DuSolo Announces Fiscal 2015 Year End Financial Results and Provides Business Update
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan 29, 2016) - DuSolo Fertilizers Inc., (TSX VENTURE:DSF) ("DuSolo" or "the Company") is pleased to announce its year end production, sales and financial results for fiscal 2015.
For the fiscal year ended September 30, 2015, DuSolo produced 35,451 tonnes of Direct Application Natural Fertilizer ("DANF") product of varying grades. This was the first year that DuSolo produced DANF product of varying grades.
During fiscal year ended September 30, 2015, the Company sold 12,289 tonnes of DANF product of varying grades. This was the first year that DuSolo sold DANF product of varying grades.
Revenue for the fiscal year ended September 30, 2015 was $1,253,487 and gross profit for the same time period was $800,041. Comprehensive loss for the fiscal year ended September 30, 2015 was $7,459,679. This translates to a loss per common share (basic and diluted) of $0.06 for the fiscal year ended September 30, 2015.
The Company's cash position as at September 30, 2015 was $1,825,818 (including $100,021 that was restricted). Working capital as of September 30, 2015 was $955,218. For more information, please refer to the management discussion and analysis and financial statements filed on SEDAR at www.sedar.com.
"The Company is focusing on growing its Bomfim operations and optimizing its production processes to maximize the value of its projects," said Giles Baynham, Chief Executive Officer. "DuSolo continues to cut costs and will be advancing its Preliminary Economic Assesment of new products in 2016."
Focused Exploration Portfolio
The Company has closely evaluated its current portfolio of exploration assets, and as a result decided to relinquinshed its claims to the Ruth Project ("Ruth") and the Samba Project ("Samba"). The relinquishment of the Ruth and Samba claims allows DuSolo to focus its efforts on the Bomfim Project ("Bomfim"), which is comprised of an open pit mine at the Santiago Target and the Bomfim Processing Plant. Exploration results at Ruth and Samba demonstrated the presence of phosphate mineralization, however compared to Bomfim and São Roque, the Ruth and Samba claims showed limited potential for development.
Renegotiation of Acquisiton Agreement with Quantam Mineracao
DuSolo has renegotiated the terms of it acquisition agreement with Quantum Mineracao Ltda ("Quantum") (see September 12, 2014 press release). The terms of the original transaction have been amended to delay certain payments until the end of January 2017. This will reduce the cash outlows for the first nine months of 2016. DuSolo will now pay Quantum BRL$3,715,000 or C$1,281,251, a 9% increase to what was previously owed (as per the January 28, 2016 exchange rate).
On behalf of DuSolo Fertilizers Inc.
Giles Baynham
Chief Executive Officer
Forward-looking statements
Certain information contained in this press release constitutes "forward-looking information", within the meaning of Canadian legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur", "be achieved" or "has the potential to". Forward looking statements contained in this press release may include statements regarding the future operating or financial performance of DuSolo which involve known and unknown risks and uncertainties which may not prove to be accurate. Actual results and outcomes may differ materially from what is expressed or forecasted in these forward-looking statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Among those factors which could cause actual results to differ materially are the following: market conditions and other risk factors listed from time to time in our reports filed with Canadian securities regulators on SEDAR at www.sedar.com. The forward-looking statements included in this press release are made as of the date of this press release and DuSolo disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation.
Neither the TSX Venture Exchange Inc. nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange Inc.) accepts responsibility for the adequacy or accuracy of this press release.
