VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 6, 2011) - Selwyn Resources Ltd. (TSX VENTURE:SWN) ("Selwyn") is pleased to announce that the Supreme Court of Yukon has issued a decision to dismiss an application by the Liard First Nation to quash, suspend or stay the Yukon Government Decision Document which was the final step in the environmental assessment of the Selwyn Project's underground advanced exploration program pursuant to the Yukon Environmental and Socio-economic Assessment Act (Selwyn News Release, November 25, 2010). The Selwyn Project is operated by Selwyn Chihong Mining Ltd., the joint venture company equally owned by Selwyn and Chihong Canada Mining Ltd., a wholly-owned subsidiary of Yunnan Chihong Zinc and Germanium Co. Ltd.
In November of 2010, the Liard First Nation applied to the Supreme Court of Yukon to quash, suspend, or stay the Decision Document issued by the Yukon Government Director of Mineral Resources which allowed for the Selwyn Project's advanced underground exploration activity to proceed to the regulatory stage (for licencing and permitting). In the application the Liard First Nation submitted that the Evaluation Report prepared by the Yukon Environmental and Socioeconomic Assessment Board was deficient, that the Director of Mineral Resources failed to meet the statutory requirements of the Yukon Environmental and Socioeconomic Assessment Act in the issuance of the subsequent Decision Document, and that the Yukon Government had failed in its duty to consult with the Liard First Nation.
In his decision, Justice Veale concluded that the Evaluation Report prepared by the Yukon Environmental and Socioeconomic Assessment Board reasonably considers the significance of the environmental effects of the Selwyn Project. Additionally, Justice Veale concluded that the Director of Mineral Resources had met the statutory obligation when issuing the Decision Document. He further concluded that the Yukon Government had adequately addressed its duty to consult with the Liard First Nation and that there was no breach in the duty of fairness.
The decision by the Court removes uncertainty in regards to the validity of the Type B Water License and Mining Land Use Permit for the Selwyn Project. These licences allow for ongoing exploration of the Selwyn Project and the implementation of a 200,000 tonne underground exploration program.
Selwyn's focus is the exploration and development of its properties that make up the Selwyn Project in the Yukon, which hosts large tonnages of zinc-lead mineralization. The known deposits have the potential for large scale production, and the potential to provide a secure supply of zinc and lead to meet the future needs of these markets in Asia and beyond. The recently announced acquisition of the assets of ScoZinc Limited provides Selwyn with a second opportunity for growth and the potential for production revenues in 2012.
This news release contains forward-looking statements concerning the development of the Selwyn Project. These statements are based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of failure to obtain necessary regulatory permits and approvals, the results of exploration activities, the failure to raise required funds for development of the Selwyn Project and other risk factors beyond Selwyn's control. There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.