Cameco (TSX:CCO)(NYSE:CCJ) today reported its consolidated financial and operating results for the fourth quarter and year ended December 31, 2016 in accordance with International Financial Reporting Standards (IFRS).

“The past year proved to be another difficult period for the uranium market,” said president and CEO, Tim Gitzel. “However, despite the uranium spot price hitting a 12-year low, the performance of our core business – uranium – was solid, and in line with our outlook.”

“Our uranium segment remained strong and drove over 90% of our 2016 gross profit, although our earnings reflect the consequences of a weak uranium market and our resolve to take the necessary steps to strengthen our core business. While we expect those steps to benefit our performance over time, they involved up-front costs, which impacted our results. In the current market environment, it can be difficult to see beyond the weakness that has persisted for almost six years. However, as we look to the future, we see continued growth in reactor construction and, consequently, increasing uranium demand. We believe that with our focus on value and our tier-one assets, we are well positioned to seize that demand.”

Summary of 2016 results and developments:

  • Net loss of $62 million largely due to impairment charges of $362 million; adjusted net earnings $143 million: Strategic changes and market weakness impacted our 2016 financial results:
    • We recognized an impairment charge for the full carrying value of Rabbit Lake ($124 million -second quarter) and the full carrying value of our interest in Kintyre ($238 million – fourth quarter).
    • We incurred costs related to the suspension of production at our Rabbit Lake operation, curtailment of production at Cameco Resources’ US ISR operations and the corresponding reduction of the workforce at these sites and at our corporate office.
  • Core uranium business continued to outperform market: We delivered on our annual outlook with an average realized price in our uranium segment that was 60% higher than the average spot price for the year.
  • Contract portfolio optimization: We continue to work with certain customers to optimize the value of our existing contract portfolio, converting their future uncertainty to present value where it was beneficial to us, resulting in the cancellation of two contracts during the third quarter for financial gains of $59 million, reflected as other income.
  • Tier-one focus: We continued to focus on lowering our costs and improving efficiency amid difficult uranium market conditions. Our 2016 cash cost per pound decreased and annual production totalled 27 million pounds-5% higher than our guidance as a result of Cigar Lake exceeding expectations.
  • 2016 JV Inkai Restructuring Agreement: We signed an agreement with our partner Kazatomprom and JV Inkai to restructure and enhance JV Inkai. Upon closing, we expect the new agreement to strengthen and extend our partnership with another global leader in uranium mining.

Also of note:

  • TEPCO contract termination: On February 1, 2017, we announced that on January 31, 2017, Tokyo Electric Power Company Holdings Inc. (TEPCO), alleging force majeure, confirmed that it would not withdraw a contract termination notice it provided to Cameco Inc. with respect to a uranium supply agreement, which affects approximately 9.3 million pounds of uranium deliveries through 2028, worth approximately $1.3 billion in revenue to Cameco.
  • Further cost reductions: On January 17, 2017, we announced planned operational changes including a 10% reduction of the workforce at the McArthur River, Key Lake and Cigar Lake operations, changes to shift rotation schedules, and changes to the commuter flight services at the sites, which are all expected to further reduce costs and improve efficiency at our uranium mining operations.
  • Changes to our disclosure: In our 2016 annual management’s discussion and analysis (MD&A) we have modified and added to the disclosure of our outlook for 2017. The intention of the changes is to help investors better understand our business and improve the alignment of expectations.
THREE MONTHS ENDED YEAR ENDED
HIGHLIGHTS DECEMBER 31 DECEMBER 31
($ MILLIONS EXCEPT WHERE INDICATED) 2016 2015 2016 2015
Revenue 887 975 2,431 2,754
Gross profit 157 282 463 697
Net earnings (loss) attributable to equity holders (144) (10) (62) 65
$ per common share (diluted) (0.36) (0.03) (0.16) 0.16
Adjusted net earnings (non-IFRS, see page 3) 90 151 143 344
$ per common share (adjusted and diluted) 0.23 0.38 0.36 0.87
Cash provided by operations (after working capital changes) 255 503 312 450

The 2016 annual financial statements have been audited; however, the 2015 fourth quarter and 2016 fourth quarter financial information presented is unaudited. You can find a copy of our 2016 annual MD&A, and our 2016 audited financial statements, on our website at cameco.com.

CHANGES IN EARNINGS
($ MILLIONS) IFRS ADJUSTED
Net earnings – 2015 65 344
Change in gross profit by segment
(we calculate gross profit by deducting from revenue the cost of products and services sold, and depreciation and amortization (D&A), net of hedging benefits)
Uranium Lower sales volume (16) (16)
Lower realized prices ($US) (129) (129)
Foreign exchange impact on realized prices 30 30
Higher costs (49) (49)
change – uranium (164) (164)
Fuel services Lower sales volume (4) (4)
Higher realized prices ($Cdn) 25 25
Higher costs (19) (19)
change – fuel services 2 2
NUKEM Gross profit (69) (71)
change – NUKEM (69) (71)
Other changes
Higher administration expenditures (20) (20)
Higher impairment charges (147)
Higher exploration expenditures (2) (2)
Rabbit Lake reclamation gain 34
Higher loss on disposal of assets (21) (21)
Lower loss on derivatives 315 19
Higher foreign exchange losses (65) (65)
Gain on customer contract settlements 59 59
Higher income tax recovery (49) 63
Other (1)
Net earnings – 2016 (62) 143

Non-IFRS measures

ADJUSTED NET EARNINGS

Adjusted net earnings is a measure that does not have a standardized meaning or a consistent basis of calculation under IFRS (non-IFRS measure). We use this measure as a more meaningful way to compare our financial performance from period to period. We believe that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate our performance. Adjusted net earnings is our net earnings attributable to equity holders, adjusted to better reflect the underlying financial performance for the reporting period. The adjusted earnings measure reflects the matching of the net benefits of our hedging program with the inflows of foreign currencies in the applicable reporting period, and is adjusted for impairment charges, NUKEM purchase price inventory recovery, Rabbit Lake reclamation provision adjustment, and income taxes on adjustments.

Adjusted net earnings is non-standard supplemental information and should not be considered in isolation or as a substitute for financial information prepared according to accounting standards. Other companies may calculate this measure differently, so you may not be able to make a direct comparison to similar measures presented by other companies.

To facilitate a better understanding of these measures, the table below reconciles adjusted net earnings with our net earnings for the years ended 2016 and 2015.

THREE MONTHS ENDED YEAR ENDED
DECEMBER 31 DECEMBER 31
($ MILLIONS) 2016 2015 2016 2015
Net loss attributable to equity holders (144 ) (10 ) (62 ) 65
Adjustments
Adjustments on derivatives 23 10 (130 ) 166
NUKEM purchase price inventory recovery (6 ) (3 )
Impairment charges 238 210 362 215
Rabbit Lake reclamation provision adjustment (28 ) (34 )
Income taxes on adjustments 1 (59 ) 13 (99 )
Adjusted net earnings 90 151 143 344

Selected segmented highlights

THREE MONTHS ENDED YEAR ENDED
DECEMBER 31 DECEMBER 31
HIGHLIGHTS 2016 2015 CHANGE 2016 2015 CHANGE
Uranium Production volume (million lbs) 7.1 9.6 (26)% 27.0 28.4 (5)%
Sales volume (million lbs)1 11.7 11.2 4% 31.5 32.4 (3)%
Average realized price ($US/lb) 38.04 46.36 (18)% 41.12 45.19 (9)%
($Cdn/lb) 50.51 61.24 (18)% 54.46 57.58 (5)%
Revenue ($ millions)1 589 687 (14)% 1,718 1,866 (8)%
Gross profit ($ millions) 143 257 (44)% 444 608 (27)%
Fuel services Production volume (million kgU) 1.9 3.4 (44)% 8.4 9.7 (13)%
Sales volume (million kgU)1 4.0 4.5 (11)% 12.7 13.6 (7)%
Average realized price ($Cdn/kgU) 26.03 21.88 19% 25.37 23.37 9%
Revenue ($ millions)1 104 99 5% 321 319 1%
Gross profit ($ millions) 19 21 (10)% 63 61 3%
NUKEM Uranium sales (million lbs)1 3.1 3.7 (16)% 7.1 10.7 (34)%
Average realized price ($Cdn/lb) 46.63 52.22 (11)% 47.90 48.82 (2)%
Revenue ($ millions)1 194 192 1% 391 554 (29)%
Gross profit (loss) ($ millions) (1) 6 (117)% (28) 42 (167)%
1 Includes sales and revenue between our uranium, fuel services and NUKEM segments. Please see our annual MD&A for more information.

Management’s discussion and analysis and financial statements

The 2016 annual MD&A and consolidated financial statements provide a detailed explanation of our operating results for the three and twelve months ended December 31, 2016, as compared to the same periods last year. This news release should be read in conjunction with these documents, as well as our most recent annual information form, all of which are available on our website at cameco.com, on SEDAR at sedar.com, and on EDGAR at sec.gov/edgar.shtml.

Caution about forward-looking information

This news release includes statements and information about our expectations for the future, which we refer to as forward-looking information. Forward-looking information is based on our current views, which can change significantly, and actual results and events may be significantly different from what we currently expect. Examples of forward-looking information in this news release include: the statements made by Cameco’s president and CEO on the first page regarding our expectation that the steps we are taking to strengthen our core business will benefit our performance over time, our expectation of continued growth in reactor construction and increasing uranium demand, and that we are well positioned to seize that demand; our expectation that the JV Inkai restructuring agreement will strengthen and extend our partnership with Kazatomprom; and our expectation that the planned operational changes we announced on January 17, 2017 will further reduce costs and improve efficiency at our uranium mining operations. Material risks that could lead to a different result include: unexpected changes in demand for uranium, our production and other costs, our mineral reserve and resource estimates, and government regulations or policies; the risk of litigation or arbitration claims against us that have an adverse outcome; the risk that our contract counterparties may not satisfy their commitments; and the risk that our cost reduction strategies are unsuccessful, or have unanticipated consequences. In presenting the forward-looking information, we have made material assumptions which may prove incorrect about: uranium demand; our costs; the accuracy of our reserve and resource estimates; the absence of new and adverse government regulations or policies; the successful outcome of any litigation or arbitration claims against us; our ability to complete contracts on the agreed-upon terms; and that our cost reduction strategies will successfully achieve their objectives. Please also review the discussion in our 2016 annual MD&A and our most recent annual information form for other material risks that could cause actual results to differ significantly from our current expectations, and other material assumptions we have made. Forward-looking information is designed to help you understand management’s current views of our near- and longer-term prospects, and it may not be appropriate for other purposes. We will not necessarily update this information unless we are required to by securities laws.

Conference call

We invite you to join our fourth quarter conference call on Friday, February 10, 2017 at 11:00 a.m. Eastern.

The call will be open to all investors and the media. To join the call, please dial (800) 319-4610 (Canada and US) or (604) 638-5340. An operator will put your call through. The slides and a live webcast of the conference call will be available from a link at cameco.com. See the link on our home page on the day of the call.

A recorded version of the proceedings will be available:

  • on our website, cameco.com, shortly after the call
  • on post view until midnight, Eastern, March 10, 2017, by calling (800) 319-6413 (Canada and US) or (604) 638-9010 (Passcode 1098)

2017 quarterly report release dates

We plan to announce our 2017 quarterly results as follows:

  • first quarter consolidated financial and operating results: before markets open on April 28, 2017
  • second quarter consolidated financial and operating results: before markets open on July 27, 2017
  • third quarter consolidated financial and operating results: before markets open on October 27, 2017

The 2018 date for the announcement of our fourth quarter and 2017 consolidated financial and operating results will be provided in our 2017 third quarter MD&A. Announcement dates are subject to change.

Profile

We are one of the world’s largest uranium producers, a significant supplier of conversion services and one of two CANDU fuel manufacturers in Canada. Our competitive position is based on our controlling ownership of the world’s largest high-grade reserves and low-cost operations. Our uranium products are used to generate clean electricity in nuclear power plants around the world. We also explore for uranium in the Americas, Australia and Asia. Our shares trade on the Toronto and New York stock exchanges. Our head office is in Saskatoon, Saskatchewan.

As used in this news release, the terms we, us, our, the Company and Cameco mean Cameco Corporation and its subsidiaries; including NUKEM Energy GmbH, unless otherwise indicated.

Investor inquiries:
Rachelle Girard
(306) 956-6403

Media inquiries:
Gord Struthers
(306) 956-6593

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The post Cameco reports fourth quarter and 2016 financial results appeared first on Investing News Network.

Kelt Exploration Ltd. (“Kelt” or the “Company”) (TSX: KEL) is pleased to report on its oil & gas reserves and production for the year ended December 31, 2016.

Kelt’s audit of its 2016 annual consolidated financial statements has not been completed and accordingly all financial amounts relating to 2016 referred to in this news release are unaudited and represent management’s estimates. Readers are advised that these financial estimates are subject to audit and may be subject to change as a result.

Summary of Results

December 31,
2016
December 31,
2015
Percent Change
Proved plus Probable Reserves
Oil and NGLs [Mbbls] 71,893 54,377 + 32%
Gas [MMcf] 733,037 576,779 + 27%
Combined [MBOE] 194,066 150,507 + 29%
Finding, Development & Acquisition (“FD&A”) costs
Proved, including future development capital (“FDC”) [$/BOE] $ 4.86 $ 21.90 – 78%
Proved plus probable, including FDC [$/BOE] $ 3.47 $ 11.36 – 69%
Estimated recycle ratio, proved plus probable reserves 2.8 x 0.7 x
Land Holdings [net acres]
Developed 208,984 208,895 0%
Undeveloped 647,770 521,413 + 24%
Total 856,754 730,308 + 17%
Production
Oil and NGLs [bbls/d] 7,779 6,698 + 16%
Gas [Mcf/d] 79,009 71,272 + 11%
Combined [BOE/d] 20,947 18,577 + 13%
Net asset value [$M] 1,825,395 1,130,117 + 62%
Net asset value per share – diluted $ 9.20 $ 6.65 + 38%

Production

Kelt achieved a record high calendar year average production in 2016. Average production for 2016 was 20,947 BOE per day, up 13% from average production of 18,577 BOE per day in 2015. Production per million shares was 121 BOE per day, up from 120 BOE per day in 2015. Production for 2016 was weighted 37% oil and NGLs and 63% gas. During the fourth quarter of 2016, gas plant outages and intermittent pipeline and facility downtime negatively impacted average production by approximately 1,900 BOE per day.

Average production for December 2016 (“2016 Exit Rate”) was 20,370 BOE per day, weighted 37% oil and NGLs and 63% gas. During the fourth quarter of 2016, Kelt drilled six wells that were uncompleted (“DUCs”) as at December 31, 2016. These DUCs are expected to be put on production in the first quarter of 2017 and therefore, production from these wells, is not included in the 2016 Exit Rate. After giving effect to the disposition of its Karr assets in January 2017, of which approximately 1,300 BOE per day of production was included in the 2016 Exit Rate, the Company is forecasting a 2017 Exit Rate of 25,000 BOE per day, up 31% from the 2016 Exit Rate, excluding disposed Karr production.

Reserves

Kelt retained Sproule Associates Limited (“Sproule”), an independent qualified reserve evaluator to prepare a report on its oil and gas reserves. The Company has a Reserves Committee which oversees the selection, qualifications and reporting procedures of the independent qualified reserves evaluator. Reserves as at December 31, 2016 and at December 31, 2015 were determined using the guidelines and definitions set out under National Instrument 51-101 (“NI 51-101”).

At December 31, 2016, Kelt’s proved plus probable reserves were 194.1 million BOE, up 29% from 150.5 million BOE at December 31, 2015. The Company’s net present value of proved plus probable reserves at December 31, 2016, discounted at 10% before tax, was $1.7 billion, an increase of 46% from $1.2 billion at December 31, 2015. This increase was achieved despite lower forecasted oil and gas prices for the majority of the future years in the December 31, 2016 evaluation (see “Commodity Prices” table below). Sproule’s forecasted commodity prices for 2017 used to determine the present value of the Company’s reserves at December 31, 2016, are USD 55.00/bbl for WTI oil and $3.26/GJ for AECO gas.

The following table outlines a summary of the Company’s reserves at December 31, 2016:

Summary of Reserves
Oil & NGLs
[Mbbls]
Gas

[MMcf]

Combined
[MBOE]
NPV10% BT
($M)
NPV10% BT ($/BOE)
Proved Developed Producing 11,915 135,318 34,468 $ 422,806 $ 12.27
Proved Developed Non-producing 578 4,890 1,393 $ 13,640 $ 9.79
Proved Undeveloped 25,435 281,384 72,332 $ 503,771 $ 6.96
Total Proved 37,928 421,592 108,193 $ 940,216 $ 8.69
Probable Additional 33,965 311,445 85,873 $ 790,474 $ 9.21
Total Proved plus Probable 71,893 733,037 194,066 $ 1,730,690 $ 8.92

Proved developed producing reserves at December 31, 2016 were 34.5 million BOE, an increase of 2% from 33.8 million BOE at December 31, 2015. Total proved reserves at December 31, 2016 were 108.2 million BOE, up 29% from 83.8 million BOE at December 31, 2015. Proved plus probable reserves at December 31, 2016 were 194.1 million BOE, an increase of 29% from 150.5 million BOE at December 31, 2015.

The following table shows the change in reserves year-over-year by reserve category:

Change in Reserves – year over year
[MBOE] December 31, 2016 December 31, 2015 Percent Change
Proved Developed Producing 34,467 33,836 + 2%
Proved Developed Non-producing 1,393 2,152 – 35%
Proved Undeveloped 72,333 47,847 + 51%
Total Proved 108,193 83,835 + 29%
Probable Additional 85,873 66,672 + 29%
Total Proved plus Probable 194,066 150,507 + 29%

Future development capital (“FDC”) expenditures of $589 million are included in the evaluation for total proved reserves and are expected to be spent as follows: $113 million in 2017, $182 million in 2018, $135 million in 2019, $136 million in 2020, and $23 million thereafter. FDC expenditures of $948 million are included in the evaluation of proved plus probable reserves and are expected to be spent as follows: $146 million in 2017, $224 million in 2018, $225 million in 2019, $231 million in 2020 and $122 million thereafter.

