Tiberon"s Vietnamese investments have received a setback following a knockback on increasing its stake in the Nui Pao tungsten project by 7.5%.

Tiberon had hoped to increase its ownership of the Nui Phao project to 77.5% by acquiring the 7.5% stake of its joint venture partner Export-Import Investment Company Thai Nguyen (Intraco.)

However, the Vietnamese government's Ministry of Planning and Investment has requested that all parties continue the implementation of the project in accordance with the terms of the issued Investment License and maintain the original Nuiphaovica ownership ratio of 70% (Tiberon) to 30% (Vietnamese joint venture partners).

Tiberon management has expressed disappointment with this response and is currently exploring all avenues with respect to addressing the Vietnamese government's ownership concerns, while at the same time retaining its rights under the joint venture agreement.

During a recent meeting between the Vietnamese government and Tiberon, government officials emphasized the strategic importance of the project to Vietnam and reiterated their full support toward the timely development of Nui Phao.

Tiberon Minerals is poised to become the world's largest primary tungsten producer and a major producer of acid-grade fluorspar, as well as bismuth, copper and gold through development of its Nui Phao property in Vietnam.

Nui Phao contains more than 55 million tonnes of proven and probable reserves (25.1 million tonnes proven, 30.6 million tonnes probable) for an estimated mine life in excess of 16 years, making it one of the largest tungsten-fluorspar deposits located outside China.