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Arehada
Announces Temporary Mine
and Plant Shut Down
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TORONTO, November 11th 2008 - Arehada
Mining Limited (TSX:
AHD),
(the "Company") today announced that it
has initiated a temporary shut down of its
operations at its mine and zinc plant.
Arehada China has made dramatic reductions
in its operational costs and other expenditure
over the last several months. However, current
zinc and lead prices have made the mine
and zinc plant unprofitable. Accordingly,
the operations are being suspended to prevent
operational losses. The Company believes
that the majority of other similar mines
in the Inner Mongolia Autonomous Region
have also shut down operations due to low
commodity prices.
The zinc plant and mine infrastructure
are being prepared for the orderly suspension
of all activities. Staff at the zinc plant
and mine is being reduced to a level that
will meet care and maintenance requirements.
About Arehada Mining
Arehada Mining Limited is engaged in the
exploration, development, extraction and
production of zinc, lead and silver in Dongwuzhumuqinqi,
located in Inner Mongolia, China. Arehada
produces zinc and lead concentrates, which
are then sold to smelters in China.
Arehada has completed construction of a
zinc processing plant which is currently
producing zinc calcine and sulphuric acid.
For further information:
Forward Looking Statements
The above contains forward looking statements
that are subject to a number of known and
unknown risks, uncertainties and other factors
that may cause actual results to differ
materially from those anticipated in our
forward looking statements. Factors that
could cause such differences include: changes
in world commodity markets, equity markets,
costs and supply of materials relevant to
the mining industry, extent of resources
actually contained in mineral deposits,
actual recoveries achieved in processing
ore, technological change, change to regulations
affecting the mining industry, risks associated
with mining operation in China, environmental
and safety regulations risks, and risk associated
with failure to obtain required regulatory
or third party consent. Forward-looking
statements in this release include statements
regarding future programs, review completion
dates and opportunities. Although we believe
the expectations reflected in our forward
looking statements are reasonable, results
may vary, and we cannot guarantee future
results, levels of activity, performance
or achievements.
Neither the TSXV or the TSX has in any
way passed upon the merits of this press
release and has neither approved nor disapproved
the contents of this press release.
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