VANCOUVER, March 1, 2018 /PRNewswire/ - Northern Vertex Mining Corp. (NEE.V) (OTC Nasdaq Intl.: NHVCF) (the "Company") announces that the Company's unaudited interim consolidated financial results for the second fiscal quarter 2018 ended December 31, 2017 have been filed on SEDAR. The full version of the Condensed Interim Consolidated Financial Statements and Management's Discussion & Analysis can be viewed on the Company's website at www.northernvertex.com or under the Company's profile on SEDAR at www.sedar.com.
Financial Highlights for the Quarter and Six Months Ended December 31, 2017
- Cash was $22.20 million at December 31, 2017, compared to $24.99 million at June 30, 2017. The decrease was due to cash used for the construction of the Moss Mine, offset by the receipt of cash proceeds from the various financings.
- Loss for the quarter was $0.80 million ($0.00 per share) compared to a loss of $0.89 million ($0.01 per share) for the same period last year.
- Loss for the six months was $3.35 million ($0.02 per share) compared to a loss of $1.81 million ($0.02 per share) for the same period last year.
- The Company received the fourth and final tranche in the amount of US$5 million from Sprott Private Resource Lending (Collector), LP under its senior secured credit facility. The US$20 million Sprott facility is now fully drawn.
- The Company received funding under a definitive Master Lease Agreement with Caterpillar Financial Services Corporation to fund the Company's purchase of diesel generators, the crushing plant and various mobile equipment.
- Construction costs for the six months relating to equipment purchases, site earthworks and facility construction were $41.55 million and development and exploration costs incurred on the Moss Mine and Silver Creek Projects during the six months were $0.73 million.
Corporate and Operating Highlights for the Quarter Ended December 31, 2017
- The crushing plant was mechanically completed which included the installation of the 4 crushing units, three rock boxes, 14 conveyors and the agglomeration circuit. The remaining electrical work was also nearing completion.
- The leach pad was substantially completed and was ready to receive ore upon the commencement of crushing and agglomeration operations in the third quarter of fiscal 2018 (ie. the first calendar quarter of 2018).
- The mechanical and electrical components for agglomerated ore transport and stacking are onsite and have been assembled. The radial stacker and grasshoppers were positioned ready to commence ore stacking.
- The Merrill Crowe plant and refinery were nearing mechanical completion and the electrical work is progressing well which includes the programable logic controllers wiring.
- An NI 43-101 Preliminary Economic Analysis was released of the technical and economic viability of expanding the Moss Mine to include resources that could be accessed by a future expansion of operations onto the Company's adjacent unpatented mining claims.
- The Company entered into a definitive agreement in respect of an unsecured subordinated non-revolving loan Working Capital Facility in the amount of US$6 million. Subsequent to December 31, 2017, the Company drew an initial advance of US$3 million which was evidenced by way of a convertible debenture and, in addition, provided notice of its intention to draw the remaining balance of US$3 million.
The Company also reports that it has accelerated the issuance of common shares under its previously announced agreement with La Cuesta International Inc. ("La Cuesta") (see Company's news release dated October 16, 2017). A total of 200,000 common shares will be issued, valued at the closing price of the common shares of the Company at the date of the agreement being $0.65 per share. The common shares are issuable for exploration services provided by La Cuesta including access to La Cuesta's Proprietary Resource Data Bank of the Oatman District and are subject to TSX Venture Exchange approval.
About Northern Vertex:
Northern Vertex Mining Corp. is an exploration and mining company focused on the reactivation of its 100% owned Moss Mine Gold/Silver Project located in NW Arizona, USA. The Company's management comprises an experienced management team with a strong background in all aspects of acquisition, exploration, development, operations and financing of mining projects worldwide. The Company is focused on working effectively and respectfully with our stakeholders in the vicinity of the historical Moss Mine and enhancing the capacity of the local communities in the area.
ON BEHALF OF THE BOARD OF NORTHERN VERTEX
"Kenneth Berry "
President & CEO
Click the following link to view: https://northernvertex.com/projects/photo-gallery/
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.
This news release contains statements about our future business and planned activities. These are "forward-looking" because we have used what we know and expect today to make a statement about the future. Forward-looking statements including but are not limited to comments regarding the timing and content of upcoming work and analyses. Forward-looking statements usually include words such as scheduled, may, intend, plan, expect, anticipate, believe or other similar words. Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by the Company as of the date of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Many factors, known and unknown, could cause actual results to be materially different from those expressed or implied by such forward-looking statements. We believe the expectations reflected in these forward-looking statements are reasonable. However, actual events and results could be substantially different because of the risks and uncertainties associated with our business or events that happen after the date of this news release. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date made. To the best of management's knowledge, Northern Vertex is the next publicly traded company to initiate gold and silver production scheduled for Q1 2018 in the USA. As a general policy, we do not update forward-looking statements except as required by securities laws and regulations. US investors should be aware that mining terminology used for Canadian mineral project reporting purposes differs significantly from US terminology.