TORONTO, ONTARIO–(Marketwired – March 14, 2016) –
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
Silvermet Inc. (“Silvermet” or the “Company”) (TSX VENTURE:SYI) announced today it has received approval from the Toronto Venture Exchange to renew its Normal Course Issuer Bid (“NCIB”) for a further twelve (12) month term.
Under the current NCIB (March 15, 2015 – March 14, 2016), the Company purchased and cancelled a total of 1,600,000 common shares through the close of trading March 9, 2016 at an average price of $0.022 per common share.
The Company is authorized to purchase up to 9,699,338 common shares which number of common shares is equal to 10% of the Company’s public float as of the date hereof, during the twelve (12) month period March 15, 2016 – March 14, 2015 through D&D Securities Inc. Silvermet is of the opinion that the current market price of its common shares does not reflect fair value and as such purchases made under the NCIB represent good value to Silvermet and its shareholders.
Silvermet’s major investment is a 49% interest in a joint venture, Befesa Silvermet Turkey S.L. (“BST”), which operates a Waelz kiln facility (“Kiln”) located in Iskenderun, Turkey. BST acquires electric arc furnace dust (“EAFD”) from steel mills and recycles the EAFD to produce a high grade oxide zinc concentrate which is sold to zinc smelters throughout the world. BST has secured a US$20 million loan facility from the European Bank for Reconstruction and Development (“EBRD”) to fund an expansion and modernization of its Turkish operations. BST holds approximately US$6 million cash, $5 million of which will be invested alongside the EBRD loan facility to fund the total US$25 million cost of the expansion and modernization. BST plans to proceed with the expansion and modernization of its Turkish operations upon improvement in steel market conditions. The EBRD facility may be drawn down at BST’s option, any time through December 17, 2016.
Shares Outstanding: 142,104,216
“Neither the 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.”
Caution concerning forward-looking statements: The information in this release may contain forward-looking information under applicable securities laws. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those implied by the forward-looking information. Factors that may cause actual results to vary include, but are not limited to, inaccurate assumptions concerning the exploration for and development of mineral deposits, political instability, currency fluctuations, unanticipated operational or technical difficulties, changes in laws or regulations, the risks of obtaining necessary licenses and permits, changes in general economic conditions or conditions in the financial markets and the inability to raise additional financing. Readers are cautioned not to place undue reliance on this forward-looking information. The Company does not assume the obligation to revise or update his forward-looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events except as may be required under applicable securities laws.