Saturday, September 26, 2026
MiningNewsTerminal
Saturday, September 26, 2026 Admin

FT.TO ·

Fortune Minerals Announces Filing of Amended and Restated Financial Statements

Financials

February 21, 2017 Issued Capital: 271,524,007

NEWS RELEASE

FORTUNE MINERALS ANNOUNCES FILING OF AMENDED AND

RESTATED FINANCIAL STATEMENTS

LONDON, ONTARIO, Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) (“Fortune” or the

“Company”) (www.fortuneminerals.com) announced today it has filed amended and restated financial

statements (together in each case with an amended corresponding management’s discussion and

analysis) (collectively, the Amended Financial Reports) for the year ended December 31, 2015, the

quarter ended March 31, 2016, the quarter ended June 30, 2016 and the quarter ended September

30, 2016 (collectively, the Financial Periods) to correct the accounting errors identified below.

In connection with the preparation of the Company’s audited consolidated annual financial statements

for the year ended December 31, 2016 and a review of the Company’s unaudited interim financial

statements for the quarter ended September 30, 2016, it was determined by managem ent, and

agreed to by the Company’s auditors, BDO Canada LLP, that, as a result of the anti -dilution

provisions of the Class A and Class B warrants issued by the Company on August 12, 2015 (the

Warrants), the previous accounting treatment of the Warrants i n the financial statements for the

Financial Periods (collectively, the Financial Statements) was incorrect. Upon further investigation, it

was determined that the Warrants should have been recorded as a derivative liability as at each

Financial Period ins tead of as a component of equity. Additionally, the Warrants should have been

recorded at fair value using Black -Scholes methodology at the end of each of the relevant reporting

periods. An error was also noted in the calculation of the Loss on Discontinue d Operations and Other

Comprehensive Income in the Financial Statements for the year ended December 31, 2015.

As a result, the Financial Statements (and the corresponding management’s discussion & analysis for

each Financial Statement) have been amended a nd restated to move the value of the Warrants from

the equity section of the Company’s statement of financial position to the liability section. The impact

of these changes to each of the Financial Statements is highlighted in the table below:

FORTUNE MINERALS LIMITED

148 Fullarton Street, Suite 1600, London, Ontario, Canada N6A 5P3

Tel. 519-858-8188 ~ Fax. 519-858-8155

September 30, 2016

June 30, 2016 March 31, 2016

December 31, 2015

As Restated

As Previously

Reported As Restated

As Previously

Reported As Restated

As Previously

Reported As Restated

As Previously

Reported

$ $ $ $ $ $ $ $

Derivatives 6,601,712  4,344,810  1,916,634  395,746 

Share Capital 161,374,666 161,831,321 160,568,782 161,025,437 160,222,460 160,679,115 159,697,125 160,153,780

Deficit (116,186,944) (110,041,887) (113,273,705) (109,385,550) (110,284,822) (108,824,843) (108,086,018) (108,146,927)

Change in fair value

related to derivative

liability

(6,205,966)  (3,949,064)  (1,520,888) 

60,909 

Net Loss from

Continuing

Operations

(8,100,926) (1,894,960) (5,187,687) (1,238,623) (2,198,804) (677,916)

(10,747,545) (10,808,454)

Loss from

Discontinued

Operations

     

(30,361,773) (29,003,110)

Other

Comprehensive

Income

25 25 25 25 25 25

(1,359,115) (1,358,663)

Net Comprehensive

Loss

(8,100,901) (1,894,935) (5,187,662) (1,238,598) (2,198,779) (677,891) (42,468,433) (41,170,227)

Loss per Share (0.03) (0.01) (0.02)  (0.01)  (0.19) (0.19)

The MD&A for each of the Financial Periods was amended and restated to reflect the changes to the

Financial Statements discussed above.

The Amended Financial Reports are available under the Company’s prof ile on SEDAR at

www.sedar.com. Each of the Amended Financial Reports replace and supersede the respective

previously filed original financial statements and related management discussion and analysis. Such

previously f iled original financial statements and management discussion and analyses should be

disregarded.

About Fortune Minerals

Fortune is a Canadian development stage mining company focused on advancing the vertically

integrated NICO gold-cobalt-bismuth-copper project in the Northwest Territories and a related refinery

the Company plans to construct in Saskatchewan. Fortune also owns the Sue -Dianne copper-silver-

gold deposit located 25 km north of NICO and a potential future source of incremental mill feed to

extend the life of the NICO mill. The Company also maintains the right to repurchase the Arctos

anthracite coal deposits in northwest British Columbia that were recently purchased by a provincial

Crown corporation.

Follow Fortune Minerals:

Click here to subscribe to Fortune’s email list.

Click here to follow Fortune on LinkedIn.

For further information please contact:

Fortune Minerals Limited

Troy Nazarewicz

Investor Relations Manager

[email protected]

Tel.: (519) 858-8188

www.fortuneminerals.com

This press release contains forward -looking information and forward -looking statements within the mea ning of

applicable securities legislation. This forward -looking information includes statements with respect to, among

other things, the Company’s plans to develop the NICO project (including the Company’s plans to secure off -

take agreements and project fi nancing to start construction), estimated future production, anticipated growth in

the demand for cobalt, anticipated constraints on the supply of cobalt and plans for the construction of an all -

season road needed for operations at the NICO Project. Forwar d-looking information is based on the opinions

and estimates of management as well as certain assumptions at the date the information is given (including, in

respect of the forward -looking information contained in this press release, assumptions regarding the

Company’s ability to arrange the necessary financing to continue operations and develop the NICO project,

growth in the demand for cobalt, restrictions on the supply of cobalt and the proposed construction of the all -

season road, the economic environme nt in which the Company will operate in the future, including the price of

gold, cobalt and other by -product metals, anticipated costs and the volumes of metals to be produced at the

NICO Project). However, such forward -looking information is subject to a variety of risks and uncertainties and

other factors that could cause actual events or results to differ materially from those projected in the forward -

looking information. These factors include the risks that the Company may not be able to finance and dev elop

NICO on favourable terms or at all, the market for rechargeable batteries and the use of stationary storage cells

may not grow to the extent anticipated, the future supply of cobalt may not be as limited as anticipated, the

Company’s production of cob alt and other metals may be less than anticipated and other operational and

development risks, market risks and regulatory risks. Readers are cautioned to not place undue reliance on

forward-looking information because it is possible that predictions, fore casts, projections and other forms of

forward-looking information will not be achieved by the Company. The forward -looking information contained

herein is made as of the date hereof and the Company assumes no responsibility to update or revise it to reflec t

new events or circumstances, except as required by law.