Abra Mining Limited "AML" (ASX: AII) is exploring the 100% owned Abra base metal deposit and surrounding South Bangemall Projects area in Western Australia´s mid-West region.  AML holds title to or is securing interests in tenements covering an area of more than 2,850km² within the South Bangemall and Havelock Projects.  The South Bangemall Project area is located approximately 200 kilometres north of Meekatharra in Western Australia and the Havelock Project is located 35 kilometres northwest of Wiluna.

The Abra deposit has similarities with major base metal deposits world-wide, including those in the Mt Isa district of northern Australia, Red Dog in Alaska and the Sullivan deposit in Canada.

The Companys near term focus is the exploration and development of the Abra deposit and exploration targets within the surrounding project area.

AML considers that the early development of the Abra deposit may be most effectively achieved in partnership with a technically and financially capable mining company.  On the 4th December 2007 AML announced that it had signed a Letter of Intent to enter into a Joint Venture with Hunan Nonferrous Metals Holdings Group Co., Ltd ("HNG") over Mining Lease M52/776 which covers the 100% owned Abra lead-silver-(zinc)-copper-gold deposit.  It was subsequently determined that Hunan Nonferrous Metals Corporation Limited ("HNC"), rather than HNG, would adopt the intentions attributed to HNG in the Letter of Intent.

Subject to Due Diligence by HNC by 30th April 2008, the Letter of Intent with HNC is an important step towards the development of the Abra base metal deposit.  Positive Due Diligence and conclusion of the Joint Venture Agreement will add significant value for Abra shareholders, with HNC contributing strong technical and financial capability.

During April 2008 HNC advised the Company that they are satisfied with with their due diligence.

On 13 May 2008 HNC announced that it intends to make a proportional takeover offer for 70% of the shares in AML which HNC does not currently own.  At that date HNC owned 17.8% of the Abra shares.

Under the Offer, HNC will offer $0.83 cash per Abra share for 7 of every 10 Abra shares not held by HNC.  On 19 May 2008 HNC´s Bidder´s Statement was submitted to the Australian Stock Exchange.