TIDMIMIC

RNS Number : 1200D

Intl Mining & Infrast Corp PLC

22 October 2015

22 October 2015

INTERNATIONAL MINING & INFRASTRUCTURE CORPORATION PLC

("IMIC" or the "Company")

Update on the Tax Dispute in Cameroon

International Mining & Infrastructure Corporation plc (AIM: IMIC), the Company focused on unlocking the value of iron ore in Africa, is pleased to announce the reopening on 20 October 2015 of the headquarters of its 100 per cent. owned subsidiary, Caminex SA ("Caminex"), which serves as the Company's principal local operating company in the development of the Company's iron ore assets in Cameroon. In addition, Caminex' local bank accounts have been unfrozen. These positive developments are a result of Caminex filing an administrative appeal against the demand received from the Cameroonian Tax Authorities for payment of tax.

On 8 October 2015, the Company announced that Caminex had received a demand for a payment of tax, including capital gains tax, a registration/transfer of ownership fee and tax interest and penalties, of approximately US$2.6 million in relation to the Company's 2013 acquisition ("Acquisition") of the Canadian company Afferro Mining Inc. ("Afferro") and Afferro's local subsidiary, Caminex SA.

The Company and Caminex continue to work with their professional tax and legal advisers on this matter. These advisers believe that the tax assessment has been incorrectly issued and that Caminex has sound and robust legal and tax arguments to put forward during the discussions with the Tax Authorities.

The Company would like to extend its sincere gratitude to the British High Commission in Cameroon and the Cameroonian authorities resident in the United Kingdom. These parties have supported the Company and made representations on behalf of the Company and Caminex to the authorities in Cameroon. We also express gratitude to our professional tax and legal advisers. The support of these parties has been invaluable in the Company's efforts to resolve the matter of unfreezing of the Caminex bank account and opening of its offices.

For further information, please contact:

 
 International Mining & Infrastructure Corporation          www.imicplc.com 
  plc 
 Ethelbert Cooper, Chairman 
  Haresh Kanabar, Chief Financial Officer              +44 (0) 20 7290 3340 
 Pareto Securities Limited - Sole Broker                  www.paretosec.com 
  Guy Wilkes / Will Slack                              +44 (0) 20 7786 4370 
 Buchanan - Financial PR                                www.buchanan.uk.com 
  Mark Court / Sophie Cowles                           +44 (0) 20 7466 5000

About IMIC

IMIC's strategy is, in conjunction with its partner AIOG, working to develop fundable solutions to infrastructure provision for iron ore resources in West and Central Africa. In support IMIC will seek to acquire interests in iron ore projects that would benefit from a specific infrastructure solution. IMIC made its first investment with the Dec 2013 acquisition of Afferro Mining Inc, taking ownership of four iron ore deposits in Cameroon, the most advanced asset being Nkout. IMIC plans to continue to develop its assets, including accelerating the feasibility studies of the smaller Ntem deposit, which is located only 80km from Kribi deep water port.

IMIC's focus will initially be on iron ore opportunities in West and Central Africa. The demand for iron ore is currently being driven by China which consumes approximately 70 per cent. of the world's current annual production. As the urbanization of China continues demand for iron ore is expected to remain at significant levels through to 2030. The iron ore projects currently identified in West and Central Africa have the potential to produce at least 400 million tonnes of iron ore each year. This would establish Africa as a global player, alongside Australia and Brazil, in the iron ore industry.

In order to help deliver its infrastructure solutions, IMIC and AIOG have established strategic partnerships with various Chinese state owned companies. These companies are involved in railway and port construction, power, iron ore beneficiation and iron ore marketing. These relationships are intended to give IMIC and AIOG the ability to work with relevant governments and financial institutions to deliver infrastructure solutions and to guarantee the onward sale of iron ore in China and other emerging world markets.

IMIC shares are traded on the London Stock Exchange's AIM market under the ticker symbol IMIC.

This information is provided by RNS

The company news service from the London Stock Exchange

END

MSCFMMZGGZDGKZM

(END) Dow Jones Newswires

October 22, 2015 06:45 ET (10:45 GMT)

Intl Min&IN Crp (LSE:IMIC)
Historical Stock Chart
From Mar 2024 to Apr 2024 Click Here for more Intl Min&IN Crp Charts.
Intl Min&IN Crp (LSE:IMIC)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Intl Min&IN Crp Charts.