Pha Luang Project, Laos
Project Description
Rox Resources Limited (“Rox”) is exploring the limestone-hosted “Mississippi Valley Type” Pha Luang lead-zinc project in Laos, where high grade drill intercepts of lead and zinc have been made at the Nam Yen prospect.
A joint venture has been formed with local Lao company First Pacific Mining Co Lao Ltd (23%) and Thai company, Triple Nine Mining Co Ltd (17%). Rox has Business and Tax Licences to operate in Laos, and application for a foreign investment licence has been made to the Lao Government to incorporate a joint venture company in Laos to own the sulphide rights over the existing granted Mining Concession.
The Pha Luang project is situated close to the main north-south bitumen highway through Laos, and is adjacent to power lines, water supplies and established towns. Relief in the area is moderate to extreme, however road access to the top of the range (1,800m asl) has been established in two different locations. There is abundant water for process needs, and there is ample suitable ground for establishment of mine infrastructure. The town of Vangvieng, which hosts the local District Government offices, is 20 km south of the mine area.
The lateral, along strike and across strike extent of the lead-zinc-silver oxide and sulphide outcrops at Pha Luang, and the intensity and widths of surface mineralisation, suggest that this area could potentially host a district of significant lead-zinc-silver deposits.
Country Profile - Laos
The Lao People’s Democratic Republic (Lao PDR) is located on the Indo-China Peninsula, is bordered by Thailand, Myanmar, China, Vietnam and Cambodia, and covers an area of 237,000 km2 (similar in size to the State of Victoria). After many changes to its political system, political stability was achieved in 1975 when the Lao PDR was established by independence party The Pathet Lao.
Laos is a rapidly growing economy on the Indo-China peninsula, located close to markets in Thailand, China and Vietnam. Several Australian mining companies are enjoying outstanding success operating in Laos, where the government is actively encouraging foreign investment in mining and exploration.
Laos has promoted economic liberalisation since 1986 with a shift from a planned economy towards a free market system. The result was a shift towards a market-based economy which guarantees, amongst other things, the right for each Lao citizen to own private property and provides protection for both domestic and foreign investment. In 1997 Laos was admitted to the Association of South East Asian Nations (ASEAN) and is in the process of joining the World Trade Organisation (WTO).
The 50th anniversary of the establishment of diplomatic relations between Australia and Laos was celebrated in 2002 and Australia enjoys a positive reputation in Laos both as a result of this long, unbroken relationship and a high profile development cooperation programme.