The following table outlines FDC expenditures and future wells to be drilled by province, included in the December 31, 2016 proved plus probable reserve evaluation:

Future Development Capital Expenditures – Proved plus Probable Reserves
December 31, 2016 December 31, 2015
FDC ($M) Net Wells FDC/well ($M) FDC ($M) Net Wells FDC/well ($M)
Alberta Montney HZ wells 260,716 49.3 5,288 276,625 41.8 6,618
B.C. Montney HZ wells 312,482 51.0 6,127 137,057 21.0 6,526
Total Montney HZ Wells 573,198 100.3 413,682 62.8
Other formations – HZ wells 347,556 76.7 4,531 444,654 64.1 6,937
Other expenditures 26,863 9,847
Total FDC Expenditures 947,617 177.0 868,183 126.9

The WTI oil price during the three years 2014 to 2016 averaged USD 61.71 per barrel. After a precipitous decline since 2014, Sproule is forecasting an average WTI oil price of USD 55.00 per barrel in 2017. Natural gas prices during the 2014 to 2016 period at AECO-C averaged $2.97 per GJ. Sproule is forecasting an average AECO-C gas price of $3.26 per GJ in 2017.

The following table outlines forecasted future prices that Sproule has used in their evaluation of the Company’s reserves:

Commodity Prices
December 31, 2016 Evaluation December 31, 2015 Evaluation
WTI Cushing Crude Oil [USD/bbl] USD/CAD Exchange
[USD]
 AECO-C Natural Gas
[$/GJ]
 WTI Cushing Crude Oil [USD/ bbl]  USD/CAD Exchange [USD]  AECO-C Natural Gas [$/GJ]
2014 (historical) 93.00 0.905 4.27 93.00 0.905 4.27
2015 (historical) 48.80 0.783 2.56 48.80 0.783 2.56
2016 (historical/ future) 43.32 – 4% 0.755 + 1% 2.07 – 3% 45.00 0.750 2.13
2017 (future) 55.00 – 8% 0.780 – 2% 3.26 + 16% 60.00 0.800 2.80
2018 (future) 65.00 – 7% 0.820 – 1% 3.10 – 4% 70.00 0.830 3.24
2019 (future) 70.00 – 12% 0.850 0% 3.05 – 18% 80.00 0.850 3.71
2020 (future) 71.40 – 12% 0.850 0% 3.71 – 7% 81.20 0.850 3.98
2021 (future) 72.83 – 12% 0.850 0% 3.79 – 7% 82.42 0.850 4.06

Note: Percent change in the above table shows the change in price used in the 2016 evaluation compared to the price used in the 2015 evaluation for the respective calendar years.

The Company’s net present value of proved plus probable reserves at December 31, 2016, discounted at 10% before tax, was $1.7 billion and the undiscounted future net cash flow, before tax, was $3.9 billion. The Company’s net present value of proved plus probable reserves, discounted at 10% after tax was $1.4 billion and the undiscounted future net cash flow, after tax, was $3.1 billion.

The following table is a net present value summary as at December 31, 2016:

Net Present Value Summary (before tax)
Undiscounted

[$M]

NPV 5%

[$M]

NPV 10%

[$M]

Proved Developed Producing 623,758 503,989 422,806
Total Proved 1,954,006 1,288,996 940,216
Total Proved plus Probable 3,908,891 2,459,498 1,730,690
Net Present Value Summary (after tax)
Proved Developed Producing 623,758 503,989 422,806
Total Proved 1,691,722 1,144,735 850,164
Total Proved plus Probable 3,122,274 1,999,636 1,424,542

During 2016, the Company’s capital expenditures, net of dispositions, resulted in proved plus probable reserve additions of 51.2 million BOE, resulting in 2P FD&A costs of $3.47 per BOE, including FDC expenditures. Proved reserve additions in 2016 were 32.0 million BOE, resulting in 1P FD&A costs of $4.86 per BOE, including FDC expenditures.

Despite a significant reduction in capital expenditures in 2016, Kelt was able to show significant reserve additions from new wells and from existing wells, which after an additional twelve months of production history, have exceeded previous type curve estimates. Estimated capital expenditures in 2016 were $98.3 million (unaudited), down 80% from $497.3 million in 2015. The Company considers the significant reduction in FD&A costs in 2016 to be a good result considering it also increased its undeveloped land acreage by 24% year-over-year by acquiring exploratory lands on two new Montney plays located at Oak/Flatrock in British Columbia and Pipestone/Wembley in Alberta.

The recycle ratio is a measure for evaluating the effectiveness of a company’s re-investment program. The ratio measures the efficiency of capital investment. It accomplishes this by comparing the operating netback per BOE to the same period’s reserve FD&A cost per BOE. Since inception, Kelt has successfully added high quality reserves at an all-in 2P FD&A cost of $11.36 per BOE. Since inception, corporate operating netbacks have averaged $14.01 per BOE, giving the Company an inception to date recycle ratio of 1.2 times. With the purchase and construction of facilities and infrastructure in 2015 and 2016, along with land and asset acquisitions during both years, Kelt has positioned itself to achieve further efficiencies in production additions and finding and development costs over the upcoming years, as it transitions to development/pad drilling.

Kelt’s 2016 capital investment program resulted in net reserve additions that replaced 2016 production by a factor of 4.2 times on a proved basis and 6.7 times on a proved plus probable basis.

The following table provides detailed calculations relating to FD&A costs for 2016 and 2015:

Year ended
December 31, 2016
Year ended
December 31, 2015
Inception to
December 31, 2016
1P Reserves
Capital expenditures [$000’s] (2016 unaudited) 98,268 497,273 1,490,545
Change in FDC costs required to develop reserves [$000’s] 57,241 148,500 588,541
Total capital costs [$000’s] 155,509 645,773 2,079,086
Reserve additions, net [MBOE] 32,010 29,489 128,699
FD&A cost, including FDC [$/BOE] 4.86 21.90 16.15
Operating netback [$/BOE] (2016 unaudited) 9.87 10.09 14.01
Recycle ratio – proved 2.0 x 0.5 x 0.9 x
2P Reserves
Capital expenditures [$000’s] (2016 unaudited) 98,268 497,273 1,490,545
Change in FDC costs required to develop reserves [$000’s] 79,416 362,900 947,616
Total capital costs [$000’s] 177,684 860,173 2,438,161
Reserve additions, net [MBOE] 51,211 58,150 214,572
FD&A cost, including FDC [$/BOE] 3.47 14.79 11.36
Operating netback [$/BOE] (2016 unaudited) 9.87 10.09 14.01
Recycle ratio – proved plus probable 2.8 x 0.7 x 1.2 x

Reserves Reconciliation

During 2016, 12.5 million BOE of proved plus probable reserves (8.1 million BOE of proved reserves) were added through positive technical revisions, primarily as a result of better well performance in both of Kelt’s core Montney prospects in British Columbia and Alberta.

A reconciliation of Kelt’s proved plus probable reserves is provided in the table below:

Proved Plus Probable Reserves
Oil & NGLs
[Mbbls]
Gas
[MMcf]
Combined
[MBOE]
Balance, December 31, 2015 54,377 576,779 150,507
Extensions 12,839 149,769 37,801
Infill drilling 1,360 6,470 2,438
Technical revisions 6,682 34,649 12,457
Acquisitions 833 3,851 1,475
Dispositions (139) (239) (178)
Economic factors (1,212) (9,414) (2,782)
Net additions 20,363 185,086 51,211
Less: 2016 Production [1] (2,847) (28,828) (7,652)
Balance, December 31, 2016 [2] 71,893 733,037 194,066

[1] Sulphur production of 8,935 Lt (15 MBOE) has been excluded in the above table.
[2] Sulphur reserves of 1,990 MLt (3,317 MBOE) have been excluded in the above table.

A reconciliation of Kelt’s proved reserves is provided in the table below:

Proved Reserves
Oil & NGLs
[Mbbls]
Gas
[MMcf]
Combined
[MBOE]
Balance, December 31, 2015 29,264 327,423 83,835
Extensions 6,629 88,308 21,347
Infill drilling 1,599 10,578 3,362
Technical revisions 3,420 27,931 8,075
Acquisitions 670 3,092 1,185
Dispositions (102) (178) (132)
Economic factors (705) (6,734) (1,827)
Net additions 11,511 122,997 32,010
Less: 2016 Production [1] (2,847) (28,828) (7,652)
Balance, December 31, 2016 [2] 37,928 421,592 108,193

[1] Sulphur production of 8,935 Lt (15 MBOE) has been excluded in the above table.
[2] Sulphur reserves of 1,048 MLt (1,747 MBOE) have been excluded in the above table.

Net Asset Value

Kelt’s net asset value at December 31, 2016 was $9.03 per share, up 36% from the previous year. Details of the calculation are shown in the table below:

Net Asset Value Per Share
As at December 31, 2016 [$M] As at December 31, 2015 [$M]
P&NG reserves, NPV10% BT 1,730,690 1,185,240
Decommissioning obligations, NPV10% BT [unaudited] [1] (9,462) (13,047)
Undeveloped land 212,528 168,674
Bank debt, net of working capital [unaudited] (138,044) (211,461)
Proceeds from exercise of stock options [2] 29,683 0
Net asset value 1,825,395 1,129,406
Diluted common shares outstanding (000’s) [2] 198,504 169,872
Net asset value per share ($/share) 9.20 6.65

[1] The net present value of decommissioning obligations included above is incremental to the amount included in the present value of P&NG reserves as evaluated by Sproule.
[2] The calculation of proceeds from exercise of stock options and the diluted number of common shares outstanding only include stock options that are “in-the-money” based on the closing price of KEL of $6.77 and $4.24 per common share respectively, as at December 31, 2016 and 2015. There were no “in-the-money” stock options at December 31, 2015.
[3] The 5% convertible debentures that mature on May 31, 2021 are convertible to common shares at $5.50 per share. At the December 31, 2016 closing price of $6.77, the convertible debentures are “in-the-money” and 16.4 million shares issuable upon conversion are included in diluted common shares outstanding.

Changes in forecasted commodity prices and variances in production estimates can have a significant impact on estimated funds from operations and profit. Please refer to the cautionary statement on forward-looking statements and information set out below.

Advisory Regarding Forward-Looking Statements

This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words “expect”, “anticipate”, “continue”, “estimate”, “objective”, “ongoing”, “may”, “will”, “project”, “should”, “believe”, “plans”, “intends” and similar expressions are intended to identify forward-looking information or statements. In particular, this press release contains forward-looking statements pertaining to the following: the forecasted 2017 Exit Rate for production; and forecasted future commodity prices used by Sproule in their evaluation. Statements relating to “reserves” or “resources” are deemed to be forward looking statements, as they involve the implied assessment, based on certain estimates and assumptions, that the reserves described exist in the quantities predicted or estimated and that the reserves can be profitably produced in the future.

Although Kelt believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Kelt cannot give any assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses; failure to obtain necessary regulatory approvals for planned operations; health, safety and environmental risks; uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures; volatility of commodity prices, currency exchange rate fluctuations; imprecision of reserve estimates; and competition from other explorers) as well as general economic conditions, stock market volatility; and the ability to access sufficient capital. We caution that the foregoing list of risks and uncertainties is not exhaustive.

In addition, the reader is cautioned that historical results are not necessarily indicative of future performance. The forward-looking statements contained herein are made as of the date hereof and the Company does not intend, and does not assume any obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise unless expressly required by applicable securities laws.

Certain information set out herein is “financial outlook” within the meaning of applicable securities laws. The purpose of this financial outlook is to provide readers with disclosure regarding Kelt’s reasonable expectations as to the anticipated results of its proposed business activities. Readers are cautioned that this financial outlook may not be appropriate for other purposes.

Non-GAAP Measures

This document contains certain financial measures, as described below, which do not have standardized meanings prescribed by GAAP. As these measures are commonly used in the oil and gas industry, the Company believes that their inclusion is useful to investors. The reader is cautioned that these amounts may not be directly comparable to measures for other companies where similar terminology is used.

“Operating income” is calculated by deducting royalties, production expenses and transportation expenses from oil and gas revenue, after realized gains or losses on associated financial instruments. The Company refers to operating income expressed per unit of production as an “Operating netback”. “Funds from operations” is calculated by adding back transaction costs associated with acquisitions and dispositions, provisions for potential credit losses, settlement of decommissioning obligations and the change in non-cash operating working capital to cash provided by operating activities. Funds from operations per common share is calculated on a consistent basis with profit (loss) per common share, using basic and diluted weighted average common shares as determined in accordance with GAAP. Funds from operations and operating income or netbacks are used by Kelt as key measures of performance and are not intended to represent operating profits nor should they be viewed as an alternative to cash provided by operating activities, profit or other measures of financial performance calculated in accordance with GAAP.

“Production per common share” is calculated by dividing total production by the basic weighted average number of common shares outstanding, as determined in accordance with GAAP.

“Finding, development and acquisition” or “FD&A” cost is the sum of capital expenditures incurred in the period and the change in future development capital required to develop reserves. FD&A cost per BOE is determined by dividing current period net reserve additions into the corresponding period’s FD&A cost. Readers are cautioned that the aggregate of capital expenditures incurred in the year, comprised of exploration and development costs and acquisition costs, and the change in estimated FDC generally will not reflect total FD&A costs related to reserves additions in the year.

“Recycle ratio” is a measure for evaluating the effectiveness of a company’s re-investment program. The ratio measures the efficiency of capital investment by comparing the operating netback per BOE to FD&A cost per BOE.

“Net asset value per share” is calculated by adding the net present value of P&NG reserves, undeveloped land value and proceeds from exercise of stock options, less the net present value of decommissioning obligations and bank debt, net of working capital, and dividing by the diluted number of common shares outstanding. The calculation of proceeds from exercise of stock options and the diluted number of common shares outstanding only include stock options that are “in-the-money” based on the closing price of KEL common shares as at the calculation date. The diluted number of common shares outstanding includes common shares to be issuable upon conversion of the convertible debentures that are “in-the-money” based on the closing price of KEL common shares as at the calculation date.

Measurements and Abbreviations

All dollar amounts are referenced in thousands of Canadian dollars, except when noted otherwise. This MD&A contains various references to the abbreviation BOE which means barrels of oil equivalent. Where amounts are expressed on a BOE basis, natural gas volumes have been converted to oil equivalence at six thousand cubic feet per barrel and sulphur volumes have been converted to oil equivalence at 0.6 long tons per barrel. The term BOE may be misleading, particularly if used in isolation. A BOE conversion ratio of six thousand cubic feet per barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead and is significantly different than the value ratio based on the current price of crude oil and natural gas. This conversion factor is an industry accepted norm and is not based on either energy content or current prices. References to oil in this MD&A include crude oil and field condensate. References to natural gas liquids (“NGLs”) include pentane, butane, propane, and ethane. References to gas in this discussion include natural gas and sulphur. Such abbreviation may be misleading, particularly if used in isolation.

Bbls Barrels
bbls/d barrels per day
Mcf thousand cubic feet
Mcf/d thousand cubic feet per day
MMcf million cubic feet
MMcf/d million cubic feet per day
MMBTU million British Thermal Units
GJ Lt Gigajoule long tons
BOE MBOE barrel of oil equivalent thousand barrels of oil equivalent
BOE/d barrel of oil equivalent per day
NGLs natural gas liquids
AECO-C Alberta Energy Company “C” Meter Station of the Nova Pipeline System
WTI West Texas Intermediate
NYMEX $M New York Mercantile Exchange thousands of dollars
USD United States dollars
CAD Canadian dollars
TSX the Toronto Stock Exchange
KEL-T trading symbol for Kelt Exploration Ltd. on the Toronto Stock Exchange
GAAP Generally Accepted Accounting Principles
FD&A finding, development and acquisition
FDC future development capital
1P proved reserves
2P proved plus probable reserves
BT before tax
AT after tax
NPV net present value
NPV 5% net present value discounted at five percent
NPV 10% net present value discounted at ten percent
P&NG petroleum and natural gas
HZ horizontal
DUCs drilled but uncompleted wells

For further information, please contact:

Kelt Exploration Ltd., Suite 300, 311 – 6th Avenue SW, Calgary, Alberta, Canada T2P 3H2

David J. Wilson
President and Chief Executive Officer
(403) 201-5340
or
Sadiq H. Lalani
Vice President, Finance and Chief Financial Officer
(403) 215-5310
Or visit our website at www.keltexploration.com

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The post Kelt Reports Significant Increases in Oil & Gas Reserves and Net Asset Value per Share appeared first on Investing News Network.

APA, one of Australia’s largest natural gas infrastructure businesses, has announced the creation of a new $80 million gas pipeline project in southern Queensland.

According to the news article:

The 50km bi-directional pipeline will connect APA’s Wallumbilla Hub to the Australia Pacific LNG Pipeline at Reedy Creek in southern QLD.

It will have a capacity of up to 300 tetrajoules per day.

The new pipeline announcement was welcomed by QLD mines minister Anthony Lynham, who highlighted further employment opportunities it will create.

“With construction to start in 2017, the project is estimated to create 170 jobs including 20 permanent jobs within land access, approvals, technical design and procurement teams and 100 to 150 jobs for the construction phase of the project,” he said.

Click here for the full news article.

FREE REPORT: Oil Price Forecast And World Oil Outlook For 2016

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VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 8, 2016) – Cypress Development Corp. (TSXV:CYP) is pleased to announce that the Company has entered into an Option Agreement to acquire a 100% interest in a second Lithium Brine/Clay Project situated in the heart of Clayton Valley, Esmeralda County, Nevada.

Cypress’ new 2,700 acre “Dean” property (35 association placer claims) is located immediately adjacent to Albemarle’s Silver Peak lithium mine on the west boundary, Pure Energy Minerals project on its southwest boundary and Cypress’ existing Clayton Valley project on its southern boundary.

