SSR Mining Inc. press release
1st Quarter Financial Results and Outline of 2023 Workplan
NASDAQ - Nasdaq Stock Market · Gold · Silver · Lead · Zinc · Copper · United States
TORONTO, ON / ACCESSWIRE / May 26, 2023 /Amaroq Minerals Ltd. (AIM:AMRQ)(TSXV:AMRQ)(NASDAQ First North:AMRQ), an independent mine development company with a substantial land package of gold and strategic mineral assets covering an area of 7,866.85 km2in Southern Greenland, is pleased to present its Q1 2023 Financial Results and outline its current workplan for 2023.
Q1 2023 Corporate Highlights:
Debt funding non-binding term sheets for a $66.8 million (US$49.5 million) senior secured financing package signed on March 28, 2023. Gold business working capital of $46.7 million as of March 31, 2023 ($49.5 million as of December 31, 2022), which together with the debt funding would represent available liquidity of $113.5 million as the Company approaches the trial mining stage at Nalunaq. ACAM JV completed. ACAM, through its affiliate company GCAM, LP, has invested an initial amount of $30.4 million (£18.0 million) under a subscription and shareholders' agreement in return for 490,000 ordinary shares in the subsidiary representing 49%. Transaction completed and funds released on April 13, 2023. Strategic minerals has available liquidity of $30.4 million as we embark on the first year of the 3-year exploration program. Announced intention to list on Iceland's Nasdaq Exchange main market, with listing preparation underway.
Q1 2023 Operational Highlights:
Nalunaq:Environmental Impact Assessment (EIA) for Nalunaq approved for translation into Greenlandic and Danish ahead of the public consultation meetings later this year. Execution of development progressing with letters of Intent (LOIs) signed with Halyard and Thyssen Schachtbau and acquisition of underground mining equipment underway. Nanoq:Completion of 407.65 km2high-resolution heli-borne geophysical survey across the Nanoq, Siku and Jokum's Shear gold projects with the aim of defining geological models to direct future drilling campaigns. Vagar Ridge: 2022 results provide further evidence of Intrusion Related gold potential and the presence of Orogenic gold mineralisation with some geological similarities with the Nalunaq deposit, enabling the team to leverage previous experience. Kobberminebugt:2022 results confirm copper mineralisation to be skarn related with potential for significant tonnages at depth or along strike opening up the potential for numerous similar bodies across more than 40km of granite contact zone North Sava: Completed a5,100 line-km aerial survey, the results of which are being processed and will be published in H2 2023.
Eldur Olafsson, CEO of Amaroq, commented:
"We enter the second quarter of the year very well-funded, and with a busy programme of exploration to add incremental resource to the Company and to bring Nalunaq onstream on time and on budget such that we can meet trial mining in 2024. At the same time, our plans for a main market listing in Iceland move forward. I would like to thank the entire team for their dedication and hard work as we grow the Company at pace."
2023 Exploration and Development Workplan:
Gold Projects
Nalunaq
In preparation for the 2023 field season and enabled by the debt financing, Amaroq is finalizing mine design and schedule for the up-dip portion of the Mountain Block, thus laying the groundwork for a trial mining area. In order to realise this the Nalunaq project team is working on:
Site Preparation - June to August, the site will undergo logistical planning, detailed engineering design, procurement and mobilization of equipment and project teams in preparation for underground development as well as construction of associated infrastructure. Mine Preparation - August to January, following the mobilization of equipment and personnel, the existing developments in the Mountain Block will be re-opened and rehabilitated with all required mining services installed. Trial Mine Operation - January 2024 onwards, Amaroq intends to commence a new operation within the Mountain Block with trial mining and ore production feeding an initial stage (gravity circuit) trial processing facility constructed on the valley floor.
In addition to this and to facilitate progressive resource growth in this trial mining area, the Company is conducting a programme of mountain drilling in the trial mining area and further up-dip
Nanoq The 2022 season saw the completion of a 407.65 km2high-resolution heli-borne geophysical survey across the Nanoq, Siku and Jokum's Shear gold projects with the aim of defining geological models to direct future drilling campaigns. These results have highlight a number of additional targets which will be assessed during field investigations in 2023 as well as site preparation ahead of initial drilling in 2024.
