War Eagle Signs a Letter of Intent With the World's Largest Coal
Gasification Thermal Power Plant to Recover Germanium and Gallium
VANCOUVER, BRITISH COLUMBIA -- (MARKETWIRE) -- 11/06/07 -- War
Eagle Mining Company Inc. (TSX-V: WAR) today announces that it has
signed a Letter of Intent (LOI) with ELCOGAS SA of Spain regarding
the testing of fly ash from its Puertollano power plant with the aim
of recovering germanium (Ge) and gallium (Ga).
The Puertollano IGCC plant is a coal gasification thermal power plant
that was supported by the European Union to facilitate clean energy
production from coal. This is the largest single train IGCC plant in
the world and achieves a net efficiency of 42%, around 10% higher
than that produced by conventional thermal power plants. The plant
currently produces some 12,000 tonnes of fly ash per year and the
output might increase to 15,000 tonnes.
Some points regarding the LOI are:
1. ELCOGAS holds an international patent on the recovery of metals
from the fly ash and will grant War Eagle permission to use part or
all of their patented procedures for recovering germanium and
2. War Eagle will fund a programme of testing and research with
scientific teams at two of Spain's renowned universities, the
University of Barcelona and the University of Seville, who have been
closely involved with ELCOGAS in developing the recovery process.
3. The test work is scheduled over a period of 18 months, culminating
in a full feasibility study using the existing pilot plant designed
for germanium and gallium recovery at the University of Seville.
Following a successful test work programme, War Eagle will provide
ELCOGAS with a detailed technical and economic proposal for a
processing plant to be built on ELCOGAS property and would form a
long-term agreement with ELCOGAS for the supply of fly ash.
Mr. Terry Schorn, President of War Eagle, said, "We are pleased to
work with a world class organization like ELCOGAS and we look forward
to a long term partnership. We intend to immediately begin metallurgy
and additional research, testing for the presence of germanium and
other elements in the Puertollano fly ash. Although a maximum of 18
months has been allowed for the test work and full feasibility study,
we anticipate completion in a much shorter period. If the results
prove to be commercially viable, we will enter into a Definitive
Agreement to proceed with the construction of a production plant."
About War Eagle Mining:
War Eagle Mining Company Inc. is an experienced mineral exploration
company publicly traded since 1987 and is listed on the TSX Venture
Exchange under the symbol WAR. The company is in the exploration and
development phase of the Tres Marias Germanium and Zinc Mine in
Mexico. The Tres Marias is a former producing high-grade germanium
and zinc mine that first produced ore in 1949.
The Project is under the direction of Mr. Terence Schorn, P. Geo.,
the qualified person pursuant to the National Instrument 43-101.
ELCOGAS was formed in 1992 to carry out the construction, operation
and marketing of the Integrated Gasification Combined Cycle (IGCC)
Power Plant in Puertollano, Spain. It is the largest (IGCC) power
plant in the world. This facility has an electrical output of 317.7
MW, is in commercial operation running on natural gas (raw) since
1996 and with coal gas (IGCC) since 1998. With support from the
European Commission through the Program Thermie and based on European
technology, the plant has established itself as an electricity
producer, reaching a level of reliability in the operation
demonstrating the maturity of this technology for the clean use of
coal, and enables the operational experience gained by the company
for future development of IGCC technology.
Terence F. Schorn, P. Geo., President
This disclosure contains certain forward-looking statements that
involve substantial known and unknown risks and uncertainties,
of which are beyond the Company's control including: the impact of
general economic conditions in the areas in which the Company
operates, industry conditions, changes in laws and regulations
including the adoption of new environmental laws and regulations and
changes in how they are interpreted and enforced, increased
competition, the lack of availability of qualified personnel or
management, fluctuations in commodity prices, foreign exchange or
interest rates, stock market volatility and obtaining required
approvals of regulatory authorities. In addition there are risks and
uncertainties associated with mining operations, therefore the
Company's actual results, performance or achievements could differ
materially from those expressed in or implied by these
forward-looking statements. All statements included in this press
release that address activities, events or developments that the
Company expects, believes or anticipates will or may occur in the
future are forward-looking statements. These statements include
pricing trends of Ge metal, completion and production timetables.
These statements are based on assumptions made by the company based
on its experience, perception of historical trends, current
conditions, expected future developments and other factors it
believes are appropriate in the circumstances.
CUSIP. No. 933901209
The TSX Venture Exchange has not reviewed and does not accept the
responsibility for the adequacy or accuracy of the contents of the
FOR FURTHER INFORMATION PLEASE CONTACT:
War Eagle Mining Company Inc.
Vice President, Corporate Development
1-800-877-1626 or (604) 606-7973
Vorticom Public Relations