African Consolidated Resources turns eyes from Zimbabwe mines to Romania, starts due diligence at Remin

Mining company African Consolidated Resources, with operations mainly in Zimbabwe, recently signed a memorandum of understanding with the Romanian mining company Remin, valid for six months, which offers the needed time for due diligence in view of investment. “For six months we analyzed the opportunities in the Romanian mining sector. Remin was a giant which brought thousands of direct and indirect jobs. […] In the following six months we will carry on a due diligence, which involves significant budgets. We want this collaboration to bring considerable foreign direct investments and allow reopening many jobs,” said Andrew Prelea, CEO of African Consolidated Resources in Romania. In the following weeks, the company will bring a team of international experts, who will train local employees in using new technologies, according to Prelea. Based on the memorandum, the company may carry out due diligence on and evaluation of Remin's entire poly-metallic mineral interests, which include copper and gold. The Romanian Government recently announced that it had turned Remin's debt to the state into shares, as there is a private investor who could soon re-open the mining company. Remin closed down activity in 2006, but with its 300 employees it continued to take care of its assets. African Consolidated Resources says it recently received a letter of intention from the "largest" copper mining company to take part in analyzing the business opportunities in Romania, but did not give the name of the local company. Romania's largest mining company is state-owned Cupru Min, which owns the Rosia Poieni mine, where 60 percent of Romania's copper reserves can be found. The country tried to privatize Cupru Min in 2012 but it failed, more about it here. ACR is a multi-commodity resource development company primarily focused on Zimbabwe, where it has projects on various development stages mining for gold, nickel, platinum, copper, phosphate and diamonds. ACR trades on The Alternative Investment Market AIM of the London Stock Exchange. For the year ended on March 31, 2012, African Consolidated Resources posted a loss of USD 4.55 million “as exploration programmes continue". editor@romania-insider.com