A planned US$233 million manganese mine at Matthews Ridge, Region One by Canadian firm Reunion Gold Corporation is at a standstill having been affected by the economic slowdown in Asia and other parts of the world making it difficult for the company to find financing.
“The Matthews Ridge Project is currently on care and maintenance while the company is evaluating different financing options, including the sale of certain assets, the issuance of securities, partnership, joint venture or other arrangements. Given the recent economic slowdown in Asia and other parts of the world, the demand for steel and related products including manganese has dropped significantly,” the company’s management said in a recent discussion and analysis regarding the financial condition of the firm and the results of operations for the quarter which ended on June 30.
“This, and other economic factors, has had and continues to have a direct impact on the market price of manganese and, combined with a depressed equity market for junior mining companies, makes it difficult to finance the development of