Vagar Ridge While Amaroq will focus its efforts on the development of the Nalunaq deposit during 2023, Amaroq will aim to construct a robust geological and mineralisation model to inform future exploration at Vagar. Ground preparation and drill readiness preparations will also occur ahead of the 2024 season.
Strategic Minerals Projects (Amaroq 51%)
Sava The 2022 field season saw the completion of a two drillhole scout drilling programme across two target areas along with associated mapping and sampling across the licence. Amaroq has proposed a 2023 season incorporating further scout drilling on at least two separate IOCG targets along with further ground exploration in the form of geological and alteration mapping guided by external IOCG specialists.
North Sava An airborne geophysical survey of approximately 5,100 line-km was completed across the North Sava sub area targeting the continuation of the mineralisation and mineral potential already identified at Sava. Results are currently being interpreted by the Amaroq geology team and external consultants with conclusions are expected to be announced in H2-23.
Kobberminebugt Licence Samples of the main Josva vein returned up to 11.6 % Cu over 0.5 m. Minor gold and silver grades were also reported. The 2023 fieldwork plan revolves around a detailed airborne geophysical survey across the whole licence area aimed at signaturing the mineralisation at Josva and Lilian and using this as a proxy for further discoveries.
Saqqaa Dyke Amaroq is planning on conducting a targeted surface core drilling programme into the potential strike extension of Saqqaa Dyke below the Nalunaq Valley floor and previously signatured from ground geophysical surveys. Saqqaa peridotite dyke is known to host semi-massive and disseminated magmatic sulphide mineralisation, with elevated concentrations of Nickel (up to >1%), Copper (up to 6% in float samples), and Platinum Group Elements (up to 10 g/t Pd in channel samples).
Stendalen Licence A Detailed geophysical survey will be conducted across the Stendalen layered intrusion in order to assess its potential to host Ni sulphides at depth and on its flanks. The Titanium/Vanadium hosting intrusion will also undergo ground reconnaissance and initial stratigraphic drilling to signature this mineralisation as well as assess the Ni sulphide hosting potential. The Paatusoq syenite intrusion will be visited and sampled in 2023, with the main objectives being to follow up on historic radiometric anomalies and identify areas of mineralisation. Drone surveys may be carried out to improve geological maps of the intrusion. A virtually unexplored layered gabbro intrusion in contact with the Paatusoq syenites may also be visited and assessed for its similarities to the Stendalen gabbro intrusion.
Amaroq Financial Results
The following selected financial data is extracted from the Financial Statements for the three months ended March 31, 2023.
Financial Results
| | Three months ended March 31 | | | | 2023 $ | 2022 $ | | Exploration and evaluation expenses | 1,181,653 | 1,010,330 | | General and administrative | 2,577,035 | 2,988,769 | | Net loss and comprehensive loss | 3,376,893 | 4,135,498 | | Basic and diluted loss per common share | (0.01) | (0.02) |
Financial Position
| | As at March 31 | As at December 31 | | | 2023 $ | 2022 $ | | Cash on hand | 46,784,407 | 50,137,569 | | Total assets | 62,010,593 | 65,096,061 | | Total current liabilities | 1,729,851 | 1,868,198 | | Shareholders' equity | 60,280,742 | 63,227,863 | | Working capital | 46,738,567 | 49,472,991 |
Iceland Investor Event
Amaroq will be holding a Capital Markets Day for the Icelandic market at the new headquarters of Landsbankinn at Reykjastræti 6, 101 Reykjavík, from 9.00am to 11.00am Iceland time, GMT on Friday June 2, 2023.
Amaroq's Board and senior management will provide an overview of the Company's strategy and growth plans, in addition to an update on plans for the Company's Main Market listing in Iceland. Attendees will have the opportunity to address questions to the management team.
