Tasman and Flinders Mutually Agree to End Merger Negotiations
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 20, 2014) -
Tasman Metals Ltd. ("Tasman")
(TSX-VENTURE:TSM)(FRANKFURT:T61)(NYSEMKT:TAS) and Flinders
Resources Limited (TSX-VENTURE:FDR) ("Flinders") announce that
negotiations with regard to the previously disclosed potential
merger of the two companies (see joint press release dated 12
December 2013) has concluded, with a decision to not proceed. This
decision not to proceed with the merger was taken mutually by the
Boards of Directors of both companies, after discussion with
various stakeholders including shareholders and customers.
Tasman's primary focus is the Norra Kärr rare earth element
(REE) deposit in central-southern Sweden, one of the world's
largest known heavy REE projects, with additional work underway on
the nearby Yxsjöberg tungsten project, historically northern
Europe's largest tungsten producer. Flinders is developing the
Woxna flake graphite deposit in central Sweden, and is on target to
become the first TSX Venture Exchange listed company to produce and
sell graphite, scheduled for the 3rd quarter 2014.
Mark Saxon, Tasman's President & CEO states, "With Tasman's
management focused on delivery of a pre-feasibility study on one of
the world most significant heavy REE deposits, the Board has chosen
to conclude merger discussions with Flinders at this time. Both
companies have numerous milestones over the remainder of 2014 and
are reviewing many growth opportunities. We wish Flinders all the
best with the imminent Woxna mine re-start, and will watch Flinders
develop with much interest."
Blair Way, Flinders' President & CEO states, "With July
scheduled for the re-start of graphite production from the Woxna
project, it is important that we stay focused to ensure we deliver
on this milestone. We wish Tasman success for their pre-feasibility
study on the Norra Kärr rare earth project."
In addition to developing the above major assets, management of
each company continues to review opportunities and assets that can
complement existing business strategies and corporate skills.
Tasman's Qualified Person, Mr. Mark Saxon, President and Chief
Executive Officer of Tasman, and a Fellow of the Australasian
Institute of Mining and Metallurgy and Member of the Australian
Institute of Geoscientists and a qualified person as defined under
NI 43-101, has reviewed and verified the contents of this news
release.
Flinders' Qualified Person, Mr. Michael Hudson, a Director of
Flinders, a Fellow of the Australasian Institute of Mining and
Metallurgy and Member of the Australian Institute of Geoscientists
and a qualified person as defined under NI 43-101, has reviewed the
scientific and technical disclosure in this news release.
About Tasman Metals Ltd.
Tasman is a Canadian mineral development company focused on
critical metals including Rare Earth Elements (REE's) and tungsten
(W) in Scandinavia. Tasman is listed on the TSX Venture Exchange
under the symbol "TSM" and the NYSE-MKT under the symbol "TAS". REE
and tungsten demand is increasing, due to the metals' unique
properties that make them essential for high technology and
industry. Since over 95% of REE and 80% of tungsten supply is
sourced from China, the European Commission promotes policy to
develop domestic supply of critical metals to ensure the security
of industry. Tasman receives research funding from the European
Commission.
Tasman's exploration portfolio is uniquely placed, with the
capacity to deliver strategic metals from politically stable,
mining friendly jurisdictions with developed infrastructure and
skills. Tasman's Norra Karr and Olserum projects in Sweden are two
of the most significant known heavy REE resources in the world,
enriched in dysprosium, yttrium, terbium and neodymium. Tasman is
now focused on the safe, sustainable and responsible development of
its Scandinavian mineral portfolio.
About Flinders Resources Limited
Flinders is listed on the TSX Venture Exchange under the symbol
FDR and owns 100% of the Woxna Project, a unique and strategic
European graphite project in central Sweden. The Woxna Project,
with rated capacity of 10,000+ tonnes per year of flake graphite,
operated from 1996 to 2001 when production was halted due to
falling graphite prices. Since then, the Woxna Project has been
placed on care and maintenance.
Materially better graphite prices today and forecast growth in
graphite demand is why Flinders is in the process of re-starting
the Woxna Project. The Woxna Project is fully permitted and
requires moderate capital investment to restart the facility and
commence production. The Woxna Project is unique due to its high
quality large graphite flake, long life expandable resource, first
class existing infrastructure, potential to upgrade to value added
lithium battery graphite and its strategic position within the
European Union.
On
behalf of the Board of Tasman Metals Ltd., |
On
behalf of the Board of Flinders Resources Limited, |
|
|
Mark
Saxon, President and CEO |
Blair
Way, President and CEO |
The TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture
Exchange), the NYSE - MKT nor the Frankfurt Stock Exchange accepts
responsibility for the adequacy or accuracy of this news
release.
Cautionary Note to U.S. Investors Concerning Mineral Resources
and Reserves.
In this news release, the definition of "mineral resources" is
that used by the Canadian securities administrators and conforms to
the definition utilized by CIM in the "CIM Standards on Mineral
Resources and Reserves - Definitions and Guidelines" adopted on
August 20, 2000 and amended December 11, 2005.
The standards employed in estimating the mineral resources
referenced in this news release differ significantly from the
requirements of the United States Securities and Exchange
Commission (the "SEC") and the resource information reported may
not be comparable to similar information reported by United States
companies. The term "resources" does not equate to "reserves" and
normally may not be included in documents filed with the SEC.
