NELSON, BC, Dec. 6 /CNW/ - Oromonte Resources Inc. (ORR:TSX-V; OF6:FRA)
announces its financial results for the 3rd quarter ended September 30, 2007.
The Company's team of exploration geologists continued to conduct field
exploration activities on its properties to the extent permitted within each
stage of the environmental regulations. The exploration work is expected to
develop into drilling programs in 2008 when the targets are specifically
defined and the required permits are in place.
The Company instituted financial restraint measures designed to preserve
the working capital in the 4th Quarter while environmental studies are
undergoing development, review and approval. Cost effectively, the Company
also restructured its operations in Ecuador to better support its exploration
program, social and environmental initiatives, government relations and
corporate opportunities. The Company now holds its properties and mining
rights through a number of Ecuadorean subsidiaries, and as of October 2007
manages its operations through Orosources Minerals S.A.
Results of Operations and Capital Resources
The Company recorded a loss of $182,847 for the 3 months ended September
30, 2007. Working capital at September 30, 2007 was $2,368,493 compared to
working capital of $3,654,150 at September 30, 2006. Working capital has
decreased due to exploration and general activities of the Company. The
Company has sufficient working capital to meet all of its foreseeable
obligations based on its plans for the next twelve months.
The financial results for the quarter ended September 30, 2007 reflect
the costs of exploration expenses and administrative costs for managing the
Company's properties and associated activities. Operating and general expenses
were $187,834 for the quarter resulting in a loss of $182,847. This compares
with expenses for the same period in 2006 of $282,725 and a loss of $283,412.
Expenses were mostly in line with the comparative quarter. The major
differences were: share-based compensation was $Nil in the current quarter and
was $73,600 in the comparative quarter as no options were issued in the
current quarter. As well consulting fees were lower in the current quarter as
the Company's activity was lower in the current quarter while awaiting permits
to be approved by the government of Ecuador.
On October 5, 2007 the Company and Canuc Resources Corporation ("Canuc")
completed an agreement, related to, and in accordance with, a Letter of
Intent, dated August 22, 2007 to effectively transfer all of its interests in
its Nambija, Ecuador gold mining property as reported in previous Oromonte
news releases August 22, 2007 and October 5, 2007.
The Company's interim Consolidated Financial Statements and Management
Discussion and Analysis (MD&A) for the quarter ended September 30, 2007 are
available at www.sedar.com.
Oromonte Resources Inc. is a mineral exploration company engaged in the
acquisition, development and exploration of mining properties in Ecuador. The
Company has acquired 100% owned mining concessions consisting of three
consolidated properties namely: Chimbuza Property, Pangui Property, and Virgen
del Cisne Property. The related projects are in early stage development with
environmental studies and/or exploration programs currently being implemented
to identify drilling targets. The Company trades common shares and warrants on
the TSX Venture Exchange under the symbol ORR and common shares on the
Frankfurt Stock Exchange under the symbol OF6.
For further information you can visit the Company's website at:
The TSX Venture Exchange has not reviewed, and does not accept
responsibility for the adequacy or accuracy of this release.
No stock exchange, securities commission or other regulatory authority
has approved nor disapproved the information contained herein. The News
Release includes certain "forward looking statements". All statements other
than statements of historical fact, included in this release, including,
without limitation, statements regarding potential mineralization and
reserves, exploration results, and future plans and objectives of Oromonte,
are forward looking statements that involve risks and uncertainties. There can
be no assurance that such statements will prove to be accurate and actual
results and future events could differ materially from those anticipated in
such statements. Important factors that could cause actual results to differ
materially from Oromonte's expectations are exploration risks detailed from
time to time in the filings made by Oromonte with securities regulations.
For further information:
For further information: Bruce Cottingham, CEO, Oromonte Resources Inc.,
Suite 206, 507 Baker Street, Nelson, British Columbia, Canada, V1L 4J2, Tel:
(250) 352-9923, Fax: (250) 352-9926