During the visit, due to end today, the Prime Minister will also tour the
operations of the Linden Mining Enterprise (LINMINE) and meet workers
and managers, a release from the Prime Minister's Office said.

According to the agreed formula for the merging of the two entities,
ABC from September 1 will be responsible for managing and operating
BERMINE assets for the benefit of BERMINE, its existing customers
and creditors, the release said.

Charges to BERMINE accounts will be at cost, with ABC utilising the
infrastructure necessary to provide the most efficient delivery of services
common to both ABC and BERMINE, it explained.

The Prime Minister's Office said that with limited financial support from
the Government and the National Investment Commercial Industrial
Limited (NICIL), ABC will provide critical rehabilitation at the Kwakwani
and Everton locations to allow the return to production.

At least US$500,000 will be spent in the upcoming months with an
additional amount next year, the office said.

ABC will invest in offloading facilities and upgrading its infrastructure to
allow the Kwakwani barges to offload bauxite at Aroaima. Modifications
will be pursued at Everton to allow storage of dried ore from Aroaima at
Everton, the release said.

Production at Kwakwani and Everton for the rest of the year will be used
to supply BERMINE's contracts with the Aluminium Company of
America (ALCOA) and other chemical grade bauxite customers, it said.

Sales for the rest of this year are estimated to reach 130,000 tons and
for next year the figure is expected to be about 250,000 tons, the Prime
Minister's Office reported.

It said that based on current projections, the operations of BERMINE,
under the operational merger, will result in net positive cash flow which
will be used to settle BERMINE's liabilities which stand at more than
US$4M.

Liabilities to the Government will be frozen with preference in repayment
being given to existing leases/current suppliers and then to third party
creditors, other than the Government, the release said.

A meeting with creditors to outline the plan and seek their concurrence
will be held shortly.

The office said both operations are projected to operate on a cash
neutral basis going forward, with increasing savings from economies
and efficiency through greater integration.

When BERMINE creditors are settled, the remaining operations of
BERMINE will be fully merged into ABC, it explained.

The Prime Minister said the Government will continue to be receptive to
proposals for participation in the merged operations.

He said that with regards to the welfare of the workers whose services
will be terminated, all severance payments will be honoured in
accordance with the agreements.

In addition, through Government funding workers will be given a training
grant approximately equal to the severance pay for the majority of
workers.

Payment of all accrued obligations including NIS, PAYE and others,
and house lots will be made available through special arrangements
with the Housing Ministry to facilitate relocation of workers, Mr. Hinds
said.

To meet its obligation to operate the BERMINE assets, ABC will
employ 130 persons for the reconfigured operations at Kwakwani and
Everton. Subject to skills and experience required, all persons shall be
from the current employees of BERMINE.

And effective from May this year, the Government assumed
responsibility for funding all social costs of the Kwakwani community,
including water supply, the hospital and other social services.

The road to Kwakwani is currently being upgraded and electricity supply
is being maintained, the release stated.

A multi-skilled team headed by the Chief Planning Officer, Ministry of
Finance, Mr. Clyde Roopchand, is to visit Kwakwani later this month to
assess the opportunities for the development of self-employment and
small and medium scale enterprises.