Kipoi Copper Project - Production Update

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ASX Code: TGS
TSX Code: TGS

PERTH, Western Australia, July 5, 2011 /CNW/ - Tiger Resources Limited (ASX: TGS) (TSX: TGS) ("Tiger" or "the Company") is pleased to provide a production update from its high-grade Kipoi Copper Project in the Democratic Republic of Congo (DRC).

Tiger's first stage of production, which utilises a heavy media separation (HMS) plant, is tracking well to reach its targeted throughput level of 75,000 tonnes per month.

Tiger Resources Managing Director Brad Marwood said plant capability had now been proven.

"Throughput of ore-feed is in excess of the nameplate design capacity, 2,500 tonnes per day, and production is at expected recovery levels," Mr Marwood said.

"We are very pleased to have regular daily sales of concentrate, more than a month of ore stockpiled and available for processing, and the plant operating and producing at expected levels.

"It is particularly satisfying that we have not had one serious accident since the commencement of development."

BACKGROUND

The Kipoi Project covers an area of 55 square kms and is located 75km north‐north‐west of the city of Lubumbashi in the Katanga 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 principal 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 will be exploited during the Stage 1 development. During the three year operation of Stage 1 900,000tpa of 7% Cu is planned to be processed through a 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 a 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.

Caution Regarding Forward-Looking Statements: The forward-looking statements made in this news release are based on assumptions and judgments of management regarding future events and results. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the actual market prices of copper, cobalt and silver, the actual results of current exploration, the actual results of future mining, processing and development activities, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's filed documents.