Arianne Phosphate Reports Corporate and Financial Results FOR Second Quarter 2022 DAN: TSX-V ( Canada ) JE9N: Fse ( Germany ) Drrsf: OTC ( USA )
ARIANNE PHOSPHATE REPORTS
CORPORATE AND FINANCIAL RESULTS FOR
SECOND QUARTER 2022
DAN: TSX-V (
Canada
)
JE9N: FSE (
Germany
)
DRRSF: OTC (
USA
)
SAGUENAY, QC
,
Aug. 24, 2022
/CNW/ -
Arianne Phosphate (the "Company" or "Arianne")
(TSXV: DAN) (OTC: DRRSF) (FRANKFURT: JE9N)
, a development-stage phosphate mining
company, advancing its
Lac à
Paul project in
Quebec's
Saguenay-Lac-Saint-Jean
region, reported
its financial results for the six-months ended
June 30, 2022
. All amounts are in Canadian dollars
unless otherwise noted.
Financial and Operational Highlights
On
April 1, 2022
the Company issued 4,166,096 common shares at a price of
$0.512
per
share, in lieu of cash, as its annual interest payment to Mercury Financing Corp. as at,
March
31, 2022
. The Company has elected to pay in common shares with these securities issued
being subject to a hold period ending
August 2, 2022
.
In
April 2022
, Arianne entered into a collaboration with Northern Nutrients of
Saskatchewan,
Canada
to advance the use of its high-purity phosphate concentrate in alternatively derived
fertilizers. The benefits of this work would result in the ability to integrate the Company's
phosphate concentrate directly into fertilizers without having to first transform it through
acidulation.
In
May 2022
, the Company announced that it successfully tested an enhanced process that will
allow the Company to optimize its high-purity phosphate concentrate for specific end markets.
Working with Corem, Arianne produced both a low MER (minor element ratio) and higher MER
phosphate concentrate using high intensity magnetic separation. The results demonstrated that
Arianne's phosphate concentrate can be further optimized to meet target markets with an easy
addition to the process flowsheet. The low MER material is of interest to those looking for
specialty phosphate applications, such as high-purity acid used in lithium-iron-phosphate ("LFP")
batteries while, the higher MER concentrate would be of interest for direct application fertilizers,
as it would be higher in beneficial micronutrients such as iron.
In
June 2022
, Arianne appointed Mr.
Michael Gentile
as a strategic advisor to the Company.
Mr. Gentile's role will be to advise the Board on matters regarding capital markets and its
discussions with potential financial partners and investors. Mr. Gentile has also purchased 4
million shares of Arianne Phosphate in the open market and secured an option, from a private
investor, allowing him to purchase an additional 2 million shares at
$0.75
for a period of 18
months.
In
June 2022
, the Company announced that it has received positive results from tests that
confirm its high-purity phosphate concentrate can be used in the production of technical grade
phosphoric acid used in the production of batteries. These tests were designed to confirm that
Arianne meets specifications provided by a producer of lithium-based batteries and performed
through an independent facility specializing in the production of purified phosphoric acid. The
lithium-iron-phosphate battery ("LFP") has emerged as a leading technology in batteries. Many
automotive companies are currently or have already announced plans to use LFPs in their cars,
following that of many Chinese companies. As well, beyond the automotive market, many
industry analysts view the LFP battery as playing a key role in the energy storage market, a
market that could exceed automotive demands and continue to drive demand for these battery
materials such as phosphate.
Financial Summary
Arianne is a development-stage company and, as such, did not generate revenue or positive cash
flow in Q2 2022. In the second quarter ended
June 30, 2022
, the Company incurred net losses of
$1.9 million
M for the three-month period and
$3.2M
for the six-month period. For the same period in
2021, the net loss incurred was
$1.5M
for the three-months period and
$5.9M
for the six-month
period. The lower loss in 2022 is explained by borrowing costs that were higher in 2021 due to the
conversion in share of the loans that created a loss on conversion and the extension of the credit line
as at Q1 2021. These costs are noncash.
Arianne's Management Discussion and Analysis and condensed consolidated interim financial
statements for the six
month period ended
June 30, 2022
are available on the Company's website
and on SEDAR at
www.sedar.com
.
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
190,037,348 shares outstanding.
Qualified
Person
Raphael Gaudreault
, eng., Qualified Person by NI 43-101, has approved this release. Mr.
Gaudreault is also the Company's Chief Operating Officer.
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 be 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 approval, 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/August2022/24/c4844.html
%SEDAR: 00003556E
For further information:
Source : Raphael Gaudreault, COO, Tel. : 418-590-1318,
[email protected]; Info: Brian Ostroff, President, Tel. : 514-908-4202,
CO: Arianne Phosphate Inc.
CNW 16:30e 24-AUG-22