Deep-South Met with the Minister of Mines and Energy of Namibia ON Haib Copper Licence Renewal
Suite 888, 700 West Georgia, Vancouver, British Columbia, V7Y 1G5
Tel: +1-819-340-0140. E-mail: [email protected]
Web site: http://www.deepsouthresources.com
DEEP-SOUTH MET WITH THE MINISTER OF MINES AND ENERGY OF
NAMIBIA ON HAIB COPPER LICENCE RENEWAL
Vancouver, B.C., Canada – June 23, 2021 – Deep-South Resources Inc. ("Deep-South"
or “the Company") (TSX-V: DSM) announces that today the representatives of the
Company have met with the Minister of Mines and Energy of Namibia and other Officials
of the Ministry of Mines and Energy (the “Ministry”) to voice the Company’s objections to
the Minister’s refusal to renew its Haib Copper License. During the meeting, the
Company’s representatives had the opportunity to inform the Minister of the work in
progress on the project and discuss the reasons provided by the Minister for the refusal
to renew the Exploration and Prospecting Licence (“EPL”) covering the Haib Copper
project.
As a result of the meeting, the Minister informed the Company that he will review all the
information provided and reconsider his decision, which will be communicated to the
Company in due course.
John Akwenye, Chairman of Deep-South stated, "It was a good meeting with the
Honorable Minister and we are hopeful that our representations to the Minister will reach
a positive outcome”.
As disclosed in our press release dated June 16, 2021, the Company has received notice
from the Ministry informing the Company that its application for the renewal of its EPL has
been denied citing the Company’s inability to advance the EPL to Pre-Feasibility and
complete the proposed drilling program as planned.
The Company maintains that the Ministry was kept well apprised, with no objection on
their part, of a proposed change from the Pre-Feasibility study to upgraded Preliminary
Economic Assessment (PEA) and commencement of a full feasibility study. Moreover, the
Ministry issued all permits required for the drilling program and are well aware that Deep-
South has completed the drilling program.
In its application for renewal and subsequent representations made to the Ministry, the
Company maintains that it has clearly demonstrated that it adequately meets the criteria
under the Minerals (Prospecting and Mining) Act (Namibia) (the “Act”) to justify the renewal
of its EPL. Accordingly, the Company is of the opinion that the refusal is unreasonable
and unjustified.
As a result of the Minister’s refusal to renew the Licence, the Company has suspended all
work on site and hopes that the retrenchment of its employees will be avoided.
The Company has demonstrated to the Minister that during the past two tenures (from
April 2017 to April 2021), it has invested CAD$ 2 million (N$ 23 million) with the
completion of among other things, a NI 43 -101 resource estimation, a Preliminary
Economic Assessment (PEA), a large two tons sampling and bio heap-leach test,
geological mapping, modelling and an upgraded PEA. Furthermore, in its renewal
application, the Company has proposed a Feasibility Study program with a budget of
CAD$ 7.1 million (N$ 80 million).
The program was underway with 3 drills and 42 employees on site. METS and CSIRO of
Australia have also begun metallurgical tests, bio-leaching, High Pressure Grinding Roller
tests and a flow sheet optimization program in two laboratories in Australia. Knight Piesold
also has 4 scoping studies underway covering water usage, alternative power solutions
and leach pad assessment and environmental path to the ESIA. The Company has also
informed the Ministry that at the completion of the Feasibility Study, it is planning to build
a pilot plant on site for an estimated cost of CAD$ 25.5 million (N$ 286 million).
About Deep-South Resources Inc
Deep-South Resources is a mineral exploration and development company Deep-South
growth strategy is to focus on the exploration and development of quality assets in
significant mineralized trends and in proximity to infrastructure in stable countries. In using
and assessing environmentally friendly technologies in the development of its copper
project, Deep-South embraces the green revolution.
More information is available by contacting Pierre Léveillé, President & CEO at
+1-819-340-0140 or at: [email protected] or
Paradox Public Relations at +1-514-341-0408.
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.
Caution Regarding Forward-Looking Information
Information contained in this news release which are not statements of historical facts may be “forward-
looking information” for the purposes of Canadian securities laws. Such forward -looking information
involves risks, uncertainties and other factors tha t could cause actual results, performance, prospects
and opportunities to differ materially from those expressed or implied by such forward looking information.
The words “believe”, “expect”, “anticipate”, “contemplate”, “plan”, “intends”, “continue”, “bu dget”,
“estimate”, “may”, “will”, “schedule”, “understand” and similar expressions identify forward -looking
information. These forward-looking statements relate to, among other things: the Minister’s refusal to
renew the Company’s Licence, ongoing and future discussions with the Minister relating to such refusal
and the potential for any successful negotiated solution resulting from any such discussions.
Forward-looking information is necessarily based upon a number of estimates and assumptions that,
while considered reasonable by Deep-South, are inherently subject to significant technical, political,
business, economic and competitive uncertainties and contingencies. Known and unknown factors could
cause actual results to differ materially from those projected in the forward-looking information. Factors
and assumptions that could cause actual results or events to differ materially from current expectations
include, among other things: political risks associated with the Company’s operations in Namibia; the
failure of the Namibian Government to comply with its continuing obligations under the Act to allow for
the renewal of the Licence; the impact of changes in, or to the more aggressive enforcement of, laws,
regulations and government practices; the inability of the Company and its subsidiaries to enforce their
legal rights in certain circumstances. For additional risk factors, please see the Company’s most recently
filed Management Discussions & Analysis for its quarter ended ended February 28, 2021 available on
SEDAR at www.sedar.com.
There can be no assurances that forward-looking information and statements will prove to be accurate,
as many factors and future events, both known and unknown could cause actual results, performance or
achievements to vary or differ materially from the results, performance or achievements that are or may
be expressed or implied by such forward -looking statements contained herein or incorporated by
reference. Accordingly, all such factors should be considered carefu lly when making decisions with
respect to Deep-South, and prospective investors should not place undue reliance on forward looking
information. Forward-looking information in this news release is made as at the date hereof. The
Company assumes no obligation to update or revise forward-looking information to reflect changes in
assumptions, changes in circumstances or any other events affecting such forward -looking information,
except as required by applicable law.