Cypress’ highly prospective Dean property is located within 400 metres east of current and past producing lithium brine wells belonging to the Silver Peak Mine operated by Albemarle. The Dean property also abuts the Northern Resource Area of Pure Energy Minerals (see Pure Energy’s NI 43-101 Technical Report of July, 2015). The Pure Energy Minerals potential production wells SPD 9, CV1, CV3 are located only 500 metres from the southwest area of the Dean claims. The Dean claims are also tied onto the immediate north of Cypress’ existing Clayton Valley Lithium Clay/Brine Project where a detailed aggressive work program is starting immediately. Cypress recently announced an Option Agreement (see news release August 24, 2016) with Pure Energy Minerals for its existing Clayton Valley Project whereby Cypress will remain the operator of the Project until Pure Energy earns a 51% interest. The Agreement allows Cypress to advance its existing Clayton Valley Project while working with and utilizing the geological expertise of the Pure Energy team.

The Albemarle Silver Peak Lithium Mine is the only operating brine-based lithium mine in North America. The Silver Peak Mine began operations in 1967 to mine lithium from abundant lithium bearing Main Ash brine aquifers known in the Clayton Valley. The company has drilled hundreds of bore holes across the Clayton Valley desert floor to mine the lithium by low cost evaporation ponds for several decades.

Cypress has compiled and reviewed available geological data relating to the Dean claims. The data appears to indicate very favorable lithium brine exploration targets on the property. Several first order targets exist on the property which include extensive outcroppings of altered green claystones and the presence of paleo hot spring vents leading Cypress to believe that additional lithium bearing brine aquifers could be localized at the water table below the claystones and potentially also localized along structures cutting across these units.

The Esmeralda geological formation is the known host rock unit for both lithium brine production and for lithium mineralized evaporate rocks currently being explored by Cypress in Clayton Valley. Known structures on the Dean claims include the dominant Angel Island Fault, a district-scale strike slip fault which trends through strongly fractured surrounding rock units. This zone of pervasive fracturing is being targeted as a pathway for brines to invade the underlying ash layers and also as a zone of high porosity which itself could host lithium brine zones along strike. Deformation along the Angel Island Fault is a complicated, but highly prospective zone for the existence of structural traps for lithium brines.

Don Huston, President, commented, “Cypress has been working diligently in the central Clayton Valley since late 2015 with the Company’s main objective being the assembling of prospective land packages with lithium-rich exploration potential concentrated on ground immediately adjacent to current lithium brine production as well as tied on to the best advanced stage exploration projects undergoing active development of new lithium brine resources in the basin. The acquisition of the Dean claims is the latest result in this effort and continues Cypress’ strategy of acquiring key acreage in the central Clayton Valley with a high potential for near-term lithium resource development.”

Connect with Cypress Development Corp. (TSXV:CYP) to receive an Investor Presentation.

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VANCOUVER, BRITISH COLUMBIA– Evolving Gold (CSNX:EVG) (OTCB:EVOGF) is pleased to announce that it has completed its initial field mapping and survey program on targets the Company had previously identified as potential pegmatite hosts for lithium mineralization (see news release dated June 16th and July 5th 2016). A number of pegmatite bodies were identified, along with minerals associated with fertile granites, such as green muscovite and garnets that may be associated with lithium mineralized pegmatite. The geological work also identified a new type of target which is discussed below.

Geological mapping, conducted from July 9th to July 23rd, 2016, indicates that the area surrounding targets T5 and T8 is of particular interest for lithium prospectivity (for map, refer to Figure 1, below). During this initial exploration program, the field crew was able to find a series of minerals associated with fertile granite and possible mineralized pegmatite of lithium-cesium-tantalum (“LCT”) type, the potential host rocks for lithium mineralization. At T5, the team identified abundant green muscovite and accessory garnet, which are also observed in the Nemaska Lithium deposit, approximately 20 kilometres (“km”) to the southwest. Green muscovite and red garnet are typically found associated with fertile granite intrusions and within mineralized lithium host pegmatites (Bradley and McCauley, 2013).

Figure 1: Target and Field Sampling Locations

The geological team also identified a large circular structure (approximately 1,000 metres (“m”) in diameter) associated with a topographic low and a geophysical magnetic high. (See Figure 2). This type of signature is sometimes associated with kimberlite or lamprophyre pipes, either of which are potential hosts for diamonds. This circular structure could also be associated with a carbonatite intrusion, which is sometimes associated with rare earth element mineralization. Other geological structures could also create a similar type of signature and further field exploration will be necessary in order to identify the source of this anomaly. The field work will include a till sampling program which, coupled with mapping of the outcrops and further geophysical interpretation, is expected to properly identify the feature.

Figure 2: Large Circular Magnetic Anomaly

Assay results of grab samples from pegmatite, paragneiss, granite and basalt units are currently pending. The field exploration team is compiling data in preparation for the second phase of ground work which will focus on the heart of the claims, located between targets T5 and T8, including further assessment of T1, which hosts the circular structure described above. This represents an area of 8 km by 2 km which current observations highlight as the most prospective for the presence of lithium mineralization. The remaining unvisited targets will also be part of the next field program, which is due to start on September 10, 2016. The historical geophysical data on the Property is also being compiled and will be reassessed along with our recent observations from the field by GDD Geosciences, to enhance the efficiency of field prospecting activities in the future.

Evolving Gold’s Chief Executive Officer, Mr. R. Bruce Duncan stated, “The reconnaissance field survey was successful in rapidly identifying a large area with a high potential for lithium bearing pegmatite discoveries. Our team has already identified pegmatite with mineral combinations similar to those observed at the Nemaska Lithium Project, to the southwest of our claim blocks.”

Connect with Evolving Gold (CSNX:EVG) (OTCB:EVOGF) to receive an Investor Presentation.

The post Evolving Gold Provides Update on First Reconnaissance Survey Highlighting an 8 Km by 2 Km Potential Lithium Mineralization Zone appeared first on Investing News Network.

Hallgarten & Company initiated coverage on Western Uranium Corporation (CSNX:WUC) (OTCQX:WSTRF) growth plans to reopen the Sunday Mine Complex and build the Piñon Ridge Mill. They concluded that with the Western management team’s deep uranium-mining experience and business strategy, as well as the Company’s ability to operate the only Ablation Mining Technology machines for sandstone-hosted deposits, the 12-month outlook for the Company is favorable. Hallgarten targets the Western Uranium CSE stock price to be C$4.80 in 12 months time. The current price is C$2.20.

Read the full report.

Connect with Western Uranium Corporation (CSNX:WUC) (OTCQX:WSTRF) to receive an Investor Presentation.

The post Western Uranium Rated New Long at Hallgarten & Company appeared first on Investing News Network.

NexGen Energy (TSX:NXE) has announced that its affiliate, IsoEnergy (an entity in which NexGen currently holds 76 percent of the issued and outstanding common shares), has entered into an amalgamation agreement with AireSurf Network Holdings.

As quoted in the press release:

AireSurf will amalgamate (the “Amalgamation“) with a newly formed, wholly-owned subsidiary of IsoEnergy, by way of a “three-cornered amalgamation”. As a consequence of the Amalgamation, the amalgamated company will become a wholly-owned subsidiary of IsoEnergy and AireSurf shareholders will receive 0.020833 common shares of IsoEnergy for each one (1) common share of AireSurf held, representing approximately 1% of the outstanding shares of IsoEnergy. NexGen will retain a 76% interest in IsoEnergy following the Amalgamation. IsoEnergy will become a reporting issuer in Albertaupon completion of the Amalgamation. The Amalgamation is subject to a number of conditions, including AireSurf shareholder approval and that IsoEnergy’s common shares be accepted for listing on the TSX Venture Exchange. A meeting of AireSurf shareholders is scheduled for September 29, 2016and the transaction is scheduled to close on September 30, 2016. IsoEnergy has applied to list its common shares on the TSX Venture Exchange. Such listing is subject to IsoEnergy meeting all of the listing requirements of, and the satisfaction of any conditions imposed by, the TSX Venture Exchange.

The Amalgamation will not have any effect on the capitalization, financial condition or business of NexGen.

Click here to read the full press release.

Uranium Future Outlook: Uranium Price Forecast for 2016 and Onward

A look at where analysts see the uranium price moving in the short and long term.

Read the full article!

The post NexGen Announces Affiliate IsoEnergy to Enter Into Amalgamation Agreement with AireSurf Network Holdings appeared first on Investing News Network.

TORONTO, ONTARIO–(Marketwired – Sept. 7, 2016) – Denison Mines Corp. (“Denison” or the “Company”) (TSX:DML)(NYSE MKT:DNN) is pleased to announce that results from an additional 13 exploration drill holes, targeting the D series mineralized lenses, have successfully expanded the strike length of the lenses immediately north and northwest of the Gryphon uranium deposit, on the 60% owned Wheeler River property, which is located in the infrastructure rich eastern portion of the Athabasca Basin region in northern Saskatchewan.

The Company is also pleased to announce that it will commence initial follow-up drilling, in the coming weeks, on the basement hosted mineralization discovered earlier this summer in drill hole WR-663 on the K-West conductive trend (see Denison’s Press Release dated August 4, 2016). The K-West conductive trend is parallel with, and located approximately 500 metres west of, the K-North conductive trend which hosts the Gryphon deposit. The basement hosted uranium mineralization intersected in drill hole WR-663 is associated with an extensive alteration zone which is indicative of significant fluid flow with the potential for high grade mineralization. The discovery of uranium mineralization and a significant alteration zone, taken together with a favorable geological setting similar to and in proximity to the Gryphon deposit, makes the K-West trend a prime target for the discovery of meaningful additional mineralization.

David Cates, President and CEO of Denison commented, Our team is focused on adding value to our project portfolio despite the current price of uranium, and positioning our Company to be a producer in the future – when it is expected that years of low uranium prices will lead to a shortage of low cost uranium supplies at a time when demand is anticipated to grow dramatically. We can justify our continued exploration and development activities because we‘re focused on adding value to a project, in Wheeler River, which has the potential to become a large-scale and profitable operation with relatively low up front capital costs in even a low price environment.

“Our summer exploration program at Wheeler River has built on the success of our discovery of significant mineralization in the Gryphon D series lenses earlier this year. With 75% of drill holes completed in the D lens target areas this summer having intersected uranium, the extent of the mineralization around the Gryphon deposit continues to grow and remains open. Beyond the D lenses, our exploration team also managed to discover mineralization to the west of Gryphon, earlier this summer, on the K-West trend. After reviewing the results at K-West and considering the potential for the discovery of a significant mineralized zone occurring in a similar geological setting and in close proximity to Gryphon, we’ve decided to go back to K-West before we wrap up drilling this season and expect to complete some initial follow-up holes over the coming weeks.”

Expansion of D Series Lenses

Exploration drilling at Wheeler River during the summer of 2016 has focused primarily on exploring the Gryphon D series mineralized lenses, which occur within 200 metres north and northwest of the Gryphon deposit. Previously reported assay highlights for the D series lenses include 5.3% U3O8 over 11.0 metres, 11.9% U3O8 over 1.5 metres, 2.9% U3O8 over 6.0 metres, 2.3% U3O8 over 4.0 metres and 6.2% U3O8 over 2.5 metres (see Denison’s Press Release dated May 26, 2016). The holes were drilled at a high angle to mineralization to allow for better evaluation of true thicknesses which are expected to be approximately 75% of the intersection lengths. The D series lenses have not yet been included in the current resource estimate or the Preliminary Economic Assessment (“PEA”) for the Wheeler River project.

Results from an additional 13 drill holes in this area indicate continued expansion of the D series lenses along strike. To date, the 2016 summer exploration drill program has expanded the strike extent of the D series lenses by approximately 90 metres to the northeast and 115 metres to the southwest using an approximate 50 x 50 metres drill spacing. The D series lens mineralization currently totals 330 meters in collective strike extent, with mineralization still open along strike in both directions. Table 1 provides a summary of mineralized intersections from the most recently completed drill holes.

Results of importance include:

  • On Section 5350 GP, the most northeastern section drilled to date, intersections of 9.39% eU3O8over 1.6 metres and 1.16% eU3O8over 1.8 metres indicate the continued strength of the mineralizing system and significant potential along strike and down-plunge to the northeast where no drilling has been undertaken to date; and
  • On Section 5100 GP, multiple mineralized intercepts including 1.21% eU3O8over 5.3 metres, 2.26% eU3O8over 1.2 metres and 0.68% eU3O8over 3.1 metres indicate continuity between the recently defined D series lenses discovered during winter 2016 and the D series lenses previously identified in 2014.
Table 1: Summary of mineralized intersections from exploration drilling on Section 5050GP, 5100 GP, 5250 GP, 5300 GP and 5350 GP
Section Drill Hole From (m) To (m) Length (m)(3) eU3O8 (%)(1)(2)
5050 GP WR-565D1 668.3 669.3 1.0 0.12
and 678.2 679.2 1.0 0.08
5100 GP WR-669 647.4 649.4 2.0 0.17
and 652.2 653.4 1.2 0.08
and 722.2 723.2 1.0 0.05
and 746.2 747.3 1.1 0.80
WR-671 583.5 584.7 1.2 2.26
and 670.0 671.1 1.1 0.33
and 697.9 700.0 2.1 0.14
and 703.1 704.9 1.8 0.57
WR-671D1 656.7 662.0 5.3 0.11
and 662.8 663.8 1.0 0.06
and 668.4 669.4 1.0 0.26
and 682.2 687.5 5.3 1.21
WR-671D2 658.8 659.9 1.1 0.52
and 664.2 667.3 3.1 0.68
and 675.4 676.4 1.0 0.76
and 686.0 687.0 1.0 0.27
WR-671D4 642.1 643.1 1.0 0.11
and 651.4 652.4 1.0 0.22
and 659.3 661.4 2.1 0.11
and 670.5 671.5 1.0 0.14
and 678.4 679.4 1.0 0.07
WR-613EXT No significant mineralization
5300 GP WR-670 610.2 611.2 1.0 0.06
and 613.7 614.7 1.0 0.05
and 650.6 651.7 1.1 1.34
and 657.1 658.1 1.0 0.05
WR-670D1 No significant mineralization
5350 GP WR-672A 588.8 589.8 1.0 0.28
and 599.7 602.6 2.9 0.10
and 613.1 614.4 1.3 0.84
WR-672AD1 596.8 597.8 1.0 0.09
WR-507D1EXT 721.7 723.5 1.8 1.16
WR-507D2 557.3 559.2 1.9 0.22
and 579.5 581.1 1.6 9.39

Notes:

  1. eU3O8 is radiometric equivalent U3O8 from a calibrated total gamma down-hole probe. eU3O8 results are preliminary in nature and all mineralized intervals will be sampled and submitted for chemical U3O8 assay.
  2. Intersection interval is composited above a cut-off grade of 0.05% eU3O8. Composites are compiled using 1.0 metre minimum ore thickness and 2.0 metres maximum waste.
  3. As the drill holes are oriented steeply toward the northwest and the basement mineralization is interpreted to dip moderately to the southeast, the true thickness of the mineralization is expected to be approximately 75% of the intersection lengths.

Exploration drilling is ongoing with two drills that have commenced testing for extensions along strike to the southwest of the D series lenses previously identified in 2014.

Illustrative Figures & Further Details

A property location and basement geology map is provided in Figure 1, which show the K-North and K-West conductive trends. A plan map of the northeast plunging Gryphon deposit mineralized lenses, projected up to the simplified basement geology at the sub-Athabasca unconformity, is provided in Figure 2, which shows the location of the D series lenses interpreted from winter 2016 drilling results and the summer mineralized intercepts as yellow stars. Cross-sections for section lines 5350 GP and 5100 GP are provided in Figures 3 and 4 respectively, showing the location of the new mineralized intercepts from the D lenses relative to the Gryphon deposit’s A, B, and C lenses. Figure 5 provides a cross-section along section line 5050 GP showing the intersection of mineralization and alteration at K-West in drill hole WR-663.

Further details regarding the Gryphon deposit and the current mineral resource estimates are provided in the NI 43-101 Technical Report for the Wheeler River project titled “Preliminary Economic Assessment for the Wheeler River Uranium Project, Saskatchewan, Canada” dated April 8, 2016 with an effective date of March 31, 2016. A copy of this report is available on Denison’s website and under its profile on SEDAR at www.sedar.com and on EDGAR at www.sec.gov/edgar.shtml.

Qualified Persons

The disclosure of a scientific or technical nature contained in this news release was prepared by Dale Verran, MSc, Pr.Sci.Nat., Denison’s Vice President, Exploration, who is a Qualified Person in accordance with the requirements of NI 43-101. For a description of the assay procedures and the quality assurance program and quality control measures applied by Denison, please see Denison’s Annual Information Form dated March 24, 2016 filed under the Company’s profile on SEDAR (www.sedar.com).

About Wheeler River

The Wheeler River property is a joint venture between Denison (60% and operator), Cameco Corp. (30%), and JCU (Canada) Exploration Company Limited (10%), and is host to the high-grade Gryphon and Phoenix uranium deposits discovered by Denison in 2014 and 2008, respectively. The Gryphon deposit is hosted in basement rock and is currently estimated to contain inferred resources of 43.0 million pounds U3O8 (above a cut-off grade of 0.2% U3O8) based on 834,000 tonnes of mineralization at an average grade of 2.3% U3O8. The Phoenix unconformity deposit is located approximately 3 kilometres to the southeast of Gryphon and is estimated to include indicated resources of 70.2 million pounds U3O8 (above a cut-off grade of 0.8% U3O8) based on 166,000 tonnes of mineralization at an average grade of 19.1% U3O8, and is the highest grade undeveloped uranium deposit in the world.

On April 4th, 2016 Denison announced the results of a Preliminary Economic Assessment (“PEA”) for the Wheeler River Project, which considers the potential economic merit of co-developing the high-grade Gryphon and Phoenix deposits as a single underground mining operation. The PEA returned a base case pre-tax Internal Rate of Return (“IRR”) of 20.4% based on the current long term contract price of uranium (US$44.00 per pound U3O8), and Denison’s share of estimated initial capital expenditures (“CAPEX”) of CAD$336M (CAD$560M on 100% ownership basis). Exploration results from the winter and summer 2016 drilling program have not been incorporated into the resource estimate or the PEA. The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them to be categorized as mineral reserves, and there is no certainty that the preliminary economic assessment will be realized. Mineral resources are not mineral reserves and do not have demonstrated economic viability. On July 19th, 2016 Denison announced the initiation of a Pre-Feasibility Study (“PFS”) for the Wheeler River property and the complimentary commencement of an infill drilling program at the Gryphon deposit to bring the inferred resources up to an indicated level of confidence.

