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AGM:
Aldridge to continue Yenipazar land acquisition in 2016
2016-03-29 07:30 ET - News Release
Mr. Han Ilhan reports
ALDRIDGE REPORTS YEAR-END 2015 FINANCIAL RESULTS AND PROVIDES A CORPORATE UPDATE
Aldridge Minerals Inc. has filed its audited consolidated financial statements for the year ending Dec. 31, 2015, and the management's discussion and analysis related thereto, which are available on SEDAR and at the company's website.
Han Ilhan, president and chief executive officer, commented: "Our focus in 2015 was the advancement of the land acquisition within the fully permitted Yenipazar project fence line. Land acquisitions are always a sensitive task as their effective execution is so closely tied to maintaining a social licence to operate. Accordingly, in 2015 we continued our strategy of offering the landowners a price of 5.1 Turkish liras per square metre. As expected, some of the landowners have not yet sold their land in the hope that they will receive a higher offer price, which is a common community expectation in the mining industry.
"As a result, midway through 2015, Aldridge applied for the state-led compulsory land acquisition process and received approval from the Ministry of Natural Resources in Turkey, which determined that the development of the Yenipazar project is in the best interest of the local and national economies. This approval is intended to provide legal certainty to the company that it will be able to access required land for mine development and is based on well-established laws that have been regularly implemented in Turkey, particularly over the last 15 years during a period of significant infrastructure development in Turkey.
"In January, the state initiated the legal process to complete the compulsory land acquisition process. During the legal phase of the process, the state is the plaintiff and individual landowners are the defendants. The court will determine the final price for the land taking into account the findings of a court-appointed independent expert panel. Although the state will acquire the land, Aldridge will be required by law to cover the costs of the land acquisition. In parallel with this legal process, we continue to purchase land from landowners willing to sell voluntarily. The court cases of any landowners that decide to sell voluntarily to Aldridge will be dropped by the state.
"Aldridge has completed the acquisition of private land representing approximately 34 per cent of the project total at a total cost of approximately $8,395,000 (U.S.). This total does not include an additional 13 per cent of land classified as treasury land and meadow lands. The mining laws in Turkey provides Aldridge with full access to treasury lands within our mining concession. In due course we expect the meadow lands to be reclassified as treasury land.
"As we advance towards completion of the land acquisition process, we will continue project financing discussions that have been initiated with multiple financial institutions that have expressed interest in the Yenipazar project. Aldridge is also analyzing all of the alternatives for a refinancing of the bridge loan facility with Orion Mine Finance prior to its maturity date of Aug. 29, 2016."
Strategy and outlook
The company's most important objectives of 2016 include advancing the land acquisition, refinancing the bridge loan facility as well as positioning the company to obtain project financing. The company's engineering and exploration initiatives will also continue in 2016.
Upon completion of project financing the company expects a project development period of approximately 24 months involving engineering, construction, commissioning and leading to commercial production. As a result, the company's focus in 2016 is on advancing the following initiatives already under way:
Land acquisition -- The land acquisition process (LAP) includes two components that are continuing in parallel, namely the company's voluntary purchase process and the state-led compulsory land acquisition process. As of March, 2016, 114 court cases have been opened by the state to acquire substantially all of the remaining privately held land within the Yenipazar project fence line. In accordance with land acquisition laws in Turkey, the landowners cannot object to the state-led LAP and must sell based on the final price determined by the court. There is a risk the price to be determined by the court could exceed the company's offer price, thereby increasing total land costs.
Loan facility refinancing -- The company ended 2015 with $8,520,566 (U.S.) in cash and negative working capital of $10,005,830 (U.S.). As at Dec. 31, 2015, the company had drawn down $17.5-million (U.S.) of its $35-million (U.S.) loan facility, which matures Aug. 29, 2016. Aldridge is analyzing all of the alternatives for a refinancing of the loan prior to its maturity date.
