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Minera IRL Kicks Off Permitting At Ollachea

Minera IRL (LON:MIRL, TSE:IRL) has submitted the Environmental Impact Assessment (NYSEMKT:EIA) to the Peruvian authorities, kicking off the permitting process at its flagship Ollachea gold project.

It comes after the Latin American gold miner got the seal of approval from the local community at its general assembly on November 29.

Minera expects the development permit to be awarded mid-2013 after submitting the EIA yesterday.

"After obtaining a very satisfactory result on the Ollachea Feasibility Study, the EIA has now been submitted to the authorities," said Courtney Chamberlain, Minera's executive chairman.

"We have received outstanding support from the Ollachea community with a general assembly unanimously approving the EIA thus fulfilling the first requirement of the permitting process. Our objective is to obtain the development permit in mid-2013."

The company said Ollachea will be an underground mine, which will mean minimal surface disturbance and impact, while a water treatment plant will ensure all water release complies with Peruvian standards, it added.

The company announced a feasibility study at the end of last month. Up-front capital cost is projected at US$177.5 million, with a life-of-mine cash operating cost of US$499 per ounce.

Operations are due to commence at the start of 2015.

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