Tiger starts mining in Republic of Congo

Tiger Resources has started mining at its Kipoi copper project in the Democratic Republic of Congo.

In a statement to the Australian Securities Exchange, Tiger Resources said that it had begun mining on Monday and ore grade material was being stockpiled as future feed for the heavy media separation plant.

The company said the plant had been assembled and test run in Johannesburg before being disassembled into modules for transport to site.

"Tiger is on schedule to start commercial production in the first quarter of 2011," the statement said.

"The Company plans to produce approximately 35,000 tonnes per annum of copper for three years from the first stage of the development at Kipoi."

See company statement below:

Tiger Resources Limited (ASX/TSX code: TGS) is pleased to advise that mining operations have started at the Kipoi Copper Project in the Democratic Republic of Congo (DRC).

On 8 November 2010 mining of ore and waste material commenced at the Kipoi Central deposit. Mineralisation at Kipoi Central is exposed at surface and the ore grade material is being stockpiled as future feed for the heavy media separation (HMS) plant. Some of the waste material will be used as construction material for infrastructure developments on site.

DRA Mineral Projects (Pty) Ltd has advised that the manufacture of the HMS plant has been completed. The plant was assembled and test run in Johannesburg before being disassembled into modules for transport to site. All components will be freighted to Kipoi in November. Group Five will start erecting the plant at Kipoi from December 2010.

In addition to these key developments, the village refurbishment has been completed, access road and waste dam construction is continuing and recruitment of key mining department staff has been finalised.

Tiger is on schedule to start commercial production in the first quarter of 2011. The Company plans to produce approximately 35,000t per annum of copper for three years from the first stage of the development at Kipoi.

BACKGROUND
The Kipoi Project covers an area of 55 sq kms and is located 75km north-north-west of the city of Lubumbashi in the Katangan Province of the DRC. The project contains a 12km sequence of mineralised Roan sediments that host at least five known deposits: Kipoi Central, Kipoi North, Kileba, Judeira and Kaminafitwe.

The Company has reported JORC standard resources at three of the deposits. The principle deposit is Kipoi Central which contains a zone of high grade copper mineralisation within a much larger lower grade global resource.

The Company proposes a staged development at the Kipoi Project. The high grade zone of mineralisation at Kipoi Central is proposed to be exploited during the Stage 1 development. During the three year life of Stage 1 a total of 900,000tpa of 7% Cu is planned to be processed through a heavy media separation (HMS) plant to produce the equivalent of 35,000tpa of Copper.

The Company is currently undertaking a feasibility study to evaluate the economic viability of constructing an SXEW plant (Stage 2) targeted to come on stream within three years of the start of the HMS operation. It is envisaged that ore from Kipoi Central, Kipoi North and Kileba South and the other deposits within the Kipoi Project and within the nearby Lupoto Project would be processed at the Stage 2 phase.