Applied Minerals, Inc. (OTCBB: AMNL), a leading global producer of Halloysite Clay from its Dragon Mine property in Utah, is pleased to announce that the Company engaged the services of Victor Lazarovici to assist the company in seeking options to maximize the value of its non-core Idaho silver properties. For twenty years, Mr. Lazarovici was a highly ranked global metals and minerals analyst in Canada and the United States. He is the only analyst to attain the #1 ranking in both Canada and the United States for research on the metals and mining industry in the Greenwich Associates survey. Mr. Lazarovici worked for a number of leading firms including BMO Capital Markets and Citigroup Inc. Prior to his time as an analyst, Mr. Lazarovici spent fourteen years in the corporate sector in engineering, financial and corporate development roles, with extensive experience in mergers, acquisitions and restructurings. Maximizing the Value Of the Idaho Properties Mr. Lazarovici’s principal focus for Applied Minerals will be to assist the Company in evaluating alternatives for the Company’s non-core properties located in northern Idaho’s historic Coeur d’Alene district – “Silver Valley,” the world's second largest silver district, having produced over 1.2billion ounces from 1884-2009. The largest such property is the Atlas Mine. The property was partially explored by Noranda from 1975-1977. It was determined that the mineralized zones identified from their drilling was not deemed economic to mine with silver prices then averaging $4.60/ounce. In 1981, with silver prices as high as $16/ounce, Atlas entered into an exploration agreement with neighboring Hecla Mining, the largest silver producer in the region. Under the agreement, a commitment of $1.3 million was made for furthering exploration in exchange for a 60/40 Hecla/Atlas net smelter split. In 1985, with silver prices plummeting to an average $6.14/ounce and failure to identify an ore body economically feasible to mine, the agreement was terminated and further development was cancelled. For the following 20 years, silver prices ranged from $3.93 - $7.32/ounce which was too low to justify further exploration expense.
The Atlas Mine is located on the east end of the Coeur d'Alene Mining District in Shoshone County. The property lies just south of the Osburn Fault directly adjacent to Hecla Mining’s Lucky Friday Silver Mine and is accessible by interstate freeway and a county-maintained road. The Atlas property is surrounded by claims staked by Sterling Mining Co., under current ownership of billionaire investor, Thomas Kaplan’s Silver Opportunity Partners. The surrounding claims are believed to have been staked as a result of geophysical exploration findings. The Mine has over 7,000 feet of tunnels, fully preserved core shed, a rail system and a 2,000-foot internal shaft that can be used as an access for future exploration.The separate tracts of land owned by Applied Minerals in Shoshone County, Idaho are the following:
|Atlas Mine||540 acres fee simple|
|Sierra Trapper Creek||80 acres patented|
|Aulbach, Sections 6 & 7||100 acres patented|
|Sierra Silver, Woodland Pk & 9 Mi||60 acres patented|
|80 acres mineral rights|
Mr. Zeitoun continued: “As we continue our laser focus on our key goal: the commercialization of our Dragon Mine resource, we continue to make progress with a number of potential customers in the plastics, catalyst, building products, and environmental remediation industries, centered on the development and commercialization of products that utilize the Dragon Mine’s halloysite. Given this focus, we want to make clear to our investors that we have no plans to operate or develop the Idaho properties ourselves. The ideal scenario would be the sale of a majority interest in the land and mineral rights to a major or to an exploration company interested in developing the property. With that said the company will explore any and all proposals that it feels will be of greatest value to its shareholders.”The Company will provide an update with respect to the progress of its business surrounding the commercialization of the Dragon Mine material when appropriate. About Applied Minerals, Inc. Applied Minerals Inc. is a leading global producer of Halloysite Clay from their wholly-owned Dragon Mine property in Utah. Halloysite is an aluminosilicate clay that forms naturally occurring nanotubes. In addition to serving the traditional Halloysite markets for use in technical ceramics and catalytic applications, the Company has targeted niche applications that it feels will benefit from the tubular morphology of its Halloysite. These include: carriers of active ingredients in paints, coatings and building materials, agricultural applications and high-performance functional fillers in polymer composites. Statements in this press release that are not historical facts, and this includes all the statements concerning future-oriented statements relating to processing, capacity, costs, notifications, working together, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of significant risks and uncertainties that could cause actual results to differ materially from those projected, anticipated, expected or implied.