ST. PAUL, Minn.–(BUSINESS WIRE)–PolyMet Mining Corp (“PolyMet” or the “company”) TSX: POM; NYSE
American: PLM – today reported that it has filed its financial results
for the three months ended March 31, 2019. PolyMet is fully permitted to
construct and operate the NorthMet copper-nickel-precious metals mine
and processing plant located near Hoyt Lakes, Minnesota.
The financial statements have been filed at www.polymetmining.com
and on SEDAR and EDGAR and have been prepared in accordance with
International Financial Reporting Standards. All amounts are in U.S.
funds. Copies can be obtained free of charge by contacting the Corporate
Secretary at First Canadian Place, 100 King Street West, Suite 5700,
Toronto, Ontario M5X 1C7 or by e-mail at email@example.com.
Highlights and recent events for 2018 and 2019
In March 2019, the company received the federal Record of Decision and
wetlands permit from the U.S. Army Corps of Engineers, which was the
last key permit or approval needed to construct and operate the
In March 2019, the company and Glencore AG (“Glencore”) agreed to
extend the term of the outstanding debentures to provide the company
time to prepare for and complete a rights offering by June 30, 2019,
fully backstopped by Glencore, to raise sufficient funds to repay all
In December 2018, the company received all Minnesota Pollution Control
Agency permits for NorthMet for which the company had applied,
including air and water permits.
In November 2018, the company received all Minnesota Department of
Natural Resources permits for NorthMet for which the company had
applied, including the Permit to Mine, dam safety and water
In June 2018, the company and U.S. Forest Service completed the
federal land exchange giving PolyMet title and control over both
surface and mineral rights in and around the NorthMet ore body.
In March 2018, the company issued an Updated Technical Report under NI
43-101 incorporating process improvements, project improvements and
environmental controls described in the Final Environmental Impact
Statement and draft permits. The update also included economic
valuations for potential future opportunities.
Goals and objectives for the next twelve months
PolyMet’s objectives include:
- Maintain political, social and regulatory support for the project;
- Finalize Project optimization plan;
- Finalize Project implementation plan;
- Strengthen balance sheet by repaying outstanding debt; and
Execution of construction finance, subject to typical conditions
Key Balance Sheet Statistics
(in ‘000 US dollars)
|Balance Sheet||March 31, 2019||December 31, 2018|
|Cash & equivalents||$||6,302||$||13,857|
|Working capital (see note)||(242,834||)||(225,359||)|
Note: Maturity dates for the convertible and non-convertible
Key Income and Cash Flow Statement
(in ‘000 US dollars, except per share amounts)
|Three months ended|
|Income and Cash Flow Statement||March 31, 2019||March 31, 2018|
|General & administrative expense||$||2,744||$||2,770|
|Finance & Other||622||489|
|Non-cash rehabilitiation accretion||438||422|
|Non-cash loss on debenture modification||2,014||4,109|
Loss for the period:
Loss per share
Weighed average shares outstanding
Loss for the three months ended March 31, 2019, was $5.8 million
compared with $7.8 million for the prior year period primarily due to
a lower non-cash loss on modification of debentures. Excluding
non-cash compensation, general and administrative expenses for the
three months ended March 31, 2019 were $1.6 million compared with $1.6
million for the prior year period.
PolyMet invested $5.7 million in cash into its NorthMet Project during
the three months ended March 31, 2019, compared with $5.0 million for
the prior year period.
PolyMet Mining Corp. (www.polymetmining.com)
is a publicly traded mine development company that owns 100 percent of
Poly Met Mining, Inc., a Minnesota corporation that controls 100 percent
of the NorthMet copper-nickel-precious metals ore body through a
long-term lease, and owns 100 percent of the former LTV Steel Mining
Company processing facility, located approximately seven rail miles from
the ore body in the established mining district of the Mesabi Iron Range
in northeastern Minnesota. Poly Met Mining, Inc. has completed its
Definitive Feasibility Study and received all permits necessary to
construct and operate the NorthMet Project. NorthMet is expected to
require approximately two million hours of construction labor, create
approximately 360 long-term jobs directly, and generate a level of
activity that will have a significant multiplier effect in the local
This news release contains certain forward-looking statements
concerning anticipated developments in PolyMet’s operations in the
future. Forward-looking statements are frequently, but not always,
identified by words such as “expects,” “anticipates,” “believes,”
“intends,” “estimates,” “potential,” “possible,” “projects,” “plans,”
and similar expressions, or statements that events, conditions or
results “will,” “may,” “could,” or “should” occur or be achieved or
their negatives or other comparable words. These forward-looking
statements may include statements regarding the ability to receive
environmental and operating permits, job creation, and the effect on the
local economy, or other statements that are not a statement of fact.
Forward-looking statements address future events and conditions and
therefore involve inherent known and unknown risks and uncertainties.
Actual results may differ materially from those in the forward-looking
statements due to risks facing PolyMet or due to actual facts differing
from the assumptions underlying its predictions.
PolyMet’s forward-looking statements are based on the beliefs,
expectations and opinions of management on the date the statements are
made, and PolyMet does not assume any obligation to update
forward-looking statements if circumstances or management’s beliefs,
expectations and opinions should change.
Specific reference is made to risk factors and other considerations
underlying forward-looking statements discussed in PolyMet’s most
recent Annual Report on Form 40-F for the fiscal year ended December 31,
2018, and in our other filings with Canadian securities authorities and
the U.S. Securities and Exchange Commission.
The Annual Report on Form 40-F also contains the company’s mineral
resource and other data as required under National Instrument 43-101.
The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this release.
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