About Denison

Denison is a uranium exploration and development company with interests focused in the Athabasca Basin region of northern Saskatchewan. Including its 60% owned Wheeler River project, which hosts the high grade Phoenix and Gryphon uranium deposits, Denison’s exploration portfolio consists of numerous projects covering over 350,000 hectares in the infrastructure rich eastern Athabasca Basin. Denison’s interests in Saskatchewan also include a 22.5% ownership interest in the McClean Lake joint venture, which includes several uranium deposits and the McClean Lake uranium mill, which is currently processing ore from the Cigar Lake mine under a toll milling agreement, plus a 25.17% interest in the Midwest deposit and a 61.55% interest in the J Zone deposit on the Waterbury Lake property. Both the Midwest and J Zone deposits are located within 20 kilometres of the McClean Lake mill.

Denison is also engaged in mine decommissioning and environmental services through its Denison Environmental Services division and is the manager of Uranium Participation Corp., a publicly traded company which invests in uranium oxide and uranium hexafluoride.

Cautionary Statement Regarding Forward-Looking Statements

Certain information contained in this press release constitutes “forward-looking information”, within the meaning of the United States Private Securities Litigation Reform Act of 1995 and similar Canadian legislation concerning the business, operations and financial performance and condition of Denison. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “expects”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “believes”, or the negatives and/or variations of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur”, “be achieved” or “has the potential to”. In particular, this press release contains forward-looking information pertaining to the following: exploration (including drilling) and evaluation activities, plans and objectives; potential mineralization of drill targets; and the estimates of Denison’s mineral resources.

Forward looking statements are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Denison to be materially different from those expressed or implied by such forward-looking statements. Denison believes that the expectations reflected in this forward-looking information are reasonable but there can be no assurance that such statements will prove to be accurate and may differ materially from those anticipated in this forward looking information. For a discussion in respect of risks and other factors that could influence forward-looking events, please refer to the “Risk Factors” in Denison’s Annual Information Form dated March 24, 2016 available under its profile at www.sedar.com and in its Form 40-F available at www.sec.gov/edgar.shtml. These factors are not, and should not be construed as being, exhaustive.

Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking information contained in this press release is expressly qualified by this cautionary statement. Denison does not undertake any obligation to publicly update or revise any forward-looking information after the date of this press release to conform such information to actual results or to changes in its expectations except as otherwise required by applicable legislation.

Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Mineral Resources: This press release may use the terms “measured”, “indicated” and “inferred” mineral resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. “Inferred mineral resources” have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be converted into mineral reserves. United States investors are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economically or legally mineable.

To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/dml0907fig1.pdf.

To view Figure 2, please visit the following link: http://media3.marketwire.com/docs/dml0907fig2.pdf.

To view Figure 3, please visit the following link: http://media3.marketwire.com/docs/dml0907fig3.pdf.

To view Figure 4, please visit the following link: http://media3.marketwire.com/docs/dml0907fig4.pdf.

To view Figure 5, please visit the following link: http://media3.marketwire.com/docs/dml0907fig5.pdf.

Denison Mines Corp.
David Cates
President and Chief Executive Officer
(416) 979-1991 ext. 362Denison Mines Corp.
Sophia Shane
Investor Relations
(604) 689-7842
Follow Denison on Twitter: @DenisonMinesCo
www.denisonmines.com

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The post Denison Expands Strike Length of Gryphon D Series Lenses and Announces Plans for Follow-Up Drilling at K-West on Wheeler River appeared first on Investing News Network.

VANCOUVER , Sept. 7,  2016 /CNW/ – Nevada Sunrise (TSXV:NEV) is pleased to announce that a geochemical sampling program is underway on its 100%-owned Roulette Gold Project (“Roulette”, or the “Project”) located in White Pine County, Nevada , USA, at the southeastern extent of the Carlin Trend. The multi-element soil sampling program is designed to test areas of the property not covered by previous explorers. A 3D induced polarization (“IP”) ground geophysical survey is also planned later in September 2016 to follow-up on the results of a previous 3D-IP survey carried out by the Company in 2015 (see Nevada Sunrise news release dated June 18, 2015 ).

Geochemistry

Approximately 600 soil samples at 25 metre intervals on lines spaced 200 metres apart are planned for the 2016 geochemical program at Roulette. Nevada Sunrise has acquired historical geochemical data from surface work performed by U.S. Gold (now McEwen Mining Inc.) and Cordex Exploration Co., prior to the Company’s acquisition of the Project in 2014, which will be integrated with the results of the current program. A review of the historical soil data shows: (1) a chemical association of gold, antimony and mercury with wider haloes of silver and arsenic, consistent with Carlin -type mineralization, and (2) the chemical signature appears to be spatially associated with both jasperoid locations and along interpreted brittle structural faults and intersection points.  This may suggest an association between brittle structure and silicification, a characteristic also consistent with Carlin -type mineralization.

Geophysics

The 2015 3D-IP geophysical survey was focussed in the northern half of Roulette covering two jasperoid outcrops (“Parlay” and “Gambit”) known from historical prospecting and mapping, one of which is mineralized. The Parlay jasperoid was sampled in August 2014 by Nevada Sunrise and returned 4.44 grams/tonne gold over a sample length of 3.30 metres (10 feet), and 1.05 grams/tonne gold over a sample length of 2.64 metres (8 feet).

The results of the 2015 3D-IP survey showed three strong chargeability anomalies:

  • The largest chargeability high is located near the south end of the survey grid, ENE of the Parlay jasperoid gold showing, and is associated with a strong arsenic/antimony soil anomaly;
  • A second chargeability high is located in the north central part of the grid, immediately east of the Gambit jasperoid;
  • A third chargeability high is located on the northernmost line of the survey on strike with the Parlay and Gambit jasperoids and is open to the north. The 2016 work is designed to cover the open northern anomaly and determine its strike length.

Maps of Roulette and an animated view of the 2015 3D-IP survey results can be viewed on the Company’s website at http://www.nevadasunrise.ca/projects/roulette/.

Connect with Nevada Sunrise (TSXV:NEV) to receive an Investor Presentation.

The post Nevada Sunrise Begins Exploration on Roulette Gold Project in Nevada appeared first on Investing News Network.

VANCOUVER, BC–(Marketwired – September 07, 2016) – UEX Corporation (TSX: UEX) (“UEX” or the “Company”) is pleased to announce assay results from the first holes of the summer 2016 drilling program and radiometric results from five new holes completed on the Christie Lake Project (the “Project”).

Based upon the results, UEX has elected to expand the budget of the 2016 drill program from $2.75 million to $4 million program. A second drill rig is currently being mobilized to site.

Assay Results from the Paul Bay High Grade Area

The final assay results from the first three drill holes completed during the summer program that tested the High Grade Area within the Paul Bay Deposit are presented below. Radiometric grades from these three holes were previously reported in the UEX News Releases of June 24, 2016 and July 11, 2016.

Assay results from CB-093 far exceeded our expectations. The assays returned a composite grade interval of:

  • 14.74% U3O8 over 5.5 m (from 492.2 – 497.7 m), including a subinterval of:
    • 31.77% U3O8 over 2.5 m, which in turn included a subinterval of:
      • 57.83% U3O8 over 1.2 m.

These assay grades far exceeded the previously reported Radiometric Equivalent Grades (“REGs” or “eU3O8“) of 1.16% eU3O8 over 5.9 m (from 491.75 – 497.65 m).

The large discrepancy between the assay grades and the REGs for CB-093 is the result of the down-hole radiometric probes ‘saturating’ when encountering very high grade uranium in-situ, a phenomena described in more detail in the UEX News Release of May 24, 2016.

Assay results from CB-092-1 returned grades that corresponded closely to the REGs. The assay composite averaged:

  • 2.10% U3O8 over 4.6 m (from 505.1 – 509.7 m) and included a subinterval of:
    • 3.76% U3O8 over 2.4 m (from 507.3 – 509.7 m).

Hole CB-092-2 returned:

  • 0.48% U3O8 over 4.3 m (from 509.8 – 514.1 m) and included a subinterval of:
    • 1.67% U3O8 over 1.0 m (from 513.1 – 514.1 m).

The exceptional assay grades from hole CB-093 have extended the zone of semi-massive to massive ultra-high grade uranium mineralization defined by holes CB-093, CB-092 and historic hole CB-004 to a plunge length of 60+ m within the High Grade Area of the Paul Bay Deposit. This Ultra-High Grade Core remains open up-plunge to the northeast (see Figure 1).

“We are pleased to identify an ultra-high grade core within the Paul Bay Deposit which was previously unconfirmed. We will now be looking to extend the Ultra-High Grade Core to the northeast with our upcoming holes.” – Roger Lemaitre, President and CEO

Table 1 – Assay Results Compared to Previously Reported Composite Grades
Hole Assay Grades Radiometric Equivalent Grades
From To Width Grade (%U3O8) From To Width Grade (%U3O8)
CB-093 492.2 497.7 5.5 14.74 491.75 497.65 5.9 1.16
includes 494.7 497.2 2.5 31.77 494.65 497.25 2.6 2.27
and includes 496.0 497.2 1.2 57.83
CB-092-1 505.1 509.7 4.6 2.10 505.25 509.85 4.6 2.31
includes 507.3 509.7 2.4 3.76 507.25 509.85 2.6 3.82
CB-092-2 509.8 514.1 4.3 0.48
includes 513.1 514.1 1.0 1.67 513.05 514.05 1.0 1.57

Probe Results from Paul Bay Down-Dip Drilling

Five holes have been completed to test the down-dip extent of the Paul Bay Deposit.

REGs from down-hole probe results from hole CB-094 encountered multiple mineralized intervals, the best of which returned 1.04% eU3O8 over 4.8 m (from 616.85 – 621.65 m) and included a section that averaged 1.96% eU3O8 over 1.5 m.

The CB-094 intersection extends the Paul Bay Zone at least 35 m in the down-dip direction below the deepest historic intersection by the previous operators, CB-018. CB-094 is also approximately 25 m northeast of and slightly below UEX hole CB-091B that returned a composite assay grade of 0.28% U3O8 over 7.7 m from 600.0 – 607.7 m (see UEX News Release of May 24, 2016).

Hole CB-095A, drilled to test the Paul Bay Zone approximately 50 m along strike to the northeast of CB-094, encountered anomalous radioactivity and weak hydrothermal alteration, indicating that this hole may have tested the northeast boundary of the Paul Bay Zone at this depth.

Hole CB-094-1 tested the Paul Bay Deposit approximately 25 m below the CB-094 intersection. This hole encountered two narrow intervals of minor uranium mineralization, the best of which returned a probe grade of 0.16% eU3O8 over 0.3 m (from 618.35 – 619.85 m). While hydrothermal alteration and minor uranium were present in this hole and likely continue at depth, the results suggest that the Paul Bay Deposit may now be closed off in the down-dip direction.

Hole CB-096 was drilled to test the down-plunge extent of the Paul Bay High Grade Zone to the west of the known limits of the uranium mineralization. CB-096 did encounter 1.17% eU3O8 over 1.5 m (from 512.75 – 514.25 m) within one of the most intense and strongest hydrothermally-altered package of rocks intersected on the property to date.

Hole CB-096-1 tested the western edge of the deposit approximately 25 m down-dip of CB-096 and also encountered substantial and intense hydrothermal alteration. Uranium was intersected over a narrow interval averaging 0.29% eU3O8 over 1.0 m.

The eU3O8 grades were estimated in-situ within the drill holes using calibrated down-hole radiometric gamma probes. Samples from all holes have been collected for assay analysis to confirm these equivalent grades. The samples will be analyzed at the Geoanalytical Laboratory at the Saskatchewan Research Council in Saskatoon, Saskatchewan, with results expected in the coming weeks. The details on how eU3O8 was calculated from the probe grades were outlined in our press release of May 24, 2016.

Expanded Program and Mobilization of Second Rig to Test the Ken Pen Zone

Based upon the results of the drilling program and the Company’s intention to test the Ken Pen Deposit prior to the end of the year, UEX has decided to add a second drill rig to the program. The second rig will commence testing the Ken Pen Zone while the original rig will focus on expanding the Ultra-High Grade Core of the Paul Bay Deposit. The budget for the 2016 Christie Lake Exploration Program has been increased from $2.75 million to $4.0 million.

The Ken Pen Deposit is located approximately 200 m northeast and along strike of the Paul Bay Deposit. High-grade mineralization at Ken Pen is known to be located both at the unconformity and within basement structures below the unconformity. The first holes will focus on expanding mineralization near hole CB-032 which encountered 5.20% U3O8 over 9.20 m in the basement structure.

Sample Collection and Compositing

Drill core is split in half sections on site and one half is collected for U3O8 (wt %) analysis with the other half core remaining on site for reference. Where possible, samples are collected at a standardized 0.5 m interval through zones of mineralization but respect geological units and intervals.

The samples are shipped to the Geoanalytical Laboratory at the Saskatchewan Research Council (“SRC”) in Saskatoon, Saskatchewan. Analysis at the SRC laboratory for uranium as U3O8 (wt %) was completed using the ICP-OES method. The SRC Geoanalytical Laboratory is an ISO/IEC 17025:2005 accredited facility (#537) by the Standards Council of Canada.

Assay intervals were composited using a cut-off grade of 0.1% U3O8. All depth measurements and sample intervals reported are down-hole measurements from drill core. True thickness of the mineralized zones has yet to be determined.

About the Christie Lake Project

UEX currently holds a 10% interest in the Christie Lake Project and is working under an option agreement to earn up to a 70% interest. The Project is located approximately 9 km northeast and along strike of Cameco’s McArthur River Mine, the world’s largest uranium producer. The P2 Fault, the controlling structure for all of the McArthur River deposits, continues to the northeast beyond the mine. UEX believes that through a series of en-echelon steps the northeast strike extension of the P2 Fault not only crosses the Project but also controls the two known uranium deposits on Christie Lake, the Paul Bay and Ken Pen Deposits.

The Paul Bay and Ken Pen Deposits are estimated to host a combined 20.87 million pounds of U3O8 at an average grade of 3.22% U3O8 and were discovered in 1989 and 1993 respectively. This is a historic resource estimation which does not use resource classifications consistent with NI 43-101. The historical resource estimate was presented in an internal report titled Christie Lake Project, Geological Resource Estimate completed by PNC Tono Geoscience Center, Resource Analysis Group, dated September 12, 1997. The historical resource was calculated using a 3 D block model using block sizes of 2 m by 2 m by 2 m, and block grades interpolated using the inverse distance squared method over a circular search radius of 25 m and 1 m height. Specific gravities for each deposit were averaged from specific gravity measures of individual samples collected for assay. UEX plans to complete additional infill drilling on the deposits during the option earn-in period to upgrade these historic resources to indicated and inferred. A qualified person has not done sufficient work to classify the historic estimate as current mineral resources or mineral reserves. UEX is not treating the historic estimate as current mineral reserves or mineral resources.

Qualified Persons and Data Acquisition

Technical information in this news release has been reviewed and approved by Roger Lemaitre, P.Eng., P.Geo., UEX’s President and CEO and Trevor Perkins, P.Geo., UEX’s Exploration Manager, who are each considered to be a Qualified Person as defined by National Instrument 43-101.

About UEX

UEX (TSX: UEX) (OTC PINK: UEXCF) (FRANKFURT: UXO) is a Canadian uranium exploration and development company involved in sixteen uranium projects, including four that are 100% owned and operated by UEX, one joint venture with AREVA Resources Canada Inc. (“AREVA”) that is operated by UEX, as well as nine joint ventures with AREVA, one joint venture with AREVA and JCU (Canada) Exploration Company Limited, which are operated by AREVA, and one project (Christie Lake) under option from JCU (Canada) Exploration Company Limited and operated by UEX. The sixteen projects are located in the eastern, western and northern perimeters of the Athabasca Basin, the world’s richest uranium belt, which in 2015 accounted for approximately 22% of the global primary uranium production. UEX is currently advancing several uranium deposits in the Athabasca Basin which include the Christie Lake deposits, the Kianna, Anne, Colette and 58B deposits at its currently 49.1%-owned Shea Creek Project (located 50 km north of Fission’s Triple R Deposit and Patterson Lake South Project, and NexGen’s Arrow Deposit) and the Horseshoe, Raven and West Bear deposits located at its 100%-owned Hidden Bay Project.

About JCU

JCU is a private company that is actively engaged in the exploration and development in Canada. JCU is owned by three Japanese companies. Amongst these, Overseas Uranium Resources Development Co., Ltd. (“OURD”) acts as the manager of JCU. JCU has partnerships with UEX, AREVA, Cameco, Denison and others on uranium exploration and development projects in the Athabasca Basin of Northern Saskatchewan including Millennium and Wheeler River and the Kiggavik project in the Thelon Basin in Nunavut.

Forward-Looking Information

This news release may contain statements that constitute “forward-looking information” for the purposes of Canadian securities laws. Such statements are based on UEX’s current expectations, estimates, forecasts and projections. Such forward-looking information includes statements regarding UEX’s mineral resource and mineral reserve estimates, outlook for our future operations, plans and timing for exploration activities, and other expectations, intentions and plans that are not historical fact. The words “estimates”, “projects”, “expects”, “intends”, “believes”, “plans”, “will”, “may”, or their negatives or other comparable words and phrases are intended to identify forward-looking information. Such forward-looking information is based on certain factors and assumptions and is subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by such forward-looking information. Important factors that could cause actual results to differ materially from UEX’s expectations include uncertainties relating to interpretation of drill results and geology, additional drilling results, continuity and grade of deposits, participation in joint ventures, reliance on other companies as operators, public acceptance of uranium as an energy source, fluctuations in uranium prices and currency exchange rates, changes in environmental and other laws affecting uranium exploration and mining, and other risks and uncertainties disclosed in UEX’s Annual Information Form and other filings with the applicable Canadian securities commissions on SEDAR. Many of these factors are beyond the control of UEX. Consequently, all forward-looking information contained in this news release is qualified by this cautionary statement and there can be no assurance that actual results or developments anticipated by UEX will be realized. For the reasons set forth above, investors should not place undue reliance on such forward-looking information. Except as required by applicable law, UEX disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise.