"Resources" are sometimes referred to as "mineralization" or
"mineral deposits." While the terms "mineral resource", "measured
mineral resource", "indicated mineral resource" and "inferred
mineral resource" are recognized and required by Canadian
regulations, they are not defined terms under standards in the
United States and normally are not permitted to be used in reports
and registration statements filed with the SEC. The terms "mineral
reserve", "proven mineral reserve" and "probable mineral reserve"
are Canadian mining terms as defined in accordance with National
Instrument 43-101 - Standards of Disclosure for Mineral
Projects ("NI 43-101") and the CIM - CIM Definition Standards
on Mineral Resources and Mineral Reserves, adopted by the CIM
Council, as may be amended from time to time by the CIM. These
definitions differ from the definitions in the United States
Securities and Exchange Commission Industry Guide 7 ("SEC Industry
Guide 7") under the Securities Act of 1933. Under Canadian rules,
estimates of inferred mineral resources may not form the basis of
feasibility or prefeasibility studies, except in rare cases.
Disclosure of "contained ounces" in a resource is permitted
disclosure under Canadian regulations; however, the SEC normally
only permits issuers to report mineralization that does not
constitute "reserves" by SEC standards as in place tonnage and
grade without reference to unit measures.
The estimation of measured, indicated and inferred mineral
resources involves greater uncertainty as to their existence and
economic feasibility than the estimation of proven and probable
reserves. U.S. investors are cautioned (i) not to assume that
measured or indicated resources will be converted into reserves and
(ii) not to assume that estimates of inferred mineral resources
exist, are economically or legally minable, or will be upgraded
into measured or indicated mineral resources. It cannot be assumed
that Tasman will identify any viable mineral resources on its
properties or that any mineral reserves, if any, can be recovered
profitably, if at all. As such, information contained in this news
release and the documents incorporated by reference herein
concerning descriptions of mineralization and resources under
Canadian standards may not be comparable to similar information
made public by United States companies in SEC filings.
Forward-Looking Information
Certain information in this news release may constitute
forward-looking statements or forward-looking information within
the meaning of applicable Canadian securities laws and as defined
in the U.S. Private Securities Litigation Reform Act of 1995
(collectively, "Forward-Looking Statements"). All statements, other
than statements of historical fact that address activities, events
or developments that Tasman or Flinders believes, expects or
anticipates will or may occur in the future are Forward-Looking
Statements. Forward-Looking Statements are often, but not always,
identified by the use of words such as "seek", "anticipate",
"believe", "plan", "estimate", "expect", and "intend" and
statements that an event or result "may", "will", "can", "should",
"could", or "might" occur or be achieved and other similar
expressions. Forward-Looking Statements are based upon the opinions
and expectations of Tasman and/or Flinders based on information
currently available to them. Forward-Looking Statements are subject
to a number of factors, risks and uncertainties that may cause the
actual results to differ materially from those discussed in the
Forward-Looking Statements including, among other things, that
neither Tasman nor Flinders has yet to generate a profit from its
activities; there can be no guarantee that the estimates of
quantities or qualities of minerals disclosed in Tasman's or
Flinders' public record will be economically recoverable;
uncertainties relating to the availability and costs of financing
needed in the future; competition with other companies within the
mining industry; the success of either Tasman or Flinders is
largely dependent upon the performance of its directors and
officers and its ability to attract and train key personnel;
changes in world metal markets and equity markets; mineral reserves
are, in the large part, estimates and no assurance can be given
that the anticipated tonnages and grades will be achieved or that
the indicated level of recovery will be realized; production rates
and capital and other costs may vary significantly from estimates;
unexpected geological conditions; delays in obtaining or failure to
obtain necessary permits and approvals from government authorities;
all phases of a mining business present environmental and safety
risks and hazards and are subject to environmental and safety
regulation, rehabilitation and restitution costs and Flinders'
decision to restart production at the Woxna Project is based on
historical production and a preliminary economic assessment of the
project and Flinders has no plans to first complete a
pre-feasibility or feasibility study on the Woxna Project, as a
result there is an increased risk of technical and economic failure
for the project.
Although each of Tasman and Flinders believes that the
expectations reflected in the Forward-Looking Statements, and the
assumptions on which such Forward-Looking Statements are made, are
reasonable, there can be no assurance that such expectations will
prove to be correct. Readers are cautioned not to place undue
reliance on Forward-Looking Statements, as there can be no
assurance that the plans, intentions or expectations upon which the
Forward-Looking Statements are based will occur. Forward-Looking
Statements herein are made as at the date hereof, and unless
otherwise required by law, neither Tasman nor Flinders intends, or
assumes any obligation, to update these Forward-Looking
Statements.
Tasman Metals Ltd.Jim Powell+1 647 478
5806info@tasmanmetals.comwww.tasmanmetals.com
Tasman Metals Ltd. (TSXV:TSM)
Historical Stock Chart
Von Mai 2024 bis Jun 2024
Tasman Metals Ltd. (TSXV:TSM)
Historical Stock Chart
Von Jun 2023 bis Jun 2024