First quarter 2013 results filed
Issued Capital: 121,276,976
LONDON, ON, May 6, 2013 /CNW/ - Fortune Minerals Limited
(TSX: FT) (OTCQX: FTMDF) ("Fortune Minerals" or the
"Company") reports that its consolidated
financial statements and management's discussion and analysis
of
financial condition and results of operations for the period
ended
March 31, 2013 have been filed and
are available on SEDAR (www.sedar.com) or through the Company's web
site (www.fortuneminerals.com).
Fortune has two advanced development assets: the Arctos
Anthracite
Project in northwest British
Columbia ("BC"); and the NICO
Gold-Cobalt-Bismuth-Copper Project in the Northwest Territories ("NT"),
which will also include a proposed refinery to process concentrates
to
high value products. Both projects have been assessed in
positive
detailed feasibility studies, and their development risk mitigated
from
extensive work including test mining and pilot plant processing.
Both
projects are progressing through environmental assessments.
The following is reproduced from the Company's Annual Review
and
President's letter to shareholders forming part of the materials to
be
provided to shareholders in connection with the Company's
annual
meeting scheduled for June 25,
2013:
The past two and a half years have seen a sustained bear market for
the
resource industry that has eroded share prices for many companies.
We,
however, remain committed to our view that the Earth's inventory
of
readily accessible mineral deposits is in decline and companies
with
high quality assets will benefit from the increasing demand for
commodities when confidence returns to our sector in the
capital
markets.
Over the past two years, Fortune Minerals has carefully managed its
cash
resources while successfully advancing its Arctos and NICO
projects
through detailed feasibility studies and the environmental
assessment
process. The 2012 Front-End Engineering and Design study completed
for
NICO demonstrated a positive rate of return for the development
with a
significant increase to the mineral reserves to 33 million
tonnes,
including a 20% increase in the gold content to 1.1 million
ounces.
With a positive recommendation for approval received recently from
the
Mackenzie Valley Review Board, the NICO project will be ready
for
construction upon receipt of the final permits and requisite
project
financing. Similarly, the updated Arctos feasibility study
indicates
robust economics with increased run-of-mine coal reserves of
125
million tonnes within a much larger underexplored historical
resource.
Based on the revised project description, the Arctos project is
actively conducting environmental work to support the EA
process.
Concurrent with advancing the operational side of our two
development
assets, Fortune Minerals has been pursuing a project financing
strategy
based on forming joint ventures with strategic partners and
building on
the successful first stage partnership we have with POSCO for
our
Arctos project. The current state of the capital markets only
reinforces our view that this is the correct approach. The Company
has
been working with Deloitte & Touche Corporate Finance Canada,
our
financial advisor, to leverage its significant global platform
and
build important relationships with potential partners, particularly
in
Asia. Fortune Minerals is
advancing discussions with prospective
partners and is committed to successfully completing the
plan.
I am very proud of the team we have assembled over the years at
Fortune
Minerals. We continue to build our capacity with the addition of
key
people needed to properly execute our plan, including the
appointment
of Mike Romaniuk as Vice President
of Operations and Chief Operating
Officer. Mike's expertise, gained from more than two decades
with
Xstrata Nickel and Falconbridge,
includes managing complex mining
projects through the various stages of development and operations
and
makes him a timely addition to lead the development of our NICO
and
Arctos projects.
Fortune Minerals recognizes the importance of sustainable
development
that balances economic opportunity with environmental stewardship
and
the social license to operate. Significant effort is being made
to
engage with communities and regulators to mitigate potential
impacts
from our developments and benefit First Nations and stakeholders.
The
Company's efforts are recognized by the Canadian Council for
Aboriginal
Business through our participation in the Progressive
Aboriginal
Relations program at the Committed Level. This "PAR" program is
the
first and only corporate responsibility assurance program in the
world
with an emphasis on aboriginal relations.
Fortune Minerals has the assets, the people and the plan to
transition
through construction and realize our goal of becoming a
diversified
Canadian producer of metallurgical coal, gold and specialty metals
to
service a world economy that needs access to raw materials.
Robin E. Goad, President and
CEO
About Fortune Minerals:
Fortune Minerals is a diversified resource company with several
mineral
deposits and a number of exploration projects, all located in
Canada.
The Company is focused on the development of the Arctos
Anthracite
Project in British Columbia and
the NICO gold-cobalt-bismuth-copper
deposit in the Northwest
Territories ("NT"). As part of the
development of the NICO deposit, Fortune Minerals is developing
the
Saskatchewan Metals Processing Plant ("SMPP") in Saskatchewan to
process NICO concentrates to high value metal products. In
addition,
the Company owns the Sue-Dianne copper-silver-gold deposit and
other
exploration projects in the NT. Fortune Minerals is focused on
outstanding performance and growth of shareholder value through
assembly and development of high quality mineral resource
projects.
The disclosure of scientific and technical information contained in
this
press release has been approved by Robin Goad, M.Sc., P.Geo.,
President
and Chief Executive Officer of the Company, who is a "qualified
person"
under National Instrument 43-101.
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This discussion contains certain forward-looking information.
This
forward-looking information includes, or may be based upon,
estimates,
forecasts, and statements as to management's expectations with
respect
to, among other things, the size and quality of the Company's
mineral
resources, progress in development of mineral properties,
securing of
strategic investors for the Company's mineral projects, demand
and
market outlook for metals and coal and future metal and coal
prices.
Forward-looking information is based on the opinions and estimates
of
management at the date the information is given, and is subject to
a
variety of risks and uncertainties and other factors that could
cause
actual events or results to differ materially from those projected
in
the forward-looking information. These factors include the
inherent
risks involved in the exploration and development of mineral
properties, uncertainties with respect to the receipt or timing
of
required permits and regulatory approvals, the uncertainties
involved
in interpreting drilling results and other geological data,
fluctuating
metal and coal prices, the possibility of project cost overruns
or
unanticipated costs and expenses, uncertainties with respect to
the
Company's ability to secure strategic investors, other
uncertainties
relating to the availability and costs of financing needed in
the
future, uncertainties related to metal recoveries and other
factors.
Readers are cautioned to not place undue reliance on
forward-looking
information because it is possible that predictions, forecasts,
projections and other forms of forward-looking information will not
be
achieved by the Company. The forward-looking information
contained
herein is made as of the date hereof and the Company assumes no
responsibility to update or revise it to reflect new events or
circumstances, except as required by law.
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SOURCE Fortune Minerals Limited