To attend the event in person, please click on the following link for registration: https://www.landsbankinn.is/amaroq-minerals
The event will be broadcast live to enable remote access to the meeting. Please register for the webcast at the following link: https://www.landsbankinn.is/amaroq-minerals
Ends
Enquiries: Amaroq Minerals Ltd. Eldur Olafsson, Executive Director and CEO +354 665 2003 eo@amaroqminerals.com
Eddie Wyvill, Investor Relations +44 (0)7713 126727 ew@amaroqminerals.com
Stifel Nicolaus Europe Limited (Nominated Adviser and Broker) Callum Stewart Varun Talwar Simon Mensley Ashton Clanfield +44 (0) 20 7710 7600
Panmure Gordon (UK) Limited (Joint Broker) John Prior Hugh Rich Dougie Mcleod +44 (0) 20 7886 2500
Landsbankinn hf. (Listing Agent) Ellert Arnarson Ellert.Arnarson@landsbankinn.is
Camarco (Financial PR) Billy Clegg Elfie Kent Charlie Dingwall +44 (0) 20 3757 4980
For Company updates: Follow @Amaroq_minerals on Twitter Follow Amaroq Minerals Inc. on LinkedIn
Further Information:
About Amaroq Minerals Amaroq Minerals' principal business objectives are the identification, acquisition, exploration, and development of gold and strategic metal properties in Greenland. The Company's principal asset is a 100% interest in the Nalunaq Project, an advanced exploration stage property with an exploitation license including the previously operating Nalunaq gold mine. The Corporation has a portfolio of gold and strategic metal assets covering 7,866.85km2, the largest mineral portfolio in Southern Greenland covering the two known gold belts in the region. Amaroq Minerals is incorporated under the Canada Business Corporations Act and wholly owns Nalunaq A/S, incorporated under the Greenland Public Companies Act.
Glossary
| Ag | silver | | Au | gold | | Bt | Billion tonnes | | Cu | copper | | g | grams | | g/t | grams per tonne | | km | kilometers | | Koz | thousand ounces | | m | meters | | Mo | molybdenum | | MRE | Mineral Resource Estimate | | Nb | niobium | | Ni | nickel | | oz | ounces | | REE | Rare Earth Elements | | t | tonnes | | Ti | Titanium | | t/m3 | tonne per cubic meter | | U | uranium | | USD/ozAu | US Dollar per ounce of gold | | V | Vanadium | | Zn | zinc |
Inside Information This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No. 596/2014 on Market Abuse ("UK MAR"), as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018, and Regulation (EU) No. 596/2014 on Market Abuse ("EU MAR").
Qualified Person Statement The technical information presented in this press release has been approved by James Gilbertson CGeol, VP Exploration for Amaroq Minerals and a Chartered Geologist with the Geological Society of London, and as such a Qualified Person as defined by NI 43-101.
Amaroq Minerals Ltd. UNAUDITED CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS For the three months ended March 31, 2023
Amaroq Minerals Ltd. Consolidated Statements of Financial Position (Unaudited, in Canadian Dollars)
| | | | | | As at March 31, | | | As at December 31, | | | | | | | | Notes | | | 2023 | | | 2022 | | | | | | | | | | | $ | | | $ | | | | | | ASSETS | | | | | | | | | | | | | | Current assets | | | | | | | | | | | | | | Cash | | | | | | 46,784,407 | | | | 50,137,569 | | | | Sales tax receivable | | | | | | 79,813 | | | | 95,890 | | | | Prepaid expenses and others | | | | | | 965,534 | | | | 450,290 | | | | Total current assets | | | | | | 47,829,754 | | | | 50,683,749 | | | | Non-current assets | | | | | | | | | | | | | | Deposit | | | | | | 27,944 | | | | 27,944 | | | | Escrow account for environmental monitoring | | | | | | 433,223 | | | | 427,120 | | | | Mineral properties | | | 3 | | | | 85,579 | | | | 85,579 | | | Capital assets | | | 4 | | | | 13,634,093 | | | | 13,871,669 | | | Total non-current assets | | | | | | | 14,180,839 | | | | 14,412,312 | | | TOTAL ASSETS | | | | | | | 62,010,593 | | | | 65,096,061 | | | LIABILITIES AND EQUITY | | | | | | | | | | | | | | Current liabilities | | | | | | | | | | | | | | Trade and other payables | | | | | | | 1,018,351 | | | | 1,138,961 | | | Lease liabilities - current portion | | | 5 | | | | 72,836 | | | | 71,797 | | | Total current liabilities | | | | | | | 1,091,187 | | | | 1,210,758 | | | Non-current liabilities | | | | | | | | | | | | | | Lease liabilities | | | 5 | | | | 638,664 | | | | 657,440 | | | Total non-current liabilities | | | | | | | 638,664 | | | | 657,440 | | | Total liabilities | | | | | | | 1,729,851 | | | | 1,868,198 | | | Equity | | | | | | | | | | | | | | Capital stock | | | | | | | 131,837,145 | | | | 131,708,387 | | | Contributed surplus | | | | | | | 5,551,879 | | | | 5,250,865 | | | Accumulated other comprehensive loss | | | | | | | (36,772 | ) | | | (36,772 | ) | | Deficit | | | | | | | (77,071,510 | ) | | | (73,694,617 | ) | | Total equity | | | | | | | 60,280,742 | | | | 63,227,863 | | | TOTAL LIABILITIES AND EQUITY | | | | | | | 62,010,593 | | | | 65,096,061 | | | Subsequent events | | | 9 | | | | | | | | | |
The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.
Amaroq Minerals Ltd. Consolidated Statements of Comprehensive Loss (Unaudited, in Canadian Dollars)
| | Three months ended March 31, | | | | | | | | | | | | | | | | Notes | | | 2023 | | | 2022 | | | | | | | | | | | | $ | | | $ | | | | | | | Expenses | | | | | | | | | | | | | | | Exploration and evaluation expenses | | | 7 | | | | 1,181,653 | | | | 1,010,330 | | | | General and administrative | | | 8 | | | | 2,577,035 | | | | 2,988,769 | | | | Loss on disposal of capital assets | | | | | | | 37,791 | | | | - | | | | Foreign exchange loss (gain) | | | | | | | (197,004 | ) | | | 147,188 | | | | Operating loss | | | | | | | 3,599,475 | | | | 4,146,287 | | | | Other expenses (income) | | | | | | | | | | | | | | | Interest income | | | | | | | (231,319 | ) | | | (20,325 | ) | | | Finance costs | | | | | | | 8,737 | | | | 9,536 | | | | Net loss and comprehensive loss | | | | | | | (3,376,893 | ) | | | (4,135,498 | ) | | | Weighted average number of common shares outstanding - basic and diluted | | | | | | | 263,203,347 | | | | 177,098,737 | | | | Basic and diluted loss per common share | | | | | | | (0.01 | ) | | | (0.02 | ) | |
The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.
Amaroq Minerals Ltd. Consolidated Statements of Changes in Equity (Unaudited, in Canadian Dollars)
| | | Number of common shares outstanding | | Capital Stock | | Contributed surplus | | Accumulated other comprehensive loss | | Deficit | | Total Equity | | | | | $ | | $ | | $ | | $ | | $ | | | Balance at January 1, 2022 | | 177,098,737 | | 88,500,205 | | 3,300,723 | | (36,772) | | (51,795,654) | | 39,968,502 | | Net loss and comprehensive loss | | - | | - | | - | | - | | (4,135,498) | | (4,135,498) | | Stock-based compensation | | - | | - | | 1,443,862 | | - | | - | | 1,443,862 | | Balance at March 31, 2022 | | 177,098,737 | | 88,500,205 | | 4,744,585 | | (36,772) | | (55,931,152) | | 37,276,866 | | Balance at January 1, 2023 | | 263,073,022 | | 131,708,387 | | 5,250,865 | | (36,772) | | (73,694,617) | | 63,227,863 | | Net loss and comprehensive loss | | - | | - | | - | | - | | (3,376,893) | | (3,376,893) | | Options exercised | | 208,275 | | 128,758 | | (150,000) | | - | | - | | (21,242) | | Stock-based compensation | 6 | - | | - | | 451,014 | | - | | - | | 451,014 | | Balance at March 31, 2023 | | 263,281,297 | | 131,837,145 | | 5,551,879 | | (36,772) | | (77,071,510) | | 60,280,742 |
The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.
