RICHMOND HILL, ONTARIO -- (Marketwire) -- 03/09/12 -- MBMI RESOURCES INC. ("MBMI" or the "Company") (TSX VENTURE: MBR) announces that the Fifth Division of the Court of Appeals in Manila, Republic of the Philippines has issued a decision (the "Decision") in response to an appeal by the petitioners Narra Nickel Mining and Development Corporation, Tesoro Mining and Development, Inc., and McArthur Mining, Inc. (subsidiaries of MBMI) of a decision dated April 6, 2011 and a resolution dated July 6, 2011 rendered by the Office of the President of the Philippines in OP case No. 1-E-229, which ordered the cancellation and/or revocation of the FTAA (as defined below) between the Republic of the Philippines and the petitioners. The Decision affirmed the April 6, 2011 and July 6, 2011 decisions of the Office of the President of the Philippines.
The background to the case is as follows. On April 5, 2010, a Financial or Technical Assistance Agreement ("FTAA") was issued in the name of Narra Nickel Mining and Development Corporation, Tesoro Mining and Development, Inc., and McArthur Mining, Inc. for the purpose of large scale exploration, development and commercial exploration of possible mineral resources in an initial contract area over the municipalities of Rizal, Bataraz, and Narra in Palawan, Philippines. On May 7, 2010, Redmont Consolidated Mines Corporation filed a petition for cancellation and revocation of the FTAA issued. The petition resulted in the decision dated April 6, 2011 and resolution dated July 6, 2011, rendered by the Office of the President of the Philippines which ordered the cancellation and/or revocation of the FTAA. The cancellation/revocation of the FTAA was initially disclosed in the Company's press release of April 19, 2011.
The Decision is significant as the FTAAs are necessary for MBMI to explore and develop its primary property in Palawan, Philippines.
MBMI believes that the Decision is not consistent with the prevailing law and jurisprudence. MBMI intends to file a Motion for Reconsideration before the Court of Appeals. If there is an adverse decision to the Motion for Reconsideration, it is anticipated that the matter would be ultimately brought before the Supreme Court. Obtaining a successful outcome at the Court of Appeals and/or the Supreme Court is critical to MBMI's activities on its Rizal, Bataraz and Narra properties in Palawan, Philippines.
For further information relating to the Company or this release, please refer to the Company's website at www.mbmiresources.com.
The foregoing information may contain forward-looking statements relating to the future performance of the Company. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially from the Company's plans and expectations. These plans, expectations, risks and uncertainties are detailed herein and from time to time in the filings made by the Company with the TSX Venture Exchange and securities regulators. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.
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. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.