Image Available: http://www.marketwire.com/library/MwGo/2016/9/6/11G113018/Images/DRAFT_NR_2016_Summer_Drilling_-_Paul_Bay_Long_Sect-3460362deeb6a3c9bf3192ef4406c6e2.jpg

FOR FURTHER INFORMATION PLEASE CONTACT
Roger Lemaitre
President & CEO
(306) 713-1401

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The post Assays Return 14.74% Over 5.5 m From the Paul Bay Zone appeared first on Investing News Network.

Nevada Energy Metals (TSXV:BFF) (OTCQB:SSLMF) (Frankfurt:A2AFBV) is a well funded, early-stage energy metals company, focused on lithium brine deposits, in the State of Nevada. Despite diversified exploration risk through ownership or control of 7 properties (representing one of the largest lithium claims holdings in the State) the Company’s pure-play lithium brine exposure in Nevada is a concentrated bet.

However, for those believing that the future of Li-ion batteries is quite bright, a “project generator” business model makes utmost sense. A project generator strategically stakes high potential land and negotiates joint venture partnerships that cover the costs of future exploration, while still maintaining the ability to, “cherry pick” select projects to retain and develop 100% in house.

Nevada Energy Metals Maintains a Solid Capital Structure Consisting of:

  • 92.8 million shares outstanding, plus 7.5 million stock options & 38.3 million warrants
  • That’s a total of 138.5 million fully-diluted shares. On September 2, 2016, the Company’s market cap was C$ 12 million (~US$ 9.3 million) with nearly C$700k in cash & cash equivalents, and zero debt.

Management believes that anyone investing directly into Nevada’s, “Lithium Hub” should carefully consider Nevada Energy Metals and its project generator model as a way to articulate a bullish bet on lithium.

In my opinion, some project generators are overly diversified, weighed down by assets in multiple metals/minerals sectors across a number of jurisdictions. Pure play, early-stage, Nevada lithium brine exploration juniors offer attractive investment opportunities, albeit with commensurate high risk profiles. Project generators like Nevada Energy Metals could help minimize that risk and could potentially be winners should lithium fundamentals remain as robust as they appear to be today. As always, readers should do their own due diligence.

Read the full report.

Connect with Nevada Energy Metals (TSXV:BFF) (OTCQB:SSLMF) (Frankfurt:A2AFBV) to receive an Investor Presentation.

The post Epstein Report: Nevada Energy Metals’ Project Generator Model Creates Industry Buzz appeared first on Investing News Network.

Oakridge Global Energy Solutions (OTCMKTS:OGES), a leading U.S. based manufacturer of Lithium-ion smart energy cells for military, civilian and medical applications, today announced it has established a joint venture with Toyo-System of Japan for the design and manufacture of state-of-the-art battery management systems for its Generation 2 Smart Energy Cell range.

Steve Barber, CEO and Executive Chairman of Oakridge, said: “Our joint venture with Toyo-System of Japan further extends the important strategic alliances with our Japanese partners as part of our commitment to excellence in the pursuit of world-leading technologies for incorporation into our game-changing Generation II Smart Energy Cells. Toyo-System is a leader in providing innovative solutions for the Lithium Ion battery market, and this new relationship will enable us, together, to design and manufacture the highest quality battery management systems for our Smart Energy Cells which optimize their functionality and performance. It greatly enhances Oakridge’s ability to deliver a world-class, cutting-edge product.”

Hideki Shoji, President and Founder of Toyo-System, commented: “We are delighted to work with the Mr. Barber and the team at Oakridge, and use our expertise of more than 25 years in developing cutting edge technologies for our partners in the battery industry, to enable Oakridge to develop battery management systems that facilitate outstanding high performance from its smart energy cells based on its innovative new approach to the industry. We look forward to a long and mutually profitable relationship with Oakridge because it is in keeping with our global perspective and motto of creative design and manufacturing at the forefront of Lithium Ion battery technology.”

Connect with Oakridge Global Energy Solutions (OTCMKTS:OGES) to receive an Investor Presentation.

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Toro Energy Limited (ASX:TOE) reported that the Western Australian Environmental Protection Authority (EPA) has approved the extension to the Wiluna Uranium Project in Central Western Australia. This extension is set to incorporate mining of the Millipede and Lake Maitland deposits, as well as construction of a haul road between Lake Maitland and the approved processing facility at Centipede.

As quoted in the press release:

The assessment has provided further opportunity for Toro to engage with the public and government
agencies to explain how development of the Millipede and Lake Maitland deposits can be undertaken
while protecting the environment and providing community benefits.

The EPA decision is now open to appeal for a two week period. The EPA’s report recommends the Proposal
be implemented subject to certain conditions and procedures. The Proposal is also being assessed by the
Federal Government under the bilateral arrangements for environmental assessment.

Click here for the full press release.

The post Toro Energy Receives Approval to Further Extend Wiluna Uranium Project in Australia appeared first on Investing News Network.

VANCOUVER, British Columbia, Sept. 06, 2016 (GLOBE NEWSWIRE) — Pure Energy Minerals Limited (TSX-V:PE) (FRANKFURT:A111EG) (OTCQB:PEMIF) (the “Company” or “Pure Energy”) is pleased to announce the results from its annual general meeting of shareholders held on September 1, 2016 (the “Meeting”).

At the Meeting, shareholders elected the following persons to serve as directors of the Company for the ensuing year:  Patrick Highsmith, Robert Mintak, Michael Dake, Mary Little and Andy Robinson.  Shareholders also approved the reappointment of Wolrige, Mahon LLP, Chartered Accountants as auditors of the Company and the continued use of the Company’s stock option plan.

The Board wishes to thank its two outgoing members, Jeremy Poirier and Gerhard Jacob, for their contributions during the important formative years of the Company. Mr. Poirier remains a member of the Pure Energy team in his capacity as General Manager of Corporate Communications; whereas, Mr. Jacob continues with the Company as a geological consultant and member of its Advisory Board.

About Pure Energy Minerals Limited

Pure Energy is a lithium-brine resource developer that is driven to become the lowest-cost lithium supplier for the burgeoning North American lithium battery industry. Pure Energy is currently focused on the development of our prospective Clayton Valley South Lithium Brine Project, which has the following key attributes:

  • A large land position with excellent existing infrastructure in a first-class mining jurisdiction: Approximately 9,544 acres in three main claim groups in the southern half of Clayton Valley, Esmeralda County, Nevada.
  • Adjacent to the only producing lithium operation in the United States (Albemarle’s Silver Peak lithium brine mine).
  • An inferred mineral resource of 816,000 metric tonnes of Lithium Carbonate Equivalent (LCE), reported in accordance with NI 43-101.
  • Metallurgical and process studies underway to better understand the feasibility and economics of using modern environmentally responsible processing technology to convert the CVS brines into high purity lithium products for new energy storage uses.

On behalf of the Board of Directors,

“Patrick Highsmith”
Chief Executive Officer

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

CONTACT: CONTACT:
Pure Energy Minerals Limited (www.pureenergyminerals.com)
Email: info@pureenergyminerals.com
Telephone – 604 608 6611, ext 5

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NexGen Energy (TSX:NXE) has reported radioactivity results from eight holes from its on-going summer drilling program on its 100 percent owned Rook I property in the Athabasca Basin.

As quoted in the press release:

Drilling at the Arrow Deposit continues to intersect extensive off-scale radioactivity in the higher grade A2 subzone (the “Sub-Zone”). Highlighting this batch of results, scissor hole AR-16-98c2 which was drilled towards the northwest and collared at the southeast, intersected 85.0 m of total composite mineralization including dense accumulations of massive pitchblende largely outside the margin of the A2 High Grade Domain. This hole intersected 10.05 m of off-scale radioactivity including 5.75 m of minimum-greater-than-61,000 cps radioactivity of which 4.5 m was continuous.

Additionally, holes AR-16-92c3 and -93c2 drilled significant intervals of massive to semi-massive pitchblende in the A2 shear. These holes, and the others reported in this news release, are expected to provide for further definition of the A2 High Grade Domain.

Furthermore, drilling in the new high grade zone within the A1 shear continues to return strong visible uranium mineralization where AR-16-98c1 intersected 44.5 m of total composite mineralization including 9.45 m of offscale radioactivity making it the most strongly mineralized hole drilled into the A1 shear to date.

Click here to read the full press release.

“Why Uranium Is Planet Earth’s Ultimate Source Of Green Energy”

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The post Scissor Drilling at Arrow Intersects Substantial Off-Scale in the Higher Grade A2 Sub-Zone and A1 Shear appeared first on Investing News Network.

QUEBEC CITY, QUEBEC–(Marketwired – Sep 6, 2016) – Nemaska Lithium Inc. (TSX:NMX,OTCQX:NMKEF) is pleased to provide an update on the previously announced definition drilling campaign for its Whabouchi lithium project. The drill program was expanded from 44 drill holes over 13,700 m to 50 holes over 17,000 m after the company encountered a new lithium bearing zone in the southwestern end of the planned pit area (Figure1). The initial discovery was made on holes WHA-16-190; that intersected a new mineralized zone over 29.1m along core at 150 m vertical depth, WHA-16-184 over 81.7 m along core at 245 m vertical and WHA-16-189 over 44.8 m at 500 m vertical on the same section (3+50). Five (5) holes to confirm the lateral extensions of this new lithium zone up to 100m East and West of section 03+50 along strike are currently being drilled and are expected to be completed in early September 2016.

Currently a total of twelve (12) holes have intercepted the new mineralized zone, named Doris, and have reported the following intersections:

Section Hole Name From (m) To (m) Core length (m) True width* (m)
01+75 WHA-16-145 15.03 43.8 28.8 14.4
01+75 WHA-16-169 126.35 152.6 26.3 13.1
02+00 WHA-16-146 53.9 140.8 87.0 43.5
02+00 WHA-16-170 171.7 188.62 16.9 8.5
02+50 WHA-16-148 66.62 105.88 39.3 19.6
02+75 WHA-16-149 62.52 79.2 16.7 8.3
02+75 WHA-16-149 81.27 102.03 20.8 10.4
03+25 WHA-16-175 80.95 116 35.1 17.5
03+50 WHA-16-184 299.3 381.0 81.7 40.9
03+50 WHA-16-190 185.29 214.38 29.1 14.5
04+00 WHA-16-151 91.3 107.1 15.8 7.9
04+25 WHA-16-152 48.88 69 20.1 10.1
05+00 WHA-16-153 22.82 34.63 11.8 5.9

* True width estimated for drill holes with a dip of 50° and a general dip of 75° to the NW for the mineralized structure

Additional details of this new lithium zone will be released as the Corporation receives assay results.

“Drilling has gone even better than expected and I am obviously very pleased with this new lithium discovery” commented Guy Bourassa, President and CEO of Nemaska Lithium. “What we know now is that the new zone is quite a thick dyke and we are seeing true widths similar to the main zone at Whabouchi. I am excited to see what impact this new discovery will have on our world class Whabouchi lithium project,” commented Guy Bourassa, President and CEO of Nemaska Lithium.

Connect with Nemaska Lithium Inc. (TSX:NMX,OTCQX:NMKEF) to receive an Investor Presentation.

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September 6, 2016 – Vancouver, British Columbia – Nevada Energy Metals (TSXV:BFF) (OTCQB:SSLMF) (Frankfurt:A2AFBV) Rick Wilson, president and CEO is pleased to announce that Randy Avon has the joined the Company’s Advisory Board. Randy will bring his expertise and vast skillset to assist in the sourcing of new lithium projects in Latin America. Mr. Avon has a proven track record of locating rare business opportunities, negotiating projects as well as joint ventures/option agreements.
About Randy Avon:
Randy is CEO and Managing Director of Asian Pacific Development Corp “Asian Pacific” (APDC), a multinational business development and investment banking company. Asian Pacific, with its global partner network, has completed over 18 billion dollars in global infrastructure projects in 22 nations during the past 3 decades. These projects are mostly public/private partnerships that utilize debt, equity, and cooperative funding. He is also the former CEO of Corporate & Financial Consultants (CFC), Florida Fixed Income Corp, the Ft. Lauderdale Kunshan China as well as the Aruba World Trade Centers and Gateway International Trading Partners LLC. He has served on the board of directors for multiple multi-national companies.
Mr. Avon is a former member of the Florida Legislature, formerly President and CEO of four World Trade Centers and Corporate and Financial Consultants (CFC). CFC completed over $8 Billion of infrastructure projects with E.F.Hutton and Prudential Bache prior to forming APDC.  Randy Avon was also a former Florida Legislator, State President of the Florida Jaycees, Charter President of the Florida JCI Senate, and was named one of Florida’s Five Outstanding Young Men. He has served as a Presidential Advisor, was the Chairman of the Florida/Colombia Alliance, and was honored by the U.S. State Department with the James McKeithan Award for International achievements in the private sector. He chaired the Organization of American States (OAS) meeting in the United States in 2005 and has been a U.S. delegate to the past four Summits of the Americas.
Mr. Avon’s background is deeply rooted in community involvement, civic, and citizen diplomacy achievements. He served as a distinguished member of the Florida Legislature and was the previous Chairman of the Florida/Colombia Alliance. He has been listed in Marquis’ Who’s Who in American Politics, Community Leaders of America, Outstanding Young Men of America, Marquis’ Who’s Who in Finance and Industry, and was named as a recipient of the 2007 Global Leaders Award. He was named one of south Florida’s “100 Most Powerful International Leaders” by South Florida CEO Magazine.
Connect with Nevada Energy Metals (TSXV:BFF) (OTCQB:SSLMF) (Frankfurt:A2AFBV) to receive an Investor Presentation.

 

 

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VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 6, 2016) – Advantage Lithium Corp. (the “Company” or “Advantage Lithium“) (TSXV:AAL) announces that the Company will undertake a non-brokered private placement financing of up to 8,400,000 units at a price of $.60 per unit to raise gross proceeds of up to $5,040,000. Each unit comprises one common share and one-half of one share purchase warrant, with each whole warrant entitling the holder to purchase an additional common share for a term of two years from the closing date at a price of $.75 per share. Finder’s fees will be payable on a portion of the private placement. All securities issued will be subject to a four month hold period from the date of closing.

Said Mr. David Sidoo, President, “The Company continues to make strong and rapid progress, most recently closing the agreement on the lithium brine projects in Nevada and announcing a drill program at Clayton Valley NE, immediately adjacent to Albemarle. We have a clear goal to build shareholder value through strategic acquisitions and the drill bit, and this financing will provide us with the additional working capital required to aggressively pursue our objectives.”

 

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Australian lithium developer Pilbara Minerals Limited (ASX:PLS) is pleased to advise that it has completed the Phase 2 metallurgical testwork program, representing one of the final work streams for the Definitive Feasibility Study (DFS) on its flagship 100%-owned Pilgangoora Lithium-Tantalum Project in WA. With the completion of this key metallurgical testwork program, the DFS has now entered into its final review and compilation stage, and is expected to be announced to the market towards the end of this month following review by the Pilbara Minerals Board.

Key Points:

  • Comprehensive Phase 2 metallurgical testwork program now completed, allowing the process flowsheet to be finalised for inclusion in the Definitive Feasibility Study (DFS).
  • Overall recoveries range between 76% to 78.1% Li2O and significant Ta2O5 recovery improvements in the range of 51% to 3%.
  • The proposed three stages of Heavy Media Separation (HMS) outlined in the March PFS has now been reduced to just two stages as a result of the Phase 2 Heavy Liquid Separation (HLS) testwork, which will simplify
  • Comprehensive spodumene flotation testwork has been completed with further optimisation work underway.
  • A Pilot Plant testwork program has commenced on the HMS phase – flotation program to
  • A 4Mtpa Primary Crusher will be installed upfront to facilitate early expansion capability of the
  • The DFS encompassing a 2Mtpa base case development of the Pilgangoora Project, together with a PFS on a 4Mtpa expansion in Year 3, is now in its final stages and will be announced to the market towards the end of September following review by the Pilbara Minerals

Whilst the substantial growth in the Pilgangoora Resource and Reserve during the year has necessitated additional site design works to complete the DFS, it has also facilitated an assessment of the expansion opportunities at the Pilgangoora Project.

This, combined with additional engineering completed during the DFS, means that the Company has been able to progress a Prefeasibility level of assessment for the 4Mtpa production case. These results will be published at the same time as the release of the DFS outlining the 2Mtpa base case.

“The scale of the Pilgangoora Resource and Reserve, combined with its distinct location and grade advantages, will underpin a low-cost operation which should be the ‘go-to’ hard-rock lithium project for expanded raw material supply. We look forward to demonstrating its potential,” said Pilbara’s Managing Director and CEO, Ken Brinsden.

Connect with Pilbara Minerals Limited (ASX:PLS) to receive an Investor Presentation.

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Equitorial Exploration Corp. (TSXV:EXX,FWB:EE1) reported results from the 2016 exploration program at its 100% owned Li lithium property in the Northwest Territories, east of the Yukon Territory border.

As quoted in the press release:

During the 2016 field program, a total of 81 channel samples were cut across parts of the lithium-cesium-tantalum pegmatite dyke swarms that comprise the Prison Wall, Berlin Wall, Great Wall of China and Hadrian’s Wall dyke swarms within cirques 3 and 4 (Figure 2). Highlights from individual dykes within and adjacent to dyke swarms include:
-1.57 % Li2O, 250.3 g/t Ta2O5 and 0.95% SnO2 across 1.70 m;
-2.04% Li2O, 57.8 g/t Ta2O5, 0.05% SnO2 across 4.00 m;
-3.10% Li2O, 53.6 g/t Ta2O5, 0.03% SnO2 across 0.95 m;
-2.33% Li2O, 59.0 g/t Ta2O5, 0.05% SnO2 across 1.20 m;
-1.67% Li2O, 41.4 g/t Ta2O5, 0.03% SnO2 across 3.75 m;
-1.83% Li2O, 67.3 g/t Ta2O5, 0.05% SnO2 across 1.25 m; and,
-1.63% Li2O, 52.9 g/t Ta2O5, 0.01% SnO2 across 5.15 m.

