El Capitan Precious Metals Announces New and Expanded Partnership with Logistica US Terminals to Sell Precious Metals Concentrates
![El Capitan Precious Metals Announces New and Expanded Partnership with Logistica US Terminals to Sell Precious Metals Concentrates](https://www.goldseiten.de/media/goldseiten-news.jpg)
El Capitan Precious Metals Inc. (OTCQB: ECPN) announced today that it has enhanced its relationship with Logistica US through a new agreement under which El Capitan will provide to Logistica concentrated ore to their specifications at the mine site. Logistica will transport, process, and refine the precious metals concentrates to sell to precious metals buyers. This agreement is in addition to and complements the previously announced agreement for the sale of iron ore for use in construction.
According to El Capitan Board Chairman John F. Stapleton, the terms of both the iron ore agreement and the precious metals concentrates agreement eliminate El Capitan’s involvement in the issues of trucking, ocean shipping, refining, and the issues related to international permits, thus allowing El Capitan to focus on mining and basic separation, processing of ore, and remediation.
Although market conditions for precious metals and weather-related issues will always impact sale prices and schedules, the Company anticipates that a more robust relationship with a U.S. company will eliminate many of these issues that have hampered the Company’s progress related to the sale of El Capitan ore. The terms of the new agreement provide for the recovery of hard costs by both parties prior to the distribution of profits. The Company expects to begin to realize initial revenues from the iron ore sales in this quarter ending March 31, and from precious metals concentrates by the following calendar quarter ending June 30, of this year.
The new agreement, just executed, calls for El Capitan to process and separate the precious metals concentrates using the Company’s AuraSource system at the mine site. Logistica will take possession of the separated concentrates at the site and deliver them to a smelter for final processing. The AuraSource heavy metals separation system, purchased by the Company in April of 2014, is a state-of-the-art technology that separates hematite and magnetite from other ore elements.
Stapleton stated, “Logistica has proven to be a reliable and valuable partner and we are pleased to have the opportunity to expand and strengthen our relationship with a company that is a leader in its field and complements our needs so completely.”
Logistica US Terminals, a Texas-based Limited Liability Company and member of the LIT Group network, specializes in handling large-scale intermodal and multimodal shipping assignments via its international logistics and transloading network.
The Company’s contract mining manager stated, “The new agreement between the two entities is the result of a very good match between the needs of El Capitan as a mine operator and the capabilities of Logistica. We have found we work well together and expanding our working relationship is a logical next step.”
Under its existing permits, El Capitan will commence sales this month, to the extent that weather permits. The plan calls for the rate and size of shipments to increase over the next several months.
According to ECPN President and CEO Chuck Mottley, this agreement supports the Company’s plan to focus on efficient mining operations that will deliver ever-increasing quantities of both iron and precious-metal concentrates for sale on the open market.
About El Capitan Precious Metals, Inc.:
El Capitan Precious Metals Inc. is a mining company based in Scottsdale, Arizona that is principally engaged in the mining of precious metals and other minerals. The Company’s primary asset is its wholly owned subsidiary El Capitan, Ltd., an Arizona corporation, which holds the 100% equity interest in the El Capitan property located near Capitan, New Mexico. www.elcapitanpmi.com
About Logistica US Terminals LLC:
Logistica US Terminals, LLC is a Texas Limited Liability Company and member of LIT Group network that handles multiple large scale intermodal and multimodal shipping assignments via its logistics and all transloading network in Mexico and USA, infrastructure as rail lines, warehousing, diversified truck fleet, 3PL services, NVOCC services, packing, material handling, loading, unloading services and bonded services. Logistica US has developed strategic alliances with U.S. and foreign companies to develop turnkey logistical solutions for international transportation and supply chain management. www.youtube.com/watch?v=PDE4n9V3J8o
Forward-Looking Safe Harbor Statement:
The statements included in this press release concerning predictions of economic performance and management’s plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Forward-looking statements are statements that are not historical facts. Words such as “expect(s),” “feel(s),” “believe(s),” “will,” “may,” “anticipate(s)” and similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to, statements regarding the expected completion, timing and results of metallurgical testing, interpretation of drill results, the geology, grade and continuity of mineral deposits, results of initial feasibility, pre-feasibility and feasibility studies and expectations with respect to the engaging in strategic transactions. All of such statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond the control of the Company, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. Specifically, there can be no assurance regarding the timing and terms of any transaction involving the Company or its El Capitan property, or that such a transaction will be completed at all. In addition, there can be no assurance that periodic updates to the Company’s geological technical reports will support the Company’s prior claims regarding the metallurgical value and make-up of the ore on the New Mexico property. Additional risks and uncertainties affecting the Company include, but are not limited to, the possibility that future exploration, development, testing or mining results will not be consistent with past results and/or the Company’s expectations; discrepancies between different types of testing methods, some or all of which may not be industry standard; the ability to mine precious and other minerals on a cost effective basis; the Company’s ability to successfully complete contracts for the sale of its products; fluctuations in world market prices for the Company’s products; the Company’s ability to obtain and maintain regulatory approvals; the Company’s ability to obtain financing for continued operations and/or the commencement of mining activities on satisfactory terms; the Company’s ability to enter into and meet all the conditions to consummate contracts to sell its mining properties that it chooses to list for sale; and other risks and uncertainties described in the Company’s filings from time to time with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof, and we do not undertake any obligation to revise and disseminate forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of or non-occurrence of any events.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160122005229/en/
Contact
El Capitan Precious Metals Inc.
John F. Stapleton, 480-440-1449