$149.3 million, with payback within 3.5 years at US$1,000/oz gold. The Runruno project will be an open pit operation, and will use the proven BIOX® and carbon in leach processes to recover gold and molybdenum.

In March 2010 the Company announced the award of the Environmental Compliance Certificate (ECC) for the Runruno project, which was issued after satisfactory evaluation of the project’s Environmental Impact Statement by the Philippine Environmental Management Bureau. The ECC process was conducted with the full participation and involvement of the local community, and under the ECC the Company is committed to implement measures to protect and mitigate against any adverse impacts on the health and welfare of community and the environment. Securing the ECC is a significant point, following the award of the Financial or Technical Assistance Agreement, demonstrating continued support from the Philippine Government for the development of the Runruno project.

In October 2009 Metals Ex reached an important milestone as the Financial or Technical Assistance Agreement (FTAA) was signed by Executive Secretary Eduardo Ermita on the authority of the President of the Philippines. Under the terms of the FTAA, FCF Minerals, the Philippine subsidiary which operates the Runruno Project, is granted the exclusive right for 25 years to explore, mine, process and export minerals from the licence area. In exchange for this right, FCF is required to commit a minimum investment of $50 million in project development, much of which will be spent on local infrastructure benefiting local communities.

Metals Exploration works hard to maintain excellent relations with the local communities in the project areas. FCF Minerals promotes social and economic development through the Runruno Livelihood Foundation, a trust funded jointly by the Company and the Philippine government. We also conduct all our operations in a safe and environmentally responsible manner to industry best practise standards.

Metals Exploration Plc is publicly listed company on the London Stock Exchange and admitted to the Alternative Investment Market (AIM:MTL) on 22 October 2004.

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