Engineering -- The company expects to start basic engineering in the second half of 2016, with continuation in 2017. Aldridge will continue to refine its basic engineering schedule and execution to ensure the focus is on critical path items while considering the variability of the timing of land acquisition and project financing. Basic engineering, detailed engineering, equipment procurement, construction and commissioning will be executed in compliance with project financing requirements.
Exploration -- Given the promising results of the exploration program completed in May, 2015, the company is in the process of finalizing plans to investigate the additional potential within its licence area immediately adjacent to the existing orebody and other areas within the 100-square-kilometre Yenipazar licence area, where encouraging ground survey results, geophysical and geochemical anomalies, and outcrops indicate potential for further upside.
Project financing -- The company will actively consider various project financing alternatives, which may include senior and subordinated debt, equity, metal streams, and strategic investments. The timing of progress toward completion of the land acquisition process is anticipated to affect the timing of further project evaluation by prospective financing organizations. Consequently, the company plans to increase its project financing efforts later in 2016 as the land acquisition process continues. The timing of the project financing will likely be affected by general market conditions.
Selected financial information
The table provides selected consolidated financial information that should be read in conjunction with the 2015 financials.
SELECTED FINANCIAL INFORMATION
(In U.S. dollars)
Year ended and as at Dec. 31,
2015 2014
(Loss) before income tax and
discontinued operations $(5,279,998) $(3,191,177)
Net (loss) (5,279,998) (3,191,177)
Net (loss) per share (0.05) (0.04)
Cash and cash equivalents 8,520,566 14,331,409
Working capital (10,005,830) 14,103,639
Total assets 30,814,033 25,829,329
Total non-current financial liabilities 126,974 8,445,579
We seek Safe Harbor.
http://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aAGM-2357516&symbol=AGM®ion=C
Letzte Präsentation:
http://s1.q4cdn.com/788688556/files/Aldridge-Presentation-March-2016_PDAC.pdf
AGM:
Aldridge to continue Yenipazar land acquisition in 2016
2016-03-29 07:30 ET - News Release
Mr. Han Ilhan reports
ALDRIDGE REPORTS YEAR-END 2015 FINANCIAL RESULTS AND PROVIDES A CORPORATE UPDATE
Aldridge Minerals Inc. has filed its audited consolidated financial statements for the year ending Dec. 31, 2015, and the management's discussion and analysis related thereto, which are available on SEDAR and at the company's website.
Han Ilhan, president and chief executive officer, commented: "Our focus in 2015 was the advancement of the land acquisition within the fully permitted Yenipazar project fence line. Land acquisitions are always a sensitive task as their effective execution is so closely tied to maintaining a social licence to operate. Accordingly, in 2015 we continued our strategy of offering the landowners a price of 5.1 Turkish liras per square metre. As expected, some of the landowners have not yet sold their land in the hope that they will receive a higher offer price, which is a common community expectation in the mining industry.
"As a result, midway through 2015, Aldridge applied for the state-led compulsory land acquisition process and received approval from the Ministry of Natural Resources in Turkey, which determined that the development of the Yenipazar project is in the best interest of the local and national economies. This approval is intended to provide legal certainty to the company that it will be able to access required land for mine development and is based on well-established laws that have been regularly implemented in Turkey, particularly over the last 15 years during a period of significant infrastructure development in Turkey.
"In January, the state initiated the legal process to complete the compulsory land acquisition process. During the legal phase of the process, the state is the plaintiff and individual landowners are the defendants. The court will determine the final price for the land taking into account the findings of a court-appointed independent expert panel. Although the state will acquire the land, Aldridge will be required by law to cover the costs of the land acquisition. In parallel with this legal process, we continue to purchase land from landowners willing to sell voluntarily. The court cases of any landowners that decide to sell voluntarily to Aldridge will be dropped by the state.