Click here for the full press release.

The post Equitorial Exploration Announces Channel Sampling Results from the Li Lithium Property appeared first on Investing News Network.

GRAND CAYMAN, CAYMAN ISLANDS–(Marketwired – Sept. 2, 2016) – Tethys Petroleum Limited (“Tethys” or the “Company”) (TSX:TPL) (LSE:TPL) today announces a corporate update.

Olisol Transaction

Following approval of The Grand Court in the Cayman Islands on August 19, 2016 to reduce the par value of the Company’s ordinary shares from US$0.10 to US$0.01 the Company has worked with Olisol and its advisors to complete the previously announced C$9.8 million private placement by September 2, 2016. The Company made the necessary filing with the Cayman Islands Registrar of Companies on August 31, 2016 at which time the reduction in par value became legally effective. The Investment Agreement requires a closing date two business days after all closing conditions have been satisfied or waived by the parties. The Company was prepared to complete the private placement with Olisol on September 2, 2016 as originally scheduled or to agree a short extension with Olisol if Olisol met certain funding commitments.

As Olisol has not done so the Company considers Olisol to be in breach of the Investment Agreement. The Company continues to work with Olisol to complete the private placement whilst at the same time evaluating alternative funding arrangements. Olisol continues to advance funds required under its’ obligation of the terms of the Investment Agreement to the Company in order to meet working capital needs and has advanced a total of US$452,000 to the Company in recent days.

Kazakhstan legal proceedings

On August 24, 2016 the Court dismissed the claim brought against the Company and its subsidiaries in Kazakhstan and ordered the lifting of the seizure order over the Company’s assets. The claimant lodged an appeal on August 29, 2016. Until the appeal is heard restrictions remain in place over the operation of the Company’s bank accounts in Kazakhstan.

Tajikistan arbitration proceedings

As previously announced on August 15, 2016, Total and CNPC, the Company’s partners in Tajikistan, filed for arbitration proceedings at the International Court of Arbitration in relation to the Company’s cash call defaults and the partners’ notice to the Company to withdraw. The partners are seeking to enforce the withdrawal notice and their claim for damages of US$9.0 million (and continuing) plus costs. The Company has submitted its response to the request for arbitration and has made a counter-claim against the partners of US$10.1 million.

About Tethys

Tethys is focused on oil and gas exploration and production activities in Central Asia and the Caspian Region. This highly prolific oil and gas area is rapidly developing and Tethys believes that significant potential exists in both exploration and in discovered deposits.

Disclaimer

Some of the statements in this document are forward-looking. Forward-looking statements include statements regarding the intent, belief and current expectations of the Company or its officers with respect to Olisol’s access to funds, the placing to Olisol, advances under the working capital facility, potential alternatives to the transactions with Olisol and related transactions. When used in this document, the words “expects,” “believes,” “anticipates,” “plans,” “may,” “will,” “should” and similar expressions, and the negatives thereof, are intended to identify forward-looking statements. Such statements are not promises or guarantees, and are subject to risks and uncertainties that could cause actual outcomes to differ materially from those suggested by any such statements including risks and uncertainties with respect to completion of the placing, advances under the working capital facility and related transactions. In addition, certain regulatory approvals lapse as early as September 3, 2016, and there is no certainty that the Company will be able to obtain an extension. Should the Company be unable to obtain an extension, it may not be able to complete the placing even if Olisol proposes to do so. Moreover, there is a risk that the Company’s counter-claim against Total and CNPC will not be successful and that the Company will be required to compensate Total and CNPC. There is also a risk that restrictions on the Company’s bank accounts in Kazakhstan will be extended.

No part of this announcement constitutes, or shall be taken to constitute, an invitation or inducement to invest in the Company or any other entity, and shareholders of the Company are cautioned not to place undue reliance on the forward-looking statements. Save as required by the Listing Rules and applicable law, the Company does not undertake to update or change any forward-looking statements to reflect events occurring after the date of this announcement.

Tethys Petroleum
info@tethyspetroleum.com
www.tethyspetroleum.com

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The S&P/TSX Venture Composite Index (INDEXTSI:JX) was on the rise last week, making a small increase of 0.46 percent to 810.92. 

A number of companies on the TSXV saw weekly percentage gains, hovering around the 30 percent mark.

Stocks that rose last week were most notably in the precious metals and base metals sector.

 

The top five gainers for the week were:

  • Probe Metals (TSXV:PRB)
  • Azimut Exploration (TSXV:AZM)
  • Serengeti Resources (TSXV:SIR)
  • Wealth Minerals (TSXV:WML)
  • Golden Dawn Minerals (TSXV:GOM)

Here’s a closer look at those companies:

Probe Metals

First on last week’s top 5 gaining TSXV stocks is Probe Metals, focused on the acquisition, exploration and development of gold properties. Currently, the company is focused on its key asset, the Val-d’Or East Gold project. On September 1, Probe Metals announced it had granted options to acquire 2,980,000 common shares.

Last week, shares of the company rose 32.12 percent to finish the five-day period at $1.81.

Get Our Expert Guide to Lithium Investing – FREE!

Click here to download your FREE INN Q3 Report on the lithium market, “Lithium Forecast & Lithium Stocks To Buy”.

Azimut Exploration

Azimut Exploration holds a gold and base metal portfolio in Quebec. As of April 21, 2016, the company holds 10 wholly owned exploration properties and four joint-venture projects for  a total of 4,672 claims.

On August 29, Azimut increased the number of common shares by 1,244,000 for future issuance under its stock option plan shares for a total of 4,544,000 of the 45,449,496 common shares issued.

Last week, shares of the company increased by 28.09 percent to $0.57.

Serengeti Resources

Third on last week’s top 5 TSXV stocks is Serengeti Resources, whose shares increased 27.27 percent to $0.21.

The company is focused on the development of its Kwanika copper-gold project in British Columbia. On August 25, Serengeti announced the completion of the drilling program at the Kwanika project.

Wealth Minerals

Wealth Minerals, over the last few years, has been focusing on the acquisition of precious metals projects with plans to continue advancing its existing projects, including the Yanamina and Valsequillo projects.

The company most recently announced the signing of the option agreement, giving it the right to acquire 100 percent interest in the Jesse Creek porphyry copper property located near Merritt, British Columbia.

Last week, shares of Wealth Minerals rose 26.58 percent to reach $1.00.

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Click here to download your FREE INN Q3 Report on the lithium market, “Lithium Forecast & Lithium Stocks To Buy”.

Golden Dawn Minerals

Closing out last week’s top 5 TSXV list is Golden Dawn Minerals, whose shares increased 25.81 percent to finish the week at $0.39.

Golden Dawn Minerals is currently consolidating its land position in the Greenwood Mining District by acquiring a number of gold assets. On August 29, the company announced the execution of a definitive agreement and received conditional approval from the TSXV for the issue of a convertible security with a face value of US$2.4 million.

Don’t forget to follow us @INN_Resource for real-time news updates!

Get Our Expert Guide to Lithium Investing – FREE!

Click here to download your FREE INN Q3 Report on the lithium market, “Lithium Forecast & Lithium Stocks To Buy”.

Data for 5 Top TSXV Stocks articles is retrieved each Friday after market close using The Globe and Mail’s market data filter. Only companies with a market capitalization greater than $10 million prior to the week’s gains are included. Companies within the mining and precious metals sectors are considered.

Securities Disclosure: I, Jocelyn Aspa, hold no direct investment interest in any company mentioned in this article.

Top TSXV stocks in recent weeks:

5 Top TSXV Stocks: Stans Energy Rises 250 Percent

5 Top TSXV Stocks: Tango Mining Soars 75 Percent

5 Top TSXV Stocks: Almadex Minerals Rallies 95.26 Percent

5 Top TSXV Stocks: Galway Metals Soars 187.5 Percent

5 Top TSXV Stocks: Sarama Resources Jumps 120 Percent

5 Top TSXV Stocks: Cava Resources Leaps 160.87 Percent

5 Top TSXV Stocks: Jayden Resources Leads the Way

5 Top TSXV Stocks: Renaissance Oil Leaps by 71.43 Percent

The post 5 Top TSXV Stocks: Probe Metals Tops the List appeared first on Investing News Network.

By Sean Mason, SmallCapPower.com

Tesla Motors’ (NASDAQ: TSLA) Gigafactory in Nevada, the world’s largest lithium battery plant, will require about 24,000 tonnes of lithium hydroxide annually, according to Benchmark Mineral Intelligence. To put that into perspective, in 2014, 50,000 tonnes of lithium hydroxide was consumed globally. Tesla’s desire would be to source this lithium locally, but Albemarle’s Silver Peak mine is the only producing lithium mine operating in the United States, with output of about 6,000 metric tons of lithium carbonate equivalent per year. Thus, for Albemarle to try and meet this potential demand from Tesla it would have to acquire additional supply, which could come from the juniors on our list.

Lithium X Energy Corp. (TSXV:LIX): Lithium X would likely be a priority target for Albemarle if, for no other reason, that it has an option to become the largest claims holder in Nevada’s Clayton Valley with over 15,020 acres (6,078 hectares). Its Nevada properties are also directly north and south of Albemarle’s lithium mining operation. Lithium X announced recently that it has begun the Phase 1 exploration drill program at its Clayton Valley North Lithium Project.

Related: Lithium Juniors with Big Insider Buying

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Click here to download your FREE INN Q3 Report on the lithium market, “Lithium Forecast & Lithium Stocks To Buy”.

Nevada Sunrise Gold Corporation (TSXV:NEV): Nevada Sunrise has an option to acquire properties in the Clayton Valley that border Albemarle to the northeast as well as Lithium X to the southwest. Nevada Sunrise’s most valuable asset currently, though, could be its option to purchase water rights in the Clayton Valley, which would allow for 1,770 acre/feet of water use for mining and milling per year. On August 29, 2016, Nevada Sunrise announced that it had completed an agreement with Advantage Lithium Corp. (see company description below), whereby Advantage can earn working interests in five of Nevada Sunrise’s lithium exploration projects located in Esmeralda County, Nevada, by incurring C$3.0 million in exploration expenditures. Advantage will also be granted an option to acquire State of Nevada water right Permit 44411. In return, Nevada Sunrise Gold will receive C$600,000 in cash as well as 2,071,447 shares of Advantage.

Albemarle filed an official protest of Nevada Sunrise’s water rights option with the Nevada Division of Water Resources back in April and, depending on the outcome it might be easier for to Albemarle just to acquire this C$13 million market cap company. Find out why Mercenary Geologist Mickey Fulp likes Nevada Sunrise Gold >>

Advantage Lithium Corp. (TSXV:AAL): Advantage Lithium recently signed an option agreement to acquire an interest of up to 70% in three Nevada lithium projects, 50% in two Nevada lithium projects and 100% of certain water rights in the Clayton Valley from Nevada Sunrise Gold. Advantage is led by Dev Randhawa, a successful resource industry entrepreneur and founder of Fission Uranium. On September 1, 2016, Advantage Lithium announced that it will begin drilling three holes in late September of this year (approximately 1,500 metres in total), focusing on lithium brine aquifer targets within close proximity to Albemarle’s Silver Peak mine.

Nevada Energy Metals (TSXV:BFF): The Company has developed a Project Generator Model for Nevada lithium claims with interests in seven lithium projects in the state, which includes ownership of 77 claims in the Clayton Valley, only 250m from Albemarle’s operations.

Get Our Expert Guide to Lithium Investing – FREE!

Click here to download your FREE INN Q3 Report on the lithium market, “Lithium Forecast & Lithium Stocks To Buy”.

Sienna Resources (TSXV:SIE): Sienna Resources recently acquired the Clayton Valley Deep Basin Lithium Brine Project, which is located directly between, and bordering, properties belonging to Pure Energy Minerals and Lithium X Energy. Sienna also acquired the Esmeralda Lithium Project in the Clayton Valley earlier this year. Find out which Sienna executive was a big buyer of his Company’s stock recently>>

Cypress Development (TSXV:CYP): Cypress has granted an option to Pure Energy Minerals of up to a 70% undivided interest in Cypress’ 1,520-acre Clayton Valley land package. Should this option fully vest, Cypress Development would own more than two million shares of Pure Energy Minerals, and Pure Energy would be required to spend US$1.8 million on exploration expenditures within four years to earn its 70% interest.

Dajin Resources (TSXV:DJI): Dajin holds a 100% interest in 265 placer claims totaling 2,138 hectares in Teels Marsh, Nevada as well as 191 placer claims totaling 1,558 hectares in Alkali Lake, Nevada, not far from Albemarle’s mine. Both properties have good access and infrastructure. Discover more insight on Dajin Resources>>

Eureka Resources (TSXV:EUK): Eureka recently acquire a 50% interest in the Gemini Lithium Project, which comprises 247 placer mining claims totalling 4,940 acres (2,000 hectares), in the western Lida Valley of Nevada.

Don’t forget to follow us @INN_Resource for real-time news updates!

Editorial Disclosure: Nevada Sunrise Gold, Nevada Energy Metals, Sienna Resources, Cypress Development, Dajin Resources, and Eureka Resources are clients of the Investing News Network. This article is not paid-for content.

The post Nevada Lithium Juniors That Could Be Acquired By Albemarle appeared first on Investing News Network.

TORONTO, ONTARIO and NUCLA, COLORADO–(Marketwired – Sept. 2, 2016) – Western Uranium Corporation (CSNX:WUC) (OTCQX:WSTRF) is pleased to announce a final closing of the non-brokered private placement (the “Private Placement”), announced in a news release dated June 29, 2016. An initial closing was announced on August 19, 2016. A total of 1,078,458 units (the “Units”) have been issued by the Company for gross proceeds of US$1,423,618, which remains subject to final regulatory approval.

The Company issued the Private Placement Units at a price of $1.70 per Unit. Each Unit consists of one common share of the Company (“Share”) plus one (1) common share purchase warrant of the Company (each whole such warrant, a “Warrant”). Each Warrant shall entitle the holder to purchase one Share at a price of Cdn$2.80 for a period of 5 years following the Closing Date of the Private Placement.

The Warrants contain a provision that if the Company’s shares trade at or above Cdn$4.25 per share for 15 consecutive trading days, the Company may, at any time after the expiry of the applicable statutory hold period, accelerate the expiration of the Warrants upon not less than 30 days’ written notice by the Company.

Securities issued pursuant to the Private Placement shall be subject to a six (6) month plus one (1) day statutory hold period for both Canadian resident investors and for United States investors. The statutory hold period will be calculated separately for the Shares issued at the respective August 19, 2016 and September 2, 2016 closings. In connection with the Private Placement, the Company paid a total of CAD$20,224 in cash to three (3) finders for services.

The Company intends to use the net proceeds from the Private Placement to pay the costs of the Company’s acquisition of Black Range Minerals Limited, to fund the development of the Company’s Ablation Technology, to fund mine production preparation and for working capital purposes.

Connect with Western Uranium Corporation (CSNX:WUC) (OTCQX:WSTRF) to receive an Investor Presentation.

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American Manganese Inc. (TSXV:AMY; PINKS:AMYZF;FRANK:2AM) has closed its non-brokered private-placement offering of 10,068,790 units at a purchase price of 14 cents per unit for aggregate gross proceeds of $1,409,631. Each unit comprises one common share in the capital of the company and one share purchase warrant. Each warrant entitles the holder to purchase one share at a price of 20 cents during the two years following the warrant’s date of issuance.

The offering was oversubscribed by $409,631 over the $1-million target initially contemplated for the private placement. The company intends to use the net proceeds from the offering for continued metallurgical testing of the company’s proprietary hydrometallurgical process for large-scale recycling of lithium-ion vehicle batteries, debt settlement and working capital.

Connect with American Manganese Inc. (TSXV:AMY; PINKS:AMYZF;FRANK:2AM) to receive an Investor Presentation.

The post American Manganese Closes Over-Subscribed Private Placement appeared first on Investing News Network.

Gold prices  continued dropping throughout the week, but was on the upward swing on Thursday with a sharp rise early Friday.  Despite the gains, the yellow metal still dropped 0.34 percent over the five-day period. As of 12:15 p.m EST, the gold price was $1,319.13

According to DailyFX, the gold price rising was in part due to an ISM Manufacturing survey going against Fed rate hike bets and pushing the US dollar down, and the release of the US jobs data.

Silver prices also rose significantly over the week, with the biggest spike coming on Friday. After hovering under the $19 mark in recent weeks, the increase comes as shareholders await the release of the US jobs data on Friday.

Over the five-day period, the grey metal gained 2.44 percent. As of 12:30 p.m. EST, the silver price was $19.21.

Click here to download an INN Investor’s Report on copper market trends, copper market forecast, and copper price predictions – For FREE.

In the base metals sector, copper prices also had a significant boost later in the week although after it dropped to a multi-week low on Tuesday. By Friday, the price dropped back down to $2.09 as of 12:40 p.m. EST. Overall, the copper price rose 0.11 percent over the five-day period.

The Economic Calendar reported that the US dollar has “kept pressure on copper,” and that it has “yet to respond to a deeply oversold condition.”

Lastly, spot oil prices dropped slightly during the first half of the week from $46.50 per barrel before heavily losing steam on Thursday and early Friday. While the oil price decreased 5.35 percent over the week, it started picking back up again Friday. As of 1:30 p.m. EST, the oil price was $44.44.

The oil price leveling in part came from Russian president, Vladimir Putin, putting a call out for production cap, according to The Week.  The publication reported that Putin has asked producers to agree to limit output at the International Energy Forum later in September.

Don’t forget to follow us @INN_Resource for real-time news updates.

Click here to download an INN Investor’s Report on copper market trends, copper market forecast, and copper price predictions – For FREE.

Securities Disclosure: I, Jocelyn Aspa, hold no direct investment interest in any company mentioned in this article. 

