VANCOUVER, British Columbia, Nov. 08, 2017 (GLOBE NEWSWIRE) -- Trek Mining Inc. (TSX-V:TREK) (“Trek Mining” or “the Company”) is pleased to announce that its Financial Statements for the third quarter ended September 30, 2017 and the accompanying Management’s Discussion and Analysis are available for download on the Company’s website at www.trekmining.com and at www.sedar.com.
Quarterly highlights and recent developments
- Announced the signing of a definitive agreement with NewCastle Gold Ltd. and Anfield Gold Corp. to combine the three businesses to form a new multi-asset mining company named Equinox Gold Corp., to be led by Ross Beaty as Chairman
- Announced that Sprott Private Resource Lending (Collector), L.P. has received investment committee approval to provide Trek Mining with a US$85 million senior secured credit facility to be used for construction of the Aurizona Gold Mine (“Aurizona”) in Brazil
- Completed a feasibility study for Aurizona, supporting the viability of constructing an open-pit gold mine with a net present value of US$197 million and an internal rate of return of 34% based on a gold price of US$1,250 per ounce, and low initial capital costs of US$131 million
- Awarded the Aurizona project EPCM work to Ausenco Engineering Canada Inc.
- Confirmed with exploration drilling that gold mineralization at Aurizona’s principal ore deposit extends at least 350 metres to the west along strike and also at depth below the existing reserve pit. A second phase 12,000-metre exploration drill campaign is underway
- Continued ramp-up of the Koricancha Mill in Peru with Q3-2017 sales of 3,195 ounces of gold
At September 30, 2017, the Company had C$76.3 million (US$61.0 million) in cash and marketable securities and no cash debt.
On behalf of the Board of Trek Mining Inc.
“Christian Milau”
CEO & Director
About Trek Mining Inc.
Trek Mining is a Canadian mining company with a portfolio of production, near-production and exploration-stage projects in North and South America. Early works construction is underway at the Company’s Aurizona project in Brazil, with the objective of pouring gold by year-end 2018. On October 25, 2017, Trek Mining announced the signing of a definitive agreement to combine its business with NewCastle Gold Ltd. (TSX:NCA) and Anfield Gold Corp. (TSX-V:ANF). The combined entity intends to operate under the name Equinox Gold Corp. (“Equinox Gold”) and expects to trade on the TSX Venture Exchange under the ticker symbol “EQX”. Led by Ross Beaty as Chairman, Equinox Gold will be a well-financed, multi-asset mining company with a near-term gold production and strong growth platform of copper and gold assets. Further information about the proposed business combination and Trek Mining’s current portfolio of assets is available at www.trekmining.com or by email at ir@trekmining.com.
Trek Mining Contacts
Christian Milau, Chief Executive Officer
Rhylin Bailie, Vice President Investor Relations
Tel: +1 604-558-0560
Email: ir@trekmining.com
Technical Information
All technical information related to Aurizona is based on the “Feasibility Study on the Aurizona Gold Mine Project” prepared by Lycopodium Minerals Canada Ltd. with an effective date of July 10, 2017, which is available for download on SEDAR at www.sedar.com. Scott Heffernan, M.Sc., P.Geo., the Company’s EVP Exploration, is a Qualified Person under National Instrument 43-101 and has approved the technical and scientific disclosure throughout this news release.
Cautionary Notes and Forward-looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This document contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively “forward-looking statements”). The use of the words “to form”, “to be”, “to combine”, “objective”, “underway” and similar expressions are intended to identify forward-looking statements. Forward-looking statements contained in this press release include statements regarding mine development activities at Aurizona, the anticipated restart of production at Aurizona, exploration activities underway at Aurizona, the proposed US$85 million credit facility with Sprott Private Resource Lending (Collector), L.P. (“Sprott”), and the proposed business combination to create Equinox Gold. Although Trek Mining believes that the expectations reflected in such forward-looking statements and/or information are reasonable, undue reliance should not be placed on forward-looking statements since Trek Mining can give no assurance that such expectations will prove to be correct. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements, including the risks, uncertainties and other factors identified in Trek Mining’s periodic filings with Canadian securities regulators, and assumptions made with regard to: the Company’s ability to successfully complete mine development at Aurizona and restart production; timing of the anticipated restart of production; the Company’s ability to achieve the production and operating results estimated in the Aurizona feasibility study; the results of exploration activities underway at Aurizona; the Company’s ability to complete the legal and formal documentation required to finalize the proposed US$85 million credit facility with Sprott; the Company’s ability to complete the proposed business combination with NewCastle Gold and Anfield Gold; and the Company’s ability to achieve the synergies expected as a result of the business combination. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and Trek Mining does not undertake any obligations to publicly update and/or revise any of the included forward-looking statements, whether as a result of additional information, future events and/or otherwise, except as may be required by applicable securities laws.