"Aldridge has completed the acquisition of private land representing approximately 34 per cent of the project total at a total cost of approximately $8,395,000 (U.S.). This total does not include an additional 13 per cent of land classified as treasury land and meadow lands. The mining laws in Turkey provides Aldridge with full access to treasury lands within our mining concession. In due course we expect the meadow lands to be reclassified as treasury land.
"As we advance towards completion of the land acquisition process, we will continue project financing discussions that have been initiated with multiple financial institutions that have expressed interest in the Yenipazar project. Aldridge is also analyzing all of the alternatives for a refinancing of the bridge loan facility with Orion Mine Finance prior to its maturity date of Aug. 29, 2016."
Strategy and outlook
The company's most important objectives of 2016 include advancing the land acquisition, refinancing the bridge loan facility as well as positioning the company to obtain project financing. The company's engineering and exploration initiatives will also continue in 2016.
Upon completion of project financing the company expects a project development period of approximately 24 months involving engineering, construction, commissioning and leading to commercial production. As a result, the company's focus in 2016 is on advancing the following initiatives already under way:
Land acquisition -- The land acquisition process (LAP) includes two components that are continuing in parallel, namely the company's voluntary purchase process and the state-led compulsory land acquisition process. As of March, 2016, 114 court cases have been opened by the state to acquire substantially all of the remaining privately held land within the Yenipazar project fence line. In accordance with land acquisition laws in Turkey, the landowners cannot object to the state-led LAP and must sell based on the final price determined by the court. There is a risk the price to be determined by the court could exceed the company's offer price, thereby increasing total land costs.
Loan facility refinancing -- The company ended 2015 with $8,520,566 (U.S.) in cash and negative working capital of $10,005,830 (U.S.). As at Dec. 31, 2015, the company had drawn down $17.5-million (U.S.) of its $35-million (U.S.) loan facility, which matures Aug. 29, 2016. Aldridge is analyzing all of the alternatives for a refinancing of the loan prior to its maturity date.
Engineering -- The company expects to start basic engineering in the second half of 2016, with continuation in 2017. Aldridge will continue to refine its basic engineering schedule and execution to ensure the focus is on critical path items while considering the variability of the timing of land acquisition and project financing. Basic engineering, detailed engineering, equipment procurement, construction and commissioning will be executed in compliance with project financing requirements.
Exploration -- Given the promising results of the exploration program completed in May, 2015, the company is in the process of finalizing plans to investigate the additional potential within its licence area immediately adjacent to the existing orebody and other areas within the 100-square-kilometre Yenipazar licence area, where encouraging ground survey results, geophysical and geochemical anomalies, and outcrops indicate potential for further upside.
Project financing -- The company will actively consider various project financing alternatives, which may include senior and subordinated debt, equity, metal streams, and strategic investments. The timing of progress toward completion of the land acquisition process is anticipated to affect the timing of further project evaluation by prospective financing organizations. Consequently, the company plans to increase its project financing efforts later in 2016 as the land acquisition process continues. The timing of the project financing will likely be affected by general market conditions.
Selected financial information
The table provides selected consolidated financial information that should be read in conjunction with the 2015 financials.
SELECTED FINANCIAL INFORMATION
(In U.S. dollars)
Year ended and as at Dec. 31,
2015 2014
(Loss) before income tax and
discontinued operations $(5,279,998) $(3,191,177)
Net (loss) (5,279,998) (3,191,177)
Net (loss) per share (0.05) (0.04)
Cash and cash equivalents 8,520,566 14,331,409
Working capital (10,005,830) 14,103,639
Total assets 30,814,033 25,829,329
Total non-current financial liabilities 126,974 8,445,579
We seek Safe Harbor.
http://www.stockwatch.com/News/Item.aspx?bid=Z-C%3aAGM-2357516&symbol=AGM®ion=C
Letzte Präsentation:
http://s1.q4cdn.com/788688556/files/Aldridge-Presentation-March-2016_PDAC.pdf