Amaroq Minerals Ltd. Consolidated Statements of Cash Flows (Unaudited, in Canadian Dollars)
| | | | | | Three months ended March 31, | | | | | | | | | | | Notes | | | 2023 | | | 2022 | | | | | | | | | | $ | | | $ | | | | | | | Operating activities | | | | | | | | | | | | | | Net loss for the period | | | | | | (3,376,893 | ) | | | (4,135,498 | ) | | | Adjustments for: | | | | | | | | | | | | | | Depreciation | | | 4 | | | | 199,785 | | | | 203,970 | | | Stock-based compensation | | | 6 | | | | 451,014 | | | | 1,443,862 | | | Loss on disposal of capital assets | | | | | | | 37,791 | | | | - | | | Other expenses | | | | | | | 8,737 | | | | 9,048 | | | Foreign exchange | | | | | | | (216,560 | ) | | | 145,361 | | | | | | | | | | (2,896,126 | ) | | | (2,333,257 | ) | | Changes in non-cash working capital items: | | | | | | | | | | | | | | Sales tax receivable | | | | | | | 16,076 | | | | 15,196 | | | Prepaid expenses and others | | | | | | | (515,244 | ) | | | 106,984 | | | Trade and other payables | | | | | | | (127,977 | ) | | | (905,619 | ) | | | | | | | | | (627,145 | ) | | | (783,439 | ) | | Cash flow used in operating activities | | | | | | | (3,523,271 | ) | | | (3,116,696 | ) | | Investing activities | | | | | | | | | | | | | | Acquisition of capital assets | | | 4 | | | | - | | | | (247,834 | ) | | Cash flow used in investing activities | | | | | | | - | | | | (247,834 | ) | | Financing activities | | | | | | | | | | | | | | Principal repayment - lease liabilities | | | 5 | | | | (26,474 | ) | | | (5,550 | ) | | Cash flow from financing activities | | | | | | | (26,474 | ) | | | (5,550 | ) | | Net change in cash before effects of exchange rate changes on cash during the period | | | | | | | (3,549,745) | | | | (3,370,080) | | | Effects of exchange rate changes on cash | | | | | | | 196,583 | | | | (130,938 | ) | | Net change in cash during the period | | | | | | | (3,353,162 | ) | | | (3,501,018 | ) | | Cash, beginning of period | | | | | | | 50,137,569 | | | | 27,324,459 | | | Cash, end of period | | | | | | | 46,784,407 | | | | 23,823,441 | | | Supplemental cash flow information | | | | | | | | | | | | | | Interest received | | | | | | | 231,319 | | | | 20,325 | | | Additions in capital assets included in trade and other payables | | | | | | | - | | | | 48,290 | |
The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.
Amaroq Minerals Ltd. Condensed Notes to the interim Consolidated Financial Statements Three months ended March 31, 2023 and 2022 (Unaudited, in Canadian Dollars)
1. NATURE OF OPERATIONS, BASIS OF PRESENTATION
Amaroq Minerals Ltd. (the "Corporation") was incorporated on February 22, 2017 under the _Canada Business Corporations Act. _The Corporation's head office is situated at 3400, One First Canadian Place, P.O. Box 130, Toronto, Ontario,M5X 1A4, Canada.The Corporation operates in one industry segment, being the acquisition, exploration and development of mineral properties. It owns interests in properties located in Greenland. The Corporation's financial year ends on December 31. Since July 2017, the Corporation's shares are listed on the TSX Venture Exchange (the "TSX-V"), since July 2020, the Corporation's shares are also listed on the AIM market of the London Stock Exchange ("AIM") and from November 1, 2022, on Nasdaq First North Growth Market Iceland ("Nasdaq") under the AMRQ ticker.
These unaudited condensed interim consolidated financial statements for the three months ended March 31, 2023 ("Financial Statements") were approved by the Board of Directors on May 25, 2023.