KORE Mining Reorganizes to Cuts Costs and Focus ON Exploration at Imperial and Long Valley
KORE MINING REORGANIZES TO CUTS COSTS AND FOCUS ON
EXPLORATION AT IMPERIAL AND LONG VALLEY
VANCOUVER, BC
,
June 17, 2022
/CNW/ - KORE Mining Ltd. (TSXV: KORE) (OTCQX: KOREF) ("
KORE
" or the "
Company
") announces a plan to
conserve capital and focus on high impact drilling activities at both of KORE's main assets, the
Imperial
gold project ("
Imperial
") and the Long Valley
gold project ("
Long Valley
").
James Hynes
, the current Executive Chairman and founder of KORE, will assume the President and CEO role effective
July 1, 2022
. Additional cost reductions at the corporate and project levels are designed to preserve cash and focus work on high impact drilling
activities.
KORE's Executive Chairman
James Hynes
commented: "Given the challenging conditions for equity financings in the precious metals space, KORE's
Board has made the decision to restructure management to reduce costs. With the reductions, KORE preserves optionality to pursue our permitted
drill program at Long Valley while continuing to fund key permitting activities at
Imperial
."
Scott Trebilcock
, commented: "Executive Chairman
James Hynes
is well positioned to advance key exploration activities having directed them
throughout KORE's history. Ensuring spending goes into the ground and not to corporate overhead has to be the focus. I remain a Director and
consultant to KORE and will support the Company from those roles."
Key Imperial Activity Continues
The Company has recently submitted a second drilling Plan of Operations ("
PO
") – a drill permit application - to the Bureau of Land Management
("
BLM
") for the existing
Imperial
gold deposit ("
Imperial
Zone
"). The drilling ("
Imperial Zone Drilling
") is designed to provide technical information to
support a feasibility study and mine permitting. This PO is expected to trigger a Mineral Validity Examination ("
MVE
") of Imperial Zone lode claims.
The Company will work closely with the BLM to complete the Mineral Validity Examination expediently and to start processing the Imperial Zone Drilling
permits.
KORE is also permitting regional exploration drilling at Mesquite East and Ogilvy, part of the Mesquite-Imperial-Picacho District ("
District
") via a second
Plan of Operations ("
ePO
"). Mesquite East and Ogilvy are two of the ten highly prospective drill targets identified in the Imperial-Mesquite District to
date – see KORE news releases
May 17, 2022
and
April 26, 2022
. The Mesquite East and Ogilvy ePO is being advanced as per our news release
of
May 12, 2022
. The cultural resource survey work has been paused due to the heat from desert summer with a plan to complete in the fall as
temperatures decline.
KORE also continues to fund stakeholder engagement in
Imperial County
with the objective to build support for the
ACES initiative
("A Clean
Environment for the Salton Sea"). The Company plans to build social license to operate by utilizing excess clean materials from the mine to remediate
toxic dust / air pollution impacting communities local to the
Imperial
project.
Cost Reduction Details
Scott Trebilcock
will remain a Director and consultant to KORE after stepping down as President and CEO effective as of
July 1
, 2022. In the first half
of 2022, the Company outsourced various accounting and back-office functions at lower cost and has re-negotiated several key contracts to reduce
costs. The Company also eliminated a variety of other general and administrative costs and recently reduced staffing at the
Imperial County
office.
About KORE Mining
KORE Mining is focused on responsibly creating value from its portfolio of gold assets in
California, USA
. The Company is advancing the
Imperial
project towards development while continuing to explore across both district-scale gold assets.
Further information on
Imperial
and KORE can be found on the Company's website at
www.koremining.com
or by contacting us as
by telephone at (888) 407-5450.
On behalf of KORE Mining Ltd.
"
James Hynes
"
Executive Chairman
(888) 407-5450
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.
Cautionary Statement Regarding Forward-Looking Information
This news release contains forward-looking statements relating to the future operations of the Company and other statements that are not historical
facts. Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects", "intends", "indicates" and similar
expressions. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the future
plans and objectives of the Company are forward-looking statements.
Forward
looking statements in this news release include, but are not limited to, statements with respect to: the strategy and ultimate success of
restructuring management and reduction of costs, the results of the Imperial Zone Drilling, the advancement of the ePO, the timing and implementation
of the cultural resource survey work, competitive advantages, timing and implementation the ACES initiative, the actual results advantages, the ability to
build social license and stakeholder support and impact of the ACES initiative; the ability to advance exploration activities at the
Imperial
gold deposit;
potential actions, behavior or position of the BLM
;
and the underexplored and prospective nature of the Imperial Regional Exploration Drilling area;
Such forward
looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding
the direction of our business. In connection with the forward
looking information contained in this presentation, the Company has made numerous
assumptions, including, among others: there being no significant change to current geotechnical, metallurgical, hydrological and other physical conditions
at the Imperial Project; exploration, permitting, and development of the Imperial Project being consistent with current expectations and planning; the
geological, permitting and economic advice that the Company has received is reliable and is based upon practices and methodologies which are
consistent with industry standards; and other planning assumptions. While the Company considers these assumptions to be reasonable, these
assumptions are inherently subject to significant uncertainties and contingencies.
Forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or
achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward
looking information. Known risk factors include, among others: the outcome of BLM's review processes for permitting, including the final outcome(s) of
BLM's mineral claim validity examination(s) and administrative review process(es) with respect to the Imperial Zone, including a change to the findings
from the mineral claim validity examination conducted in 2002 for the mill sites at the Imperial Zone, resulting in the Company having to move its future
Imperial Zone project support facilities to areas that are not within the Indian Pass mineral withdrawal area; the possibility that BLM may require and/or
conduct further mineral claim validity examinations with respect to the
Imperial
project, and the outcome and final determination of such examination
could, among other things, invalidate one or more mining claims; the possibility that BLM or other governmental authority review of the Regional
Exploration Drilling program, delays or changes the Company's plan for Regional Exploration Drilling permitting, which could result, among other things,
in delays, additional project requirements, additional costs and uncertainty of meeting anticipated program milestones; the exploration drill program may
not be completed as planned; the need to obtain additional financing; uncertainty as to the availability and terms of future financing; the possibility of
delay in exploration or development programs and uncertainty of meeting anticipated program milestones; uncertainty as to timely availability of permits
and other government approvals.
Additional risks and uncertainties are described in the "Risks" sections of (i) the Company's Annual Information Form for the year ended
December 31,
2021
prepared as of
April 29, 2022
, and (ii) the Company's Management's Discussion and Analysis for the year ended
December 31, 2021
, both
available under the Company's issuer profile on
www.sedar.com
.
Forward-looking statements contained herein are made as of the date of this news release and the Company disclaims any obligation to update any
forward-looking statements, whether as a result of new information, future events or results, except as may be required by applicable securities laws.
There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from
those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information.
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For further information:
[email protected], (888) 407-5450
CO: Kore Mining
CNW 16:30e 17-JUN-22