HONG KONG, Nov. 16, 2015 /CNW/ - St. Augustine Gold and Copper Limited (TSX: SAU)
("St. Augustine" or the "Company"), a development-stage company
advancing the King-king Copper-Gold Project ("King-king" or the
"Project") in Mindanao, Philippines, announced that it has filed its
third quarter and year-to-date financial results for the period
ended September 30, 2015. All
amounts, unless otherwise indicated, are in U.S. dollars.
Q3 Corporate Highlights
- Nationwide Development Corporation ("NADECOR"), the Company's
joint venture partner, entered into a Memorandum of Agreement
("MOA") with the Mansaka Indigenous Cultural Communities/Indigenous
Peoples ("ICC/IPs" or "Mansaka Tribe"), and the National Commission
on Indigenous Peoples ("NCIP") for the support and
development of King-king.
- The MOA, together with the Free and Prior Informed Consent
("FPIC") report of the NCIP Regional Office, was forwarded to the
NCIP Central Office in Manila. The NCIP Commissioners have
been reviewing the MOA and Regional NCIP report. Upon determination
that the documents submitted are complete and in order, the NCIP
Commission will issue the Certificate of Precondition ("CP"), which
is expected before year end 2015.
- Continued to work with the Philippine government and related
agencies as well as local stakeholders to secure approval for the
Declaration of Mining Project Feasibility ("DMPF"), a construction
and mining permit. The ECC (Environmental Compliance Certificate)
and CP are key components of the DMPF document package. The
ECC was received in February 2015. Once the CP is received
all the document requirements for the DMPF will have been met and
the DMPF should be approved shortly thereafter. The company
expects to receive the CP in 2015. The DMPF and the ECC are the
major permits in the Philippine permitting process. The
Company expects approval for its DMPF before year end 2015.
- Progressed with engineering and corporate social responsibility
programs aimed at supporting the initiation of Project construction
in 2016.
- At September 30, 2015, St.
Augustine had cash and cash equivalents of approximately
$4.4 million and working capital of
$4.4 million. These compare to
approximately $6.1 million in cash
and cash equivalents and working capital of approximately
$6.0 million at June 30, 2015.
Outlook
While the Company's primary focus will be on securing permitting
for King-king, St. Augustine will also concentrate its efforts
on:
- Evaluating a strategy that is designed to accelerate the
development of the Project as well as reducing CAPEX requirements
and maximizing revenue generation opportunities;
- Securing financing arrangements with strategic parties and
major financial institutions;
- Continue with efforts to re-classify Project lands for
industrial use:
- Renewing the Mineral Production Sharing Agreement
("MPSA");
- Advancing engineering and corporate social responsibility
programs aimed at supporting the initiation of Project
construction; and
- Advancing critical work necessary to bring the Project to a
more advanced stage, such as completing a Feasibility Study.
St. Augustine's financial statements and management's discussion
for the quarter ended September 30,
2015 are available on the Company's website,
www.sagcmining.com and via SEDAR.
The King-king Copper-Gold Project
The King-king
Copper-Gold Project is located in Compostela Valley in the Philippines, and is expected to recover
3.16 billion pounds (1.43 million tonnes) of copper and 5.43
million troy ounces (169,000 kilograms) of gold over its 25 year
mine and process life. According to the Preliminary Feasibility
Study that was released on September 18,
2013, and then filed on www.sedar.com on November 1, 2013, the Project has a pre-tax NPV
of $2.0 billion with an IRR of 24.8%.
The estimated mineral reserves amount to 617.9 million tonnes at
0.300% total copper and 0.395 g/t gold.
About St. Augustine
St. Augustine (SAU.T) is a
TSX-listed mining company focused on the development of the
King-king Copper-Gold Project. The Project is one of the largest
undeveloped copper-gold deposits in the world, and is listed as a
top three-priority mining project by the Philippine government.
NATIONAL INSTRUMENT 43-101 COMPLIANCE
Mr. James J.
Moore, P.E., Vice President Technical of St. Augustine and a
qualified person under National Instrument 43-101 ("NI 43-101") has
reviewed and approved the scientific, technical and economic
information contained in this news release.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING
STATEMENTS
This announcement includes certain
"forward-looking statements" within the meaning of Canadian
securities legislation. All statements, other than statements
of historical fact included herein are forward-looking statements.
Forward-looking statements involve various risks and uncertainties
and are based on certain factors and assumptions. There can be no
assurance that such statements will prove to be accurate, and
actual results and future events could differ materially from those
anticipated in such statements. Important factors that could
cause actual results to differ materially from the Company's
expectations include uncertainties related to fluctuations in gold,
copper and other commodity prices and currency exchange rates;
uncertainties relating to interpretation of drill results and the
geology, continuity and grade of mineral deposits; uncertainties
relating to the completion of a bankable feasibility study;
uncertainty of estimates of capital and operating costs, recovery
rates production estimates and estimated economic return; the need
for cooperation of the Company's joint venture partner and
government agencies in the development of the Company's mineral
projects; the need to obtain further permits and additional
financing to develop the Company's mineral projects; the
possibility of delay in development programs or in construction
projects and uncertainty of meeting anticipated program milestones
for the Company's mineral projects; and other risks and
uncertainties disclosed under the heading "Risk Factors" in the
Annual Information Form dated March 19,
2015, and filed with Canadian securities regulatory
authorities on the SEDAR website at
www.sedar.com.
SOURCE St. Augustine Gold and Copper Limited