GrowMax Resources Announces Third Quarter 2016 Results, Closing of Sale of Energicon, and 2017 Capital Spending Guidance
(firmenpresse) - CALGARY, ALBERTA -- (Marketwired) -- 11/25/16 -- THIRD QUARTER RESULTS
GrowMax Resources Corp. (the "Company" or "GrowMax Resources") (formerly Americas Petrogas Inc.) (TSX VENTURE: GRO) announces that it has filed its condensed interim consolidated financial statements and Interim MD&A - Quarterly Highlights relating to its third quarter 2016 results. These filings can be accessed on SEDAR's website at and on the Company's website at .
The following Summary of Selected Financial and Operational Highlights have been derived from the condensed interim consolidated financial statements and Interim MD&A - Quarterly Highlights for the third quarter of 2016 as well as the condensed interim consolidated financial statements for the second quarter of 2016. Readers are strongly encouraged to review the entire second and third quarter condensed interim consolidated financial statements, and the Interim MD&A - Quarterly Results for the third quarter.
All amounts are in Canadian dollars unless otherwise stated.
Summary of Selected Financial and Operational Highlights
See Notes below.
Key Items and Recent Activities
Peru
Argentina
Abby Badwi, Executive Chairman of GrowMax Resources stated that, "So far in 2016, the Company has achieved and made significant progress towards its strategic plan, including:
1. Completing the sale of the Company's remaining oil and gas assets in Argentina, closing the Buenos Aires office and terminating all future oil and gas commitments so that the Company can focus its financial resources and personnel on growing its fertilizer business at Bayovar in Peru.
2. Completing three National Instrument 43-101 resource evaluation/updates of the phosphate mineral resources at Bayovar. The Company has also completed a NI 43-101 Preliminary Economic Assessment for Bayovar 7.
3. Advancing several studies to develop its brine project and a fertilizer business opportunity with an objective to achieve early cash flow."
SALE OF ENERGICON
Further to the press release of November 10, 2016, the Company announces that it has completed the sale to Energy Operations Argentina LLC (the "Purchaser"), of all of the issued and outstanding common shares of Energicon S.A. ("Energicon"), the Company's wholly-owned Argentine subsidiary and the holder of various working interests in the Vaca Mahuida, Loma Ranqueles, Huacalera and Totoral concessions (the "Transaction").
Highlights of the Transaction
Additional Information about the Transaction
The offer from the Purchaser to acquire all of the shares of Energicon was received in response to the Company's formal offering to sell its remaining Argentina assets. Several companies had signed confidentiality agreements and received access to all of the relevant data. Following an extensive review and analysis, the Company determined that the offer from the Purchaser was the most favourable and is in the best interests of GrowMax Resources and its shareholders. No finder's fee has been paid in respect of the Transaction.
2017 CAPITAL SPENDING GUIDANCE
The Company's 2017 capital work program and budget is set at approximately US$10 million, and will focus on:
In addition, the Company has budgeted to spend approximately US$3.4 million on general and administrative costs for 2017.
Notes:
About GrowMax Resources Corp.
GrowMax Resources Corp. (formerly Americas Petrogas Inc.) is a publicly listed Canadian company (Ticker GRO on TSX-V) focused on exploration and development of phosphate and potassium-rich brine resources on its Bayovar Property, which is located in the Sechura Desert in northwestern Peru. The Company's vision is to become a leading producer of phosphate and potash fertilizer products in Peru.
GrowMax Resources owns approximately 92% of GrowMax Agri Corp., a private company that owns 100% of the Bayovar Property, which currently covers approximately 227,000 gross acres. The Indian Farmers Fertiliser Co-operative Limited (IFFCO) and its affiliates own approximately 8% of GrowMax Agri Corp.
Forward Looking Information
Certain statements contained in this Press Release may constitute "forward-looking information" as such term is used in applicable Canadian and US securities laws. Any information or statements contained herein that express or involve discussions with respect to predictions, expectations, plans, projections, objectives, assumptions or future events should be viewed as forward-looking information. Such information relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward-looking information involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different than those results, performance or achievements expressed or implied by such forward-looking information.
In particular, statements (express or implied) contained herein or in the Company's Interim MD&A - Quarterly Highlights regarding the following should be considered as forward-looking information: the Company's goals, plans, strategy and objectives; investigating the option to generate cash flow from the sale of fertilizer and salt; cash payable by the Purchaser for the sale of Energicon; the replacement by Energy Operations Argentina LLC of the performance bonds related to commitments in Argentina; the Company's 2017 capital program and budget, including the anticipated costs thereof; budget general and administrative costs; achieving early cash flow; plans for future commercial production; work related to the Company's potash project at Bayovar; and the potential for phosphates, potash, and other minerals in respect of the land in the Sechura Desert.
Additional forward-looking information is contained in the Company's Interim MD&A - Quarterly Highlights, and reference should be made to the additional disclosures of the assumptions, risks and uncertainties relating to such forward-looking information in that document.
There is no assurance that such forward-looking information will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking statements contained in this Press Release. This cautionary statement expressly qualifies the forward-looking statements contained herein and in the Interim MD&A - Quarterly Highlights.
Forward-looking information is based on management's beliefs, expectations, estimates and opinions on the date statements are made and the Company undertakes no obligation to update forward-looking information and whether the beliefs, expectations, estimates and opinions upon which such forward-looking information is based has changed, except as required by applicable 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 THE RELEASE.
Contacts:
GrowMax Resources Corp.
Abby Badwi, P. Geo.
Executive Chairman
+1 587 390 7015
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Datum: 25.11.2016 - 13:14 Uhr
Sprache: Deutsch
News-ID 509115
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contact information:
Town:
CALGARY, ALBERTA
Kategorie:
Farming
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