Brilliant Nickel Production Un-hedged, Lanfranchi Nickel Mine, Kambalda District of Western Australia
Vancouver, B.C. - Brilliant Mining Corp. (BMC:TSXV) (“Brilliant” or the “Company”) is pleased to announce all future nickel ore deliveries will be paid at spot nickel prices.
Key Point Summary:
- All nickel ore deliveries commencing August 1 will be paid at spot nickel (Ni) prices
- Current Spot Ni prices are more than 2.5 times greater than hedged Ni prices currently received
“Since we acquired the project, we have ramped-up mining operations, discovered new nickel resources, eliminated all bank debt, and increased the corporate cash treasury; despite the unfavourable nickel hedge contracts we inherited,” stated John Williamson, CEO of Brilliant Mining Corp. “With the nickel hedge contracts unwinding and our production profile increasing, the future for Brilliant is very promising.”
Brilliant Mining acquired a 25% interest in the Lanfranchi Joint Venture in May 2006. Through the acquisition, the Company became party to a series of monthly forward nickel contracts, initially set at US$6.75 per pound at the commencement of the contract period and decreasing to US$5.50 per pound until the end of the term.
The current spot price of nickel, at over US$14.00 per pound, is more than 2.5 times greater than the hedged Ni prices currently received, thus the projected net revenue received by Brilliant per pound of Ni mined will now increase significantly. The Company has not entered into any additional Ni hedge contracts at this time.
The project is supervised by John Williamson, PGeol, of Edmonton, Alberta. Mr. Williamson, CEO and a Director of Brilliant Mining, is the qualified person as defined in National Instrument 43-101.
About Brilliant Mining
Brilliant Mining Corp. (BMC: TSXV) is focused on the production, development and exploration of nickel opportunities world wide. The Company currently has a 25% interest in the producing Lanfranchi Nickel Mine in Western Australia and has 3 active nickel projects in Canada, including the Michikamau property in central Labrador.
On behalf of the Board of Directors
“John Robins”
John E. Robins, P.Geo.
Chairman
Brilliant Mining Corp.
For further information about Brilliant Mining Corporation, or this news release, please visit our website at www.brilliantmining.com, or contact:
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Certain disclosures in this release, including management's assessment of Brilliant’s plans and projects, constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Brilliant's operation as a mineral exploration company that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements. Brilliant expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
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