Related reading: 

Weekly Round-Up: Copper Falls to Lowest Level in Two Months

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Weekly Round-Up: Gold Weakens on US Jobs Data

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Weekly Round-Up: Gold Prices Still Rising

Weekly Round-Up: Gold Dips on Stronger Dollar

Weekly Round-Up: Gold Price Takes a Dip

Weekly Round-Up: Gold Price Hits 2-Year High

Weekly Round-Up: Gold Boom

Weekly Round-Up: Gold Price Briefly Tops $1,300

The post Weekly Round-Up: Gold Price Rallies on US Jobs Data appeared first on Investing News Network.

OTTAWA – Stria Lithium Inc. (TSXV:SRA) is pleased to announce it has been awarded a total of $114,400 in grants from the Government of Québec, Plan Nord, and from Innovation et Développement Manicouagan (CLD) Baie Comeau, to conduct a prefeasibility analysis for the production of lithium metal and lithium foil in Baie Comeau, Québec.

The grants were announced at a news conference held by the Hon. Pierre Arcand, Minister of Natural Resources and Minister Responsible for Plan Nord, and by Claude Martel, Mayor of Baie Comeau and Vice President of CLD.

Stria Lithium, the sole owner of the Pontax Lithium Project in the James Bay region of Northern Québec that is currently at the exploration stage. Stria also holds the proprietary technology, in-house process engineering and manufacturing expertise to produce high-value, in-demand lithium metal and lithium foil for an underserved North American market.

Working in the Province of Québec affords Stria access to low-cost supplies of electricity required for lithium metal processing and fabrication of end products used for the most part in the manufacture of primary lithium batteries, aluminum alloys for the aircraft industry and starter material for pharmaceutical and specialty chemical industries.

Baie Comeau is some 420 km northeast of Québec City on the north shore of the St. Lawrence River. Its deep water port provides easy access to both North American and European lithium metal markets.

The Government of Québec has provided a grant of $74,400 to finance the pre-feasibility study divided equally between the Ministry of Economics, Science and Innovation and the Société du Plan Nord while Innovation et Développement Manicouagan (CLD) Baie Comeau is contributing $40,000.

Stria has committed $50,000 in in-kind contributions to the project.

The purpose of the prefeasibility study is to determine the viability of Stria’s planned production facility before moving to a full feasibility analysis prior to construction. Stria anticipates completion of the initial analysis within 3 months.

Key deliverables of the study are to verify the principal assumptions for Stria’s comprehensive business plan. These include verification of prevailing and future markets, confirmation of the technology and operating risks. Consolidation of site requirements including required permits, environmental considerations, staffing and capital and operating costs.

Minister Arcand said the prefeasibility study was a first step that might lead to a total investment of $20 million in Baie Comeau and lead to the creation of some 30 direct jobs.

He said the Stria technology and manufacturing project dovetailed with Plan Nord’s development objectives in terms of business diversification in the Northern Québec region.

“The pre-feasibility study that will lead Stria Lithium into this region meets one of the (government’s) objectives for Plan Nord 2035,” said Minister Arcand. “And that is to support promising projects with a view to the diversification through enhanced mineral processing, in particular, minerals such as diamond, apatite, ilmenite, lithium, graphite and rare earths. ”

Stria Lithium Chief Executive Officer Gary Economo said his company sees a strategic value in commissioning its lithium production facility in Québec.

“As the world moves to a low carbon economy, securing a competitive business advantage is critical to a manufacturer’s success in both today’s and tomorrow’s clean technology markets,” said Mr. Economo.

“We see our commercial advantages through a lens that incorporates environmental sustainability with unique technologies from the production floor to the end-user – a prerequisite for acceptance everywhere in the world today,” he added.

Stria President and Chief Operating Officer Dr. Iain Todd praised the commitments by Québec authorities for sharing Stria’s technology vision.

“Stria is truly unique in the lithium sector,” said Dr. Todd. “While we continue exploration of our James Bay project, we anticipate being in a revenue-positive position within the next 24 months.

“From an operating perspective, one of the key cost components to production of lithium metal is the price of energy. The availability of low cost electricity in the Baie Comeau region, offers Stria a significant market advantage in the manufacturing of lithium metal by electrolysis,” said Dr. Todd.

Connect with Stria Lithium Inc. (TSXV:SRA) to receive an Investor Presentation.

The post The Québec Government Awards Stria Lithium $114,400 in Grants for Prefeasibility Study appeared first on Investing News Network.

VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 1, 2016) –

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN

Benz Mining Corp. (TSX VENTURE:BZ) (the “Corporation” or “Benz“) announced that it has entered into a Definitive Agreement (the “Agreement”) with Zimtu Capital Corp.., a public British Columbia company (“Zimtu“) for the option to acquire a 100% interest (the “Transaction“) in the Lithium Project (the “Property“), located in the province of Newfoundland & Labrador, Canada.

Transaction Overview

The Agreement gives Benz a 45 day period (by October 15, 2016) to complete the rest of the detailed due diligence review (the “Due Diligence Review”) and close the Transaction; and to obtain the Exchange approval by October 31, 2016. The terms of the Agreement provide for an aggregate purchase price of C$100,000 cash payment on or before August 31, 2017, and the issuance of 1,000,000 Benz common shares (the “Consideration Shares“) six months after signing the agreement, and the issuance of 1,000,000 Consideration Shares twelve months after signing the agreement. Upon issuance, the Consideration Shares are to be subject to hold periods and restrictions on resale in accordance with applicable securities laws and Exchange requirements. Benz shall spend C$10,000 on exploration of the property within three months of signing the contract.

Zimtu will also retain a 1.5% net smelter return royalty on any future production from the Property. Benz can acquire half (50%) of the net smelter return royalty from Zimtu, at any time, for C$1,000,000.

The Transaction is subject to requisite regulatory approval, including the approval of the TSX Venture Exchange (the “Exchange”) and standard closing conditions, including, approval of the shareholders of Benz, if required, and completion of due diligence investigations to the satisfaction of Benz, as well as the conditions described below.

There can be no assurances the transaction will close.

About the Corporation

Benz is a junior mining company focused on the exploration and development of mineral properties located in the Americas. Its strategic vision is to become a profitable mining producer providing value for all stakeholders. For more information, please refer to the Company’s website at www.benzmining.com.

This news release contains statements that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them as actual results may differ materially from the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include failure to obtain final acceptance of the TSX Venture Exchange. The forward-looking statements contained in this news release are made as of the date hereof, and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, except as required by law.

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 accuracy or adequacy of this release.

Miloje Vicentijevic
CEO & Director
604.617.1239
www.benzmining.com

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The post Benz Mining Corp. Announces Definitive Agreement to Purchase Lithium Property in Newfoundland & Labrador appeared first on Investing News Network.

CALGARY, ALBERTA–(Marketwired – Sept. 1, 2016) – Zargon Oil & Gas Ltd. (the “Company” or “Zargon”) (TSX:ZAR)(TSX:ZAR.DB) announces the closing of the sale of all of its Southeast Saskatchewan assets for cash consideration of $89.5 million. The effective date of the transaction is July 1, 2016.

The proceeds of this transaction have initially been used to eliminate Zargon’s bank debt. As outlined below, Zargon’s net debt (including debentures) will be approximately $35.5 million following the transaction:

  • Bank debt and net working capital – $64.8 million as of June 30, 2016.
  • Net sale proceeds after adjustments (transaction and severance costs) – $86.8 million.
  • Net post-closing cash balances – $22.0 million.
  • Outstanding June 2017 Convertible Debentures – $57.5 million
  • Net debt (including debentures) – $35.5 million

Zargon has also entered into a definitive agreement for the sale of all of its Killam, Alberta assets for cash consideration of $4.0 million, subject to normal closing adjustments. The effective date of the transaction is August 1, 2016 and the transaction is expected to close in mid-September. The Killam, Alberta assets have the following attributes:

  • Production: 133 barrels of oil equivalent per day – 58 percent oil and liquids (first half 2016 rates).
  • Proven plus probable reserves: 0.67 million barrels of oil equivalent – 64 percent oil and liquids (McDaniel & Associates Consultants Ltd. – Dec. 31, 2015)

Remaining Zargon Assets

With the completion of the Southeast Saskatchewan and Killam, Alberta sales, Zargon’s remaining assets will be highlighted by the Alberta Little Bow Alkaline, Surfactant, Polymer (“ASP”) tertiary recovery project, the Alberta Taber and Bellshill Lake low decline oil properties, and the remaining Williston Basin North Dakota properties. The 2015 year end reserves and first half 2016 production rates for these remaining properties are summarized below:

  • Production: 2,749 barrels of oil equivalent per day of low decline production – 81 percent oil and liquids.
  • Proven plus probable reserves: 15.09 million barrels of oil equivalent – 88 percent oil and liquids (McDaniel & Associates Consultants Ltd. – Dec. 31, 2015).
  • Undeveloped oil exploitation locations – 12 net locations (McDaniel & Associates Consultants Ltd. – Dec. 31, 2015).
  • Little Bow ASP tertiary recovery project – Currently, the ASP project is forecast to provide stable oil production for a few quarters. At higher oil prices, the existing ASP infrastructure can be utilized for multiple ASP phases and Polymer only projects seeking a 10 percent incremental oil recovery on over 80 million barrels of working interest oil-in-place.

Pro forma, upon successful completion of the sale of the Southeast Saskatchewan and Killam, Alberta properties, Zargon’s remaining assets are forecast to have the following attributes in the second half of 2016.

  • Oil and liquids production – 2,170 barrels per day.
  • Total production – 2,625 barrels of oil equivalent per day.
  • Base oil declines – Blended corporate oil decline of 11 percent per year.
  • Average royalties – Alberta including ASP; 8 percent: North Dakota; 24 percent.
  • Operating Costs – Alberta including ASP; $17.2 million (annualized): North Dakota; $2.0 million (annualized).
  • 2016 second half Capital Budget – ASP Polymer Injections; $1.8 million, Other Oil Exploitation Projects: $0.6 million, Abandonments and Site Reclamations; $0.3 million.
  • 2017 Capital Budget – ASP Polymer Injections; $3.6 million, Other Oil Exploitation Projects: $1.5 million, Abandonments and Site Reclamations; $1.5 million. If oil prices improve from current levels, this budget can be increased to incorporate high-graded oil exploitation locations and the resumption of Alkaline and Surfactant injections in high-graded areas of the Little Bow ASP project.

Additional information regarding Zargon’s low decline, oil exploitation properties are available on our website at www.zargon.ca.

Ongoing strategic alternatives process

Last year, Zargon announced the formation of a special board committee to examine alternatives that would maximize stakeholder value in a manner that would recognize the company’s fundamental inherent value related to Zargon’s long-life, low-decline conventional oil assets and the significant long term oil potential related to the Little Bow ASP project.

The sale of Zargon’s Southeast Saskatchewan and Killam, Alberta assets are a significant step in this process. The strategic alternatives process is continuing and may include but is not limited to, a financing, merger or other business combination, sale of the company or a portion of the company’s business or assets, or any combination thereof, as well as the continued execution of our business plan.

Forward-Looking Statements

This press release contains forward-looking statements relating to our plans and operations as at September 1, 2016. Forward-looking statements typically use words such as “anticipate”, “continue”, “estimate”, “expect”, “forecast”, “may”, “will”, “project”, “should”, “plan”, “intend”, “believe” and similar expressions (including the negatives thereof). In particular, this press release contains forward-looking statements relating, but not limited to: our business strategy, plans and management focus; our expected oil decline rates, average royalties, operating costs and net debt; plans with respect to our remaining assets, plans with respect to our 2016 and 2017 capital programs, including ASP, our forecasted 2016 production guidance and our plans for our strategic alternatives process. In addition, all statements relating to reserves, including ASP reserves, in this press release are deemed to be forward-looking as they involve an implied assessment, based on certain assumptions and estimates, that the reserves described, can be properly produced in the future.

By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond our control, such as those relating to results of operations and financial condition, general economic conditions, industry conditions, changes in regulatory and taxation regimes, volatility of commodity prices, escalation of operating and capital costs, currency fluctuations, the availability of services, imprecision of reserve estimates, geological, technical, drilling and processing problems, environmental risks, weather, the lack of availability of qualified personnel or management, stock market volatility, the ability to access sufficient capital from internal and external sources and competition from other industry participants for, among other things, capital, services, acquisitions of reserves, undeveloped lands and skilled personnel. Risks are described in more detail in our Annual Information Form, which is available on sedar and our website. Forward-looking statements are provided to allow investors to have a greater understanding of our business.

You are cautioned that the assumptions, including, among other things, future oil and natural gas prices; future capital expenditure levels (including ASP); future production levels; future exchange rates; the cost of developing and expanding our assets; our ability to obtain equipment in a timely manner to carry out development activities; our ability to market our oil and natural gas successfully to current and new customers; the impact of increasing competition; our ability to obtain financing on acceptable terms; and our ability to add production and reserves through our development and acquisition activities used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Our actual results, performance, or achievement could differ materially from those expressed in, or implied by, these forward-looking statements. We can give no assurance that any of the events anticipated will transpire or occur or, if any of them do, what benefits we will derive from them. The forward-looking information contained in this document is expressly qualified by this cautionary statement. Our policy for updating forward-looking statements is that Zargon disclaims, except as required by law, any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Other Advisories – Boe’s may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. In addition, given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6:1, utilizing a conversion ratio on a 6:1 basis may be misleading as an indication of value. The estimates of reserves and future net revenue for individual properties may not reflect the same confidence level as estimates of reserves and future net revenue for all properties, due to the effects of aggregation.

FURTHER INFORMATION:

Based in Calgary, Alberta, Zargon’s securities trade on the Toronto Stock Exchange and there are currently approximately 30.484 million common shares outstanding.

Zargon is a Calgary based oil and natural gas company working in the Western Canadian and Williston sedimentary basins and is focused on oil exploitation projects (waterfloods and tertiary ASP) that profitably increase oil production and recovery factors from existing oil reservoirs.

In order to learn more about Zargon, we encourage you to visit Zargon’s website at www.zargon.ca where you will find a current shareholder presentation, financial reports and historical news releases.

Zargon Oil & Gas Ltd.
C.H. Hansen
President and Chief Executive OfficerZargon Oil & Gas Ltd.
J.N. Post
Chief Financial Officer
403-264-9992
zargon@zargon.ca
www.zargon.ca

The post Zargon Oil & Gas Ltd. Announces the Closing of the Sale of Southeast Saskatchewan Assets for $89.5 Million appeared first on Investing News Network.

Thunder Bay, Ontario: Alset Energy Corp. (TSXV:ION) is pleased to announce the receipt of a new translation revealing results of an official study undertaken in 1992 by the Mexico’s former Mineral Resource Council, (now the Geologic Society of Mexico) on the San Jose de Caliguey salar located within one of Alset’s concessions in San Luis Potosi, Mexico.

The purpose of the study was to improve efficiency of a common salt (sodium chloride, NaCl) production operation within the salar. The salt production process began with pumping salar brine from a well 20 meters deep to a number of evaporation ponds “where it remains for a number of days (a minimum of 90 days) to evaporate the water through the sun’s energy. This concentrates and crystallizes the sodium chlorides and sulfates and, to a lesser extent, potassium. They are harvested as a solid and separated into first, second, and third quality, depending on how pure they are.

As part of the study, the Resource Council collected a number of samples, both sediments, and liquid from facility evaporation ponds and the surface lagoon adjacent to the operation and sent for salt and lithium (Li) analyses.

A map showing the water sample locations and the Mexican Council report will be available on Alset’s website.

Samples SJC-8 (1.2% or 12,000ppm Li) and SJC-15 (1.4% or 14,000ppm Li) were collected from evaporation ponds. Samples SJC-21 (1.4% or 14,000ppm Li) and SJC-23 (2.1% or 21,000ppm Li), came out of what appears to be the outer lagoon, perhaps designed to collect water decanted from the evaporation ponds in order to harvest the salt. It is clear that all four water samples showed extremely high lithium content, almost certainly due to solar evaporation of brines pumped from beneath the salar.

These lithium concentrations are equivalent to the levels in concentrated solutions fed to lithium battery chemical production processes elsewhere. For comparison Rockwood’s Silver Peak operations in Nevada concentrate lithium to about 7,000 ppm prior to processing.

Thus, the salt production process at San Jose Caliguey lagoon inadvertantly proves not only that lithium-rich brines can be pumped in useable quantities from this Alset salar, but it also proves that production of lithium chemicals is possible from those brines.

Two of Alset’s other salars host similar salt production operations. Alset believes the Caliguey evaporation process could potentially be replicated and refined at those locations to deliberately produce commecial quantities of lithium and potassium. Planning is now underway to evaluate the solution chemistry and hydrogeology at all lagoons. It should be noted that these results from the Governement report are believed to be reliable but have not yet been duplicated or verified by Alset personnel.

Alset is also pleased to announce that it has received drilling and stripping permits from the Ministry of Northern Development and Mines for their 100%-owned Wisa Lake Lithium project located in Ontario. The permits require the Company to consult with the local communities to ensure timing of any local concerns is met. Alset is committed to working alongside Lac La Croix First Nation and anticipates drilling and trenching will be able to start in the Fall of 2016. The drill program will confirm and expand on the historical North Zone, host to a non NI 43-101 compliant historical resource of 330,000 tonnes grading 1.15% Li2O (Lexindin Gold Mines Ltd., Manager’s Report, 1958 as referenced in Ontario Geological Survey, Open File Report 6285, Report of Activities 2012). It should be noted that the historical resource estimate for the deposit was calculated prior to CIM National Instrument 43-101 guidelines and as such should only be considered from a historical point of view and not relied upon. A qualified person has not completed sufficient work to classify the historical estimates as current mineral resources. Additional drill holes are proposed to test the high grade South Zone (SZ) where grab samples of up to 6.38% Li2o3 have been collected by Alset. The SZ has been traced for 90 metres before disappearing under overburden cover to the west and into a pond to the east.

Alset is well funded and is currently completing a private placement financing to raise gross proceeds of up to $2 million.

