Arianne Phosphate Reports Corporate and Financial Results for Second Quarter 2021 DAN: TSX-V ( Canada ) JE9N: FSE ( Germany ) DRRSF: OTC ( USA )
Arianne Phosphate Reports Corporate and
Financial Results for Second Quarter 2021
DAN: TSX-V (
Canada
)
JE9N: FSE (
Germany
)
DRRSF: OTC (
USA
)
SAGUENAY, QC,
Aug. 26, 2021
/CNW Telbec/ -
Arianne Phosphate (the "Company" or
"Arianne")
(TSXV: DAN) (OTC: DRRSF) (FRANKFURT: JE9N), a development-stage phosphate
mining company, advancing the Lac à Paul project in
Quebec's
Saguenay-Lac-Saint-Jean region,
reported its financial results for the three-month and six-month period ended
June 30, 2021
. All
amounts are in Canadian dollars unless noted.
Financial and Operational Highlights
In
April 2021
, the Company announced that it had reached an agreement in principle with the
Port of Saguenay regarding the future site of a maritime loading facility on the north shore of the
Saguenay River. This Agreement will allow for both the Company and the Port to finalize details
surrounding the costs, construction and operations of the facility from which, Arianne will be
shipping its phosphate concentrate globally. The final agreement will cover the use of the
facility for an initial period of 30 years, thereafter renewable twice for periods of 10 years.
In
April 2021
, Arianne partnered with the Quebec Center of Geomatics (CGQ), to advance
research and development on a new method for the design and future monitoring of the
Company's tailings operations. This work will use geomatic and remote sensing tools combined
with artificial intelligence that should greatly improve the safety aspects of Arianne's operations.
In
May 2021
, Arianne announced that
Jeffrey Beck
assumed the role of Chief Executive Officer
and joined the Board of Directors.
Brian Ostroff
became President of the Company.
On
June 4, 2021
, the Company closed an equity financing in the amount of
$5,750,000
financing. Under the terms of the financing, Arianne issued 11,500,000 units at a price of
$0.50
per unit. Each unit is comprised of one common share and one-half warrant. Each full warrant
entitles the holder to purchase one common share at a price of
$0.71
until
June 4, 2023
.
On
August 10, 2021
, Arianne announced that it had engaged Lytham Partners to provide
investor relations services to the Company. The engagement of Lytham Partners will allow
Arianne to continue its outreach program that had commenced in the first quarter of 2021.
On
August 10, 2021
, the Company announced subject to regulatory approval, the extension on
the term of 628,228 common share purchase warrants issued as part of a private placement
which closed on
August 21, 2019
for gross proceeds of
$691,050
. Each of the warrants, which
were part of the units being issued, entitled its holder to purchase one common share of Arianne
at an exercise price of
$0.75
per common share until
August 21, 2021
. Arianne has elected to
extend the expiry date of the Warrants to
August 21, 2024
. No other warrant terms are
amended.
Financial Summary
Arianne is a development-stage company and, as such, did not generate revenue or positive cash
flow in Q2 2021. In the second quarter ended
June 30, 2021
, the Company incurred net losses of
$1.5 million
(M) for the three-month period and
$5.9M
for the six-month period. For the same period
in 2020, the net loss incurred was
$0.8M
for the three-months period and
$2.6M
for the six-month
period. The higher losses are explained by borrowing costs that were previously capitalized. Since
the Company is currently in a period of raising funding for its project development through financing
and offtake agreements and, is not carrying on substantial technical work, the Company is expensing
its borrowing costs until further technical work is done on the project.
Arianne's Management Discussion and Analysis and condensed consolidated interim financial
statements for the three–month and six-month period ended
June 30, 2021
are available on the
Company's website and on SEDAR at
www.sedar.com
.
Qualified
Person
Jean-Sébastien David, P.Geo., Qualified Person by NI 43-101, has approved this release. Mr. David
is also the Company's Chief Operating Officer.
