Discovery Metals reports Boseto project is on schedule and within budget

Copper miner Discovery Metals has today published a quarterly activities summary for the three months ended on the past 31st of December in which it has reported on what seems to have been a frenetic pace of activity.

Amongst some of the highlights of the report:

-The Boseto project construction continues on schedule (and on budget) for commissioning and commencement of copper-silver concentrate production in the June half of 2012. In particular, the construction timeline remains on schedule to enable commencement of commissioning of the process plant in the first half of 2012.

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-Mining commenced at the Zeta pit in December 2011.

-Zeta underground definitive feasibility study has been completed by the consultants and is being reviewed. The mineral resources at Zeta increased by 9m tonnes (25%) to 44.1m tonnes and this resource model has formed the basis of the Zeta underground DFS.

-Blackrock Investment Management (Australia) Limited became a substantial shareholder in the company by increasing their holding to approximately 53m shares or 12%.

-Manganese Prospects, South Botswana: The firm's focus over the next coming months will be on reviewing its tenement holdings in that area to ensure an optimum holding land position. Evaluation of opportunities on prospecting licences in the Eastern Transvaal basin will also be completed in the next few months.

Lastly, and of possible interest, the company has indicated that, at quarter end, the value of its hedge book represented an unrealised gain of US$65m in excess of end of quarter commodity market prices.

As of 16:19pm shares of Discovery Metals are falling by 4.17% to 103.5p.

AB