Aldridge Reports 2012 Year-End Financial Results
TORONTO, March 8, 2013 /CNW/ - Aldridge Minerals Inc. (TSX Venture: AGM) ("Aldridge" or the "Company") is pleased to announce the filing of its audited consolidated financial statements and management's discussion & analysis for the fiscal year-ended December 31, 2012 (the "Financial Statements" and the "MD&A", respectively). The Financial Statements and the MD&A are posted on SEDAR at www.sedar.com and on the Company's website at www.aldridgeminerals.ca.
As noted in the MD&A, the Company closed a $15,000,000 financing in February 2013, positioning the Company to pursue its major objectives including the following:
Feasibility Study Completion in March 2013
The Yenipazar Feasibility Study will be completed in March 2013, which allows the Company to comply with the final condition of the property Option Agreement with Alacer Gold Corp. and earn 100% of the rights to the Yenipazar Project. The related NI 43-101 compliant technical report will be filed on SEDAR.
Secure Project Financing in 2013
Upon completion of the Feasibility Study, the Company's most significant objective of 2013 is to obtain the project financing needed to build the Yenipazar Project and commence production. The Company's project financing may include some combination of equity, senior debt, metal streaming and off-take agreements. The Company has engaged Cutfield Freeman & Company Ltd. ("CF&Co") as its finance advisor to evaluate the project economics and the optimal financing alternatives. CF&Co activities began in Q1 2013 and are expected to continue until project financing is secured.
The Company has added management expertise, and will utilize other advisors as required to facilitate the critical process of acquiring up to 9.4 square kilometres of land within the project fence-line and adjacent to it. Significant management resources will be allocated to developing and executing the acquisition strategy.
The Company has identified exploration targets on the Yenipazar Property, including the area adjacent to the known resource where three mineralized outcrops were identified. The Company plans to spend approximately $1 million to $1.5 million on exploration in 2013. Additional exploration programs will be developed subject to the availability of funding. Longer term plans will include exploration of other areas of the 100 square kilometer land package of the Yenipazar Property and the acquisition and exploration of other properties in Turkey.
Environmental Impact Assessment Study Completion in Q2 2013
SRK Turkey, which has been involved in various elements of the Feasibility Study, is leading the Environmental Impact Assessment Study scheduled for completion in Q2 of 2013.
Investment Incentive Plan Application in Q3 2013
The Company will apply for Turkey's Investment Incentive Plan, which would result in income tax savings equal to 40% of the depreciable capital cost required to build the Yenipazar Project. The income tax savings will be received via a corporate income tax rate reduction from 20% to 4%. For example, for every $100 million of allowable capital cost, the corporate income tax savings would be $40 million, which enhances the after-tax cash flow of the Yenipazar Project.
The Company is developing plans to add senior managers and professional staff to support continued project development in 2013 and position the Company to support the construction phase in 2014 and 2015.
Engineering Design and Continued Project Development
The Feasibility Study is expected to include certain recommendations regarding continued engineering and metallurgy work, which should maintain the momentum of the project development. The Company plans to spend in this area approximately $1.3 million to $1.8 million during the balance of 2013 in order to advance the project.
Engineering, Procurement, Construction Management
In 2013, the Company will evaluate project development options, including alternative international and Turkish professional service firms, contractors and other suppliers.
Aldridge is a near development stage mining company focused on advancing its Yenipazar gold and polymetallic VMS deposit (Ag, Cu, Pb, Zn) in Turkey - a country that is committed to developing its natural resources and is rapidly emerging as an economic powerhouse. Aldridge is currently in the final stages of completing the Yenipazar feasibility study, which we expect to deliver in March 2013. The Yenipazar project is subject to an earn-in agreement with Alacer Gold Corp., wherein Aldridge can earn a 100% working interest subject to certain conditions, subject to a 6% net profit interest ("NPI", revenues less operational costs) until revenues of US$165 million are generated, and a 10% NPI from there on.
Caution Regarding Forward-Looking Information
This news release includes certain forward-looking statements within the meaning of Canadian securities laws. Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those expressed in such forward-looking statements. Forward-looking statements in this news release, include, but are not limited to, economic performance and future plans and objectives of Aldridge. Any number of important factors could cause actual results to differ materially from these forward-looking statements as well as future results. Although Aldridge believes that the assumptions and factors used in making the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this new release, and no assurance can be given that such events will occur in the disclosed timeframes or at all. Aldridge disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Aldridge Minerals Inc.For further information:
President & CEO, Director
Aldridge Minerals Inc.
Director, Investor Relations & Corporate Secretary
Aldridge Minerals Inc.