About Arianne Phosphate
Arianne Phosphate ("Arianne Phosphate Inc.") (
www.arianne-inc.com
) is developing the Lac à Paul
phosphate deposits located approximately 200 km north of the Saguenay/Lac St. Jean area
of Quebec,
Canada
. These deposits will produce a high-quality igneous apatite concentrate grading
39% P
2
O
5
with little or no contaminants (Feasibility Study released in 2013). The Company has
185,389,469 shares outstanding.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Follow Arianne on:
Facebook:
https://www.facebook.com/ariannephosphate
Twitter:
http://twitter.com/arianne_dan
YouTube:
http://www.youtube.com/user/ArianneResources
Flickr:
http://www.flickr.com/photos/arianneresources
Resource Investing News:
http://resourceinvestingnews.com/?s=Arianne
Cautionary Statements Regarding Forward Looking Information
This news release contains "forward-looking statements" and "forward-looking information"
within the meaning of applicable securities regulations in
Canada
and
the United States
(collectively, "forward-looking information"). Forward-looking information includes, but is
not limited to, anticipated quality and production of the apatite concentrate at the Lac à Paul
project. Often, but not always, forward-looking information can be identified by the use of
words such as "plans", "expects, "is expected", "budget", "scheduled", "estimates",
forecasts", "intends", "anticipates", or "believes", or the negatives thereof or variations of
such words and phrases or statements that certain actions, events or results "may", "could",
"would", "might", or "will" be taken, occur or be achieved. Forward-looking information is
subject to known and unknown risks, uncertainties and other factors that may cause the
actual results, level of activity, performance or achievements of the Company to be
materially different from those expressed or implied by such forward-looking information,
including but not limited to: volatile stock price; risks related to changes in commodity
prices; sources and cost of power facilities; the estimation of initial and sustaining capital
requirements; the estimation of labour and operating costs; the general global markets and
economic conditions; the risk associated with exploration, development and operations of
mineral deposits; the estimation of mineral reserves and resources; the risks associated with
uninsurable risks arising during the course of exploration, development and production;
risks associated with currency fluctuations; environmental risks; competition faced in
securing experienced personnel; access to adequate infrastructure to support mining,
processing, development and exploration activities; the risks associated with changes in the
mining regulatory regime governing the Company; completion of the environmental
assessment process; risks related to regulatory and permitting delays; risks related to
potential conflicts of interest; the reliance on key personnel; financing, capitalization and
liquidity risks including the risk that the financing necessary to fund continued exploration
and development activities at Lac à Paul project may not be available on satisfactory terms,
or at all; the risk of potential dilution through the issue of common shares; the risk of
litigation. Forward-looking information is based on assumptions management believes to be
reasonable at the time such statements are made, including but not limited to, continued
exploration activities, no material adverse change in commodity prices, exploration and
development plans proceeding in accordance with plans and such plans achieving their
stated expected outcomes, receipt of required regulatory approvals, and such other
assumptions and factors as set out herein. Although the Company has attempted to identify
important factors that could cause actual results to differ materially from those contained in
the forward-looking information, there may be other factors that cause results not to be as
anticipated, estimated or intended. There can be no assurance that such forward-looking
information will prove to be accurate, as actual results and future events could differ
materially from those anticipated in such forward-looking information. Accordingly, readers
should not place undue reliance on forward-looking information. Forward-looking
information is made as of the date of this press release, and the Company does not
undertake to update such forward-looking information except in accordance with applicable
securities laws.
SOURCE
Arianne Phosphate Inc.
View original content:
http://www.newswire.ca/en/releases/archive/August2021/26/c3625.html
%SEDAR: 00003556E
For further information:
Source: Jean-Sébastien David, COO, Tél. : 418-549-7316,
[email protected]; Info: Brian Ostroff, President, Tel. : 514-908-4202,
CO: Arianne Phosphate Inc.
CNW 17:00e 26-AUG-21