Arianne Phosphate announces corporate and financial results for third quarter 2014
![Arianne Phosphate announces corporate and financial results for third quarter 2014](https://www.goldseiten.de/media/goldseiten-news.jpg)
DAN: TSX-V (Canada)
JE9N: FSE (Germany)
DRRSF: OTC BB (USA)
SAGUENAY, QC, Nov. 13, 2014 /CNW/ - Arianne Phosphate (the "Company" or "Arianne") (TSX VENTURE: DAN) (FRANKFURT: JE9N) (OTCBB: DRRSF), a development-stage phosphate company advancing the Lac à Paul Project in Quebec's Saguenay-Lac-Saint-Jean region, reported its corporate and financial results for the third quarter ended September 30, 2014. Arianne's Management's Discussion and Analysis (MD&A) and Financial Statements for the quarter are available on the Company's website and on SEDAR at www.sedar.com.
"We are pleased with Arianne's progress during the third quarter," said Jean-Sébastien David, COO of the Company. "The Company continues to move towards its stated milestones of permitting, an agreement with the First Nations, project optimization and discussions with interested parties on a strategic relationship. Arianne had a busy quarter as progress was made on many of these fronts and we look forward to continued success in the coming quarter."
Q3 2014 Corporate & Financial Highlights
- Announced drilling results from TraMan and Traverse Zones:
- Addition of 146Mt of inferred resource at 5.30% P2O5 at the TraMan Zone
- Addition of 17Mt at 5.98% P2O5 at the Traverse Zone
- Announced the closing of the first tranche of an $8 million private placement; the second tranche having been completed in October, led by an investment from the Quebec government, representing 25% of the total
- Strategic changes to the management :
- Mr. Pierre Fitzgibbon, is the Executive Chairman of the Board of Arianne
- Mr. Dominique Bouchard, is the Vice-Chairman of the Board of Arianne
- Mr. Jean-Sébastien David is COO of the Company
- Mr. Dino Fuoco is the Chief Financial Officer
Post-Q3 2014 Highlights
- 13% increase in mineral resources (M+I)(1) located on the Paul Zone
- An updated estimate on its Paul Zone has increased the resource to 668 million tonne at 7.01% P2O5 with a 4.0% P2O5 cut-off grade in the measured & indicated category
- Has identified a new inferred resource on the Paul Zone of 38 million tonne at 6.13% P2O5 at 4.0% P2O5 cut-off grade(1)
- Announced the closing of its second tranche of its $8M private placement financing for gross proceeds of $ 2,369,000. As previously announced by the Company, the Quebec government participated, investing $2M through Ressources Québec, a subsidiary of Investissement Québec
- The Company has been awarded the e3 Plus prize at the Quebec Mineral Exploration Association's Awards Evening held October 22nd, in Montreal. This award was presented to Arianne in recognition of its high level of commitment to environmental and social responsibility, and its compliance with the best practices outlined in the Association's online Toolkit.
- Nomination of the chairman to the monitoring committee of Lac à Paul project. This independent committee was formed in accordance to the "Loi sur les Mines du gouvernement du Québec." The mandate of the independent committee is to initiate, maintain contact with Arianne and its stakeholders, and follow the project, making recommendations to help the Company accomplish its objectives and commitments.
Financial Summary
In Q3 2014, Arianne did not generate revenue or positive cash flows as the Company is still a development-stage entity. In the three months ended September 30, 2014, the Company incurred a net loss of $1,260,208 compared to a loss of $1,675,088 in the same period in the 2013.
Liquidity
Since January 1, 2014, the Company has received net proceeds of $7.2 million from the exercise of warrants, stock options, options granted to brokers and the proceeds from closing its first tranche of the $8 million financing announced in July (see press release dated July 31, 2014.) Based on current estimates for future project development, Arianne anticipates it will need additional financing in 2015.
At quarter-end, the Company had $4,060,148 of cash on hand and working capital of $3,279,634, which includes $211,964 in cash reserved for exploration and evaluation expenses. The Company's working capital will be allocated towards completing critical project development work through 2014 and into 2015.
Arianne Phosphate continued the development of its proposed phosphate mine at Lac à Paul by focusing on its four major pillars. Since Q1, Arianne has invested nearly $3.5 million for the optimization and reduction of production costs and capital expenses for the Lac a Paul project. Additionally, resources have been invested to support the Company`s efforts towards permitting and continued discussions with the First Nations in order to reach agreements on the project. These activities will allow for the continued development of Arianne's mineral deposit. Lastly, these funds provide financial support to management while they promote and negotiate funding agreements and partnerships with potential strategic investors.
(1) Cautionary Statements: Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. That it is uncertain if further exploration will result to upgrade this inferred resource at indicated and measured resource.
About Arianne Phosphate
Arianne Phosphate ("Arianne Phosphate Inc.") (www.arianne-inc.com) is developing the Lac à Paul phosphate deposits located approximately 200 km north of the Saguenay/Lac St. Jean area of Quebec, Canada. These deposits will produce a high quality igneous apatite concentrate grading 39% P2O5 with little or no contaminants. The Company has 95,325,755 million shares outstanding.
Neither 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.
Follow Arianne on:
Facebook: https://www.facebook.com/ariannephosphate
Twitter: http://twitter.com/arianne_dan
YouTube: http://www.youtube.com/user/ArianneResources
Flickr: http://www.flickr.com/photos/arianneresources
Resource Investing News: http://resourceinvestingnews.com/?s=Arianne
Forward Looking Statements and Information
This news release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable securities regulations in Canada and the United States (collectively, "forward-looking information"). The forward-looking information contained in this news release is made as of the date of this news release. Except as required under applicable securities legislation, the Company does not intend, and does not assume any obligation, to update this forward-looking information. Forward-looking information includes, but is not limited to, anticipated effect of the additional metallurgical tests on the Project, and timing and expectations of future work programs. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "expects, "is expected", "budget", "scheduled", "estimates", forecasts", "intends", "anticipates", or "believes", or the negatives thereof or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", or "will" be taken, occur or be achieved. Any forward-looking statement speaks only as of the date on which it is made and except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement.
SOURCE Arianne Phosphate Inc.
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Contact
Source: Jean-Sébastien David, C.O.O., Tel: 418-549-7316, j.s.david@arianne-inc.com; Info: Dino Fuoco, C.F.O., Tel: 514-945-9313, dino.fuoco@arianne-inc.com; Medias: Karyna Tremblay, Community Relations Coordinator, Tel.: 418-549-7316, karyna.tremblay@arianne-inc.com