Connect with Alset Energy Corp. (TSXV:ION) to receive an Investor Presentation.

The post Alset Energy Obtains Encouraging Mexican Government Study Regarding its Salar Brines and Receives Wisa Drill Permit appeared first on Investing News Network.

CALGARY, ALBERTA–(Marketwired – Sept. 1, 2016) – AlkaLi3 Resources Inc., formerly Veraz Petroleum Ltd., (NEX:ALK.H) (the “Company” or “ALK“) is pleased to announce that it has entered into an agreement (the “Acquisition Agreement“) with VE Resources Inc. (“VE“) and the sole shareholder of VE (the “Vendor“) (both of whom are arm’s length parties) pursuant to which the Company is expected to acquire an indirect 50% interest in the 4,060 acre Scotty’s Flats group of highly prospective lithium exploration claims (the “Property“) in central Nye County, Nevada (the “Acquisition“).

Paul Baay, the Company’s Chairman, comments “the acquisition of these claims represents an exciting step in the evolution of the Company, as we look to discover the next lithium deposit to service the world’s increasing demand.”

The Acquisition

Pursuant to the Acquisition Agreement, the Company will acquire 50% of the outstanding shares of VE from the Vendor in exchange for 6,000,000 common shares of the Company (“Shares“). Pursuant to the policies of the TSX Venture Exchange (“Exchange“), the Shares will be issued at a deemed price of $0.05 per Share, which was the last trading price of the Shares prior to the execution of the Acquisition Agreement. As a result, the Company will hold a 50% interest in VE. Pursuant to the terms of the Acquisition Agreement, the Company will appoint up to two directors to VE’s board at closing, which is currently comprised of two directors. The Company understands that the Vendor is currently negotiating an agreement to sell the remaining 50% of VE’s outstanding shares to a third party. The Company anticipates entering into one or more agreements with such third party in respect of the governance of VE and the operation of its assets.

Completion of the Acquisition will be considered a reviewable acquisition in accordance with Exchange Policy 5.3 and is subject to a number of conditions including, but not limited to, Exchange acceptance. The Acquisition and the issuance of Shares in connection therewith are subject to receipt of all necessary regulatory approvals, including the approval of the Exchange. There can be no assurance that the Acquisition will be completed as proposed or at all.

In accordance with Exchange policies, the Company’s Shares were halted from trading and are expected to resume trading today.

Scotty’s Flats Property Highlights

The primary asset held by VE is the Property. In connection with the Acquisition, the Company has commissioned a National Instrument 43-101 compliant technical report entitled “Geological Report and Summary of the Field Examination, Scotty’s Flats Properties, Nye County Nevada” dated July 8, 2016, as amended July 11, 2016, (the “Report“) in respect of the Property. The following description of the Property is derived from the Report. The Company anticipates filing the Report on SEDAR following closing of the Acquisition.

The Property consists of 29 Association Placer claims, representing the equivalent of 203 20 acre placer claim units, which cover a total of 4,060 acres, in central Nye County, which is approximately 50 kilometers (“km“) south of Goldfield, Nevada, two to six km west of the western boundary of the Nevada Military Test site and State Highway 95 and 35 km North of Beatty, Nevada. The Property is 100% controlled by the Vendor without underlying obligations or encumbrances.

The Report describes the Property as an early stage but well defined opportunity for discovery of brines with significant concentrations of lithium and other elements amenable to evaporitic concentrations from continental brines.

The Property covers a key position in the deep quaternary pull-apart basin. The United States Geological Survey (“USGS“) has defined this as a closed basin with mature evaporites and excellent potential for concentration of lithium bearing brines. The source materials for the basin include the Upper Miocene Esmeralda Formation surrounding the Clayton Valley and Lida Valley, the Miocene Horse Springs Formation within the Military Test Site immediately east of the Property, and the tertiary volcanic complex in the Bullfrog Mine/Beatty Area along the south flank of the subject basin. No drilling has been undertaken to confirm the chemistry of the brines within this mature evaporite complex but published USGS results confirm the presence of anomalous lithium concentrations in a very preliminary surface sampling of clay, halite and gypsum bearing sediments in the basin. The Report states that the Property therefore offers good exploration potential in a well defined target environment.

The Report also notes that the Property is located in a geopolitical environment permissive to commercial development, and that access and infrastructure are ideal for a cost effective program of target definition and development using well defined geological, geochemical and geophysical tools and rapid advancement to the drilling stage.

The Report recommends that a two phased work program be completed, with Phase 1 of the work program budgeted at approximately $159,000 and expected to consist of: (i) orientation auger geochemical sampling for salts, clays and brines; (ii) airborne gravity, magnetic and ZTem surveys to map the basin geometry and conductive brine bearing aquafers; (iii) permitting for seismic lines; and (iv) a drilling program contingent on geophysical results from the other activities noted. The Phase 2 work program is recommended to include seismic profiles, detailed target modeling for drill planning, the completion of four drill holes and hydrogeological testing. The budget for Phase 2 of the program will be dependent on the results from Phase 1.

All scientific or technical information provided in this news release has been reviewed and approved by the author of the Report, David Bending, M.Sc., P.Geo. (BC 1992), a professional geoscientist and project manager contracted by the Company and a qualified person as defined by National Instrument 43-101. Mr. Bending has verified any data disclosed herein, including sampling, analytical and test data underlying the information or opinions contained in this news release, via multiple site visits to the Property and associated field examinations.

Application to Graduate from NEX to the TSXV

In connection with the Acquisition, the Company expects to apply to graduate from NEX to Tier 2 of the Exchange. The Company sold its oil and gas assets in 2012 and became an inactive company trading on NEX on July 30, 2012. Upon completion of the Acquisition and subject to Exchange acceptance, it is expected that the Company will become a junior mining issuer.

Forward-Looking Statements

This news release contains certain forward-looking statements or information (“forward-looking statements”) as defined by applicable securities laws that involve substantial known and unknown risks and uncertainties, many of which are beyond the Company’s control. These forward-looking statements relate to future events or our future performance. All statements other than statements of historical fact may be forward-looking statements. The use of any of the words “plan”, “expect”, “prospective”, “project”, “intend”, “believe”, “should”, “anticipate”, “estimate”, or other similar words or statements that certain events “may” or “will” occur are intended to identify forward-looking statements. The projections, estimates and beliefs contained in such forward-looking statements are based on management’s estimates, opinions, and assumptions at the time the statements were made, including assumptions relating to: the current commodity price environment; the impact of economic conditions in North America and globally; industry conditions; changes in laws and regulations including, without limitation, the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; stock market volatility and fluctuations in market valuations of companies with respect to announced transactions and the final valuations thereof; results of sampling, exploration and testing activities; and the ability to obtain required approvals and extensions from regulatory authorities. We believe the expectations reflected in those forward-looking statements are reasonable but, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that the Company will derive from them. As such, undue reliance should not be placed on forward-looking statements. Forward-looking statements contained herein include, but are not limited to, statements regarding: the terms of the Acquisition and the Acquisition Agreement; receipt of all required regulatory approvals, including the Exchange; completion of the Acquisition and graduation of the Company to Tier 2 of the Exchange; the Company entering into one or more additional agreements with respect to the governance of VE and the operation of its assets; the resumption of trading of the Company’s common shares; the Company’s ability to explore for and recover the expected deposit types from the Property; the description of the Property described in the Report; the anticipated activities for Phase 1 and Phase 2 of the work program on the Property recommended in the Report; the proposed budget for Phase 1 of the work program on the Property recommended in the Report; and the anticipated timing for filing of the Report. The forward-looking statements contained herein are subject to numerous known and unknown risks and uncertainties that may cause the Company’s actual financial results, performance or achievement in future periods to differ materially from those expressed in, or implied by, these forward-looking statements, including but not limited to, risks associated with: the Acquisition and receipt of all necessary regulatory approvals, including the Exchange; fluctuations in commodity prices, foreign exchange or interest rates; the failure to obtain required regulatory approvals or extensions; failure to secure required equipment and personnel; changes in general global economic conditions including, without limitations, the economic conditions in North America; increased competition; the availability of qualified operating or management personnel; changes in laws and regulations including, without limitation, the adoption of new environmental and tax laws and regulations and changes in how they are interpreted and enforced; the results of sampling, exploration and development activities; the ability to access sufficient capital from internal and external sources; and stock market volatility. The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The forward-looking statements contained in this news release speak only as of the date hereof and the Company does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be require pursuant to applicable securities laws.

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.

Paul Baay
Chairman
+1 403-619-8407
pbaay@touchstoneexploration.com

The post AlkaLi3 Resources to Acquire Interest in Nevada Lithium Property and Apply to Graduate from NEX to the TSX Venture Exchange appeared first on Investing News Network.

SINGAPORE, SINGAPORE–(Marketwired – Sept. 1, 2016) – Terra Nova Energy Ltd. (“Terra Nova” or the “Company”) (TSX VENTURE:TGC)(OTCQX:TNVMF) is pleased to announce that it has entered into a Farmout Agreement (“Agreement”) with Zeta Petroleum (Romania) S.R.L. (“Zeta Petroleum”) to acquire up to an eighty percent (80%) participating interest in the Bobocu License, onshore Romania.

Terra Nova will be entitled to acquire an initial forty percent (40%) participating interest in the Bobocu Production License upon: (1) The drilling of one commitment side-track entering of an existing well (“well”) on the License; and (2) Cash payments totaling USD $1,040,000, of which 40% of the cash payment will be paid on certain milestone events and 60% of the cash payments will be paid out of Terra Nova’s entitlement to future production.

Terra Nova may acquire an additional forty percent (40%) participating interest in the Bobocu Production License by drilling one additional exploration well to a total depth of 2,800 meters and making an additional cash payment totaling USD $1,040,000, of which 50% of the cash payment will be paid on certain milestone events and 50% of the cash payment will be paid out of Terra Nova’s entitlement to future production.

The obligations under the Agreement are conditional on, among other things, National Agency for Mineral Resources’ unconditional written approval of the assignment of the participating interest to Terra Nova and the side-track well.

To view the map associated with this press release, please visit the following link: http://media3.marketwire.com/docs/Romania.jpg.

Henry Aldorf, CEO of Terra Nova stated: “We are looking forward to working with our partner Zeta Petroleum to develop the Bobocu license in Romania, a member country of the European Union and the OECD. Romania, contains South Eastern Europe’s most significant oil and gas reserves and possesses surplus refining capacity. The extensive existing infrastructure, the attractive prospective geology and its strategic location within the European energy markets all creates a robust environment for the Romanian petroleum industry. Romania is currently the largest natural gas producer in Eastern Europe.”

The Bobocu gas field is located in the foreland basin of the Carpathians 150 km NE of Bucharest, Romania. The field was discovered by Romgaz in 1966, and produced from 1977 to June 1995, and again from December 2000 until November 2001.

A total of 31 wells have been drilled in the area and gas has been produced from 14 Upper Miocene sandstone reservoirs located from 2,500 meters to 2,700 meters in depth.

Key Bobocu Highlights:

  • Total production to date has been 33 Bcf (10.4 Bcm) from 15 wells.
  • The field was discovered and developed solely on 2D seismic data. Terra Nova’s partner has acquired 75 km2 of 3D over the field, which has been reprocessed.
  • Robust Project Economics: Gas prices for gas produced in Romania are regulated by the Regulatory Authority for Energy (ANRE). The current average monthly regulated price for domestically produced gas is RON 60 per MWh or approximately US$ 4.00 to US$ 4.50 per mmcf.
  • Proximity to Key Infrastructure: The Bobocu Gas Field has a 10 inch pipeline connecting to the high-pressure national grid.
  • Near term monetization of potential gas reserves as early as 2017.

About Terra Nova Energy Ltd.

Terra Nova Energy Ltd. is an oil and gas company with a 20.66% working interest in two onshore petroleum exploration licenses (“PELs”), being PEL 112 and PEL 444, located on the western flank of the Cooper Eromanga Basin in the State of South Australia, Australia. Its common shares trade on the TSX Venture Exchange under the symbol “TGC” and its ordinary shares trade in the U.S. on the OTCQX marketplace under the symbol “TNVMF.”

This news release contains forward-looking information relating to Terra Nova’s intentions to conduct the drilling programs and other statements that are not historical facts. Such forward-looking information is subject to important risks and uncertainties that could cause actual results to differ materially from what is currently expected, for example: risks related to oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, competition from other producers, inability to retain drilling rigs and other services, reliance on key personnel, and insurance risks. Findings by other oil and gas issuers does not necessarily indicate that Terra Nova will be successful in making such findings in the Western Flank. In making such forward-looking statements, Terra Nova has relied upon certain assumptions relating to geological settings, commodity prices, the stability of markets and currencies and the availability of capital to Terra Nova in order to continue with the seismic and drilling programs. You should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While Terra Nova may elect to, Terra Nova is under no obligation and does not undertake to update this information at any particular time, except as required by applicable securities law.

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.

Terra Nova Energy Ltd.
Investor Relations
+1 604 200 1039
info@terranovaenergyltd.comTerra Nova Energy Ltd.
Nico Civelli
+65 9395 8990
nico@terranovaenergyltd.com

The post Terra Nova Energy Enters Into Farmout Agreement With Zeta Petroleum for the Bobocu Gas Field appeared first on Investing News Network.

Lithium Australia NL (ASX:LIT) is pleased to announce the commencement of pilot testing at ANSTO Minerals (a division of the Australian Nuclear Science and Technology Organisation). The first test will consist of a 24 hour commissioning run of the Sileach™ circuit, after which process solutions and residual solids will be examined prior to commencing continuous operations in about two weeks’ time.

Trilithionite (a lithium silicate) feed material, for the first pilot plant test run, was recovered from mine dumps at Lepidolite Hill (Western Australia). Beneficial owners of Lepidolite Hill are:

  • Lithium Australia NL (ASX:LIT) 40%
  • Cazaly Resources Ltd (ASX:CAZ) 40%, and
  • Focus Minerals (ASX:FML) 20%

Results from the continuous tests on trilithionite are anticipated in October.

Pilbara Minerals Limited (ASX:PLS) has supplied spodumene concentrates for further continuous pilot testing. It is anticipated this will commence at ANSTO Minerals after assessment of the tests on trilithionite.

Connect with Lithium Australia NL (ASX:LIT) to receive an Investor Presentation.

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VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 1, 2016) – Advantage Lithium Corp. (the “Company” or “Advantage Lithium“) (TSXV:AAL) and its partner, Nevada Sunrise (TSXV:NEV)., are pleased to announce an exploration program update for its Clayton NE project in Clayton Valley, Nevada, which borders Albemarle’s Silver Peak mine – North America’s only brine hosted lithium producer. The program will be comprised of both ground geophysics and Reverse Circulation (RC) drill holes. Three holes (approximately 1,500m total) will focus on high-priority lithium brine aquifer targets close to the Silver Peak border.

Drilling Highlights

  • 3 drill targets within close proximity to Albemarle’s Silver Peak mine, where brine production wells are situated within approximately 100m of the Clayton NE property boundary. The drill program is expected to commence during late September.
  • Historical drilling within the project area by the United States Geological Survey (“USGS”) was reported to encounter elevated lithium values in ground water.
  • Advantage Lithium is the only lithium explorer in the Clayton Valley, other than Albemarle, with access to certified water rights.

David Sidoo, President and Director, of Advantage Lithium, commented: “Within just weeks of closing our acquisition, we are preparing to drill at Clayton NE, where proximity to Albemarle’s lithium production wells and favourable geology, give Clayton NE excellent potential as a lithium brine project. In addition to advancing our Clayton Valley projects, Advantage Lithium is continuing to identify and assess additional projects in North and South America with a view to potential acquisition.”

In addition to the drilling, an 11 line-km Volterra 3D Resitivity ground geophysics survey program will be conducted over the entire project area. The survey will have the potential to identify and image conductive horizons to approximately 600m depth as well as identify subsurface faults. Brine formations, such as those that Albemarle produce lithium from on its neighboring Silver Peak property, should appear as conductive horizons. The location, thickness and potential concentrations of lithium in brines are often influenced and controlled by geological structural features. The 3D Resistivity survey also has the potential to discern and image subsurface structural features such as the Angel Island fault, which is projected to run parallel to and proximal to the eastern claim boundary. The Angel Island fault is interpreted to be an important feature associated with Silver Peak’s economic brine formations. The program is budgeted at CDN $642,000.

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September 1, 2016 – Vancouver, British Columbia – Nevada Energy Metals (TSXV:BFF) (OTCQB:SSLMF) (Frankfurt:A2AFBV)Rick Wilson, President and CEO, is pleased to announce that effective immediately, Tim Fernback has joined the Company to serve as Chief Operating Officer (COO) for Nevada Energy Metals. Mr. Fernback possesses over twenty years of experience in financing and managing public and private small-cap companies throughout North America. Previously he has held multiple senior executive positions, including oversight of the Investment Banking and Corporate Finance Divisions at Wolverton Securities, formerly Western Canada’s oldest brokerage firm. He was also responsible for the consulting practice at Discovery Capital Corporation, a prominent British Columbia venture capital firm that specializes in financing and consulting.

At Wolverton Securities, Mr. Fernback was responsible for due diligence reviews on corporate clients and investment banking business development relationships for over 6 years. He planned and opened 3 regional offices in western Canada and reviewed and analyzed over 300 corporate clients for funding within the financial services industry raising over $750M.  Responsible for over 50 IPOs and over 100 Reverse-Mergers on the TMX and Nasdaq, Mr. Fernback represented Wolverton nationally on various stock exchange committees and industry groups, including the Corporate Finance Advisory Group and Underwriting Groups on various Canadian Exchanges.

Mr. Fernback also currently serves as a Director for several Canadian mining companies. He holds an Honours B.Sc. from McMaster University, and is a graduate of the Sauder School of Business at the University of British Columbia, where he completed a MBA with a concentration in Finance. Mr. Fernback also holds a Certified Professional Accounting Designation (CPA, CMA) and is an active member of many industry and trade organizations in Vancouver.

Connect with Nevada Energy Metals (TSXV:BFF) (OTCQB:SSLMF) (Frankfurt:A2AFBV) to receive an Investor Presentation.

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