Nautilus provides corporate update
September 26 2017 - 06:26AM
Nautilus Minerals Inc. (TSX:NUS) (OTC:NUSMF)
(Nasdaq Intl Designation) (the
"
Company" or "
Nautilus") provides
the following update on its operations.
The Company continues to explore financing
opportunities in order to maintain the development of the Solwara 1
Project and the Company's operations.
As previously disclosed, the Company requires
significant additional funding in order to complete the build and
deployment of the seafloor production system to be utilized at the
Solwara 1 Project by the Company and its joint venture partner (as
to 15%), the Independent State of Papua New Guinea’s nominee.
Based on the Company's current cash position and
budget, in order to maintain the Company's operations and the
development of the Solwara 1 Project, the Company needs to obtain
new funding of approximately US$41 million prior to the end of 2017
and, in particular, at least approximately US$15 million is
required before October 31, 2017 in order to meet the Company’s
contractual commitments in relation to certain of the equipment
forming part of the seafloor production system.
The Company is in active discussions with
various parties, including existing shareholders, regarding
potential financing transactions and alternatives. There can be no
assurances that the Company will be successful in securing the
necessary additional financing transactions within the required
time or at all. Failure to secure the necessary financing may
result in the Company engaging specialist advisors and taking
various steps aimed at maximizing shareholder value such as
undertaking various transactions including, without limitation,
asset sales, joint ventures and capital restructurings.
The Company will provide further updates as
circumstances warrant.
For more information please refer to
www.nautilusminerals.com or contact:
Investor Relations Nautilus Minerals Inc.
(Toronto) Email: investor@nautilusminerals.com Tel: +1 416
551 1100
The TSX does not accept responsibility
for the adequacy or accuracy of this press release.
Certain of the statements made in this news
release may contain forward-looking information within the meaning
of applicable securities laws, including statements with respect to
the Company's funding requirements. We have made numerous
assumptions about such statements, including
assumptions relating to project funding requirements
and commitments and the operation of the Company's
seafloor production system. Even though
our management believes the
assumptions made and the expectations represented
by such statements are reasonable, there can be no assurance that
they will prove to be accurate. Forward-looking
information by its nature involves
known and unknown risks,
uncertainties and other factors which may cause
the actual results to be materially different from any future
results expressed or implied by such forward-looking
information. Please refer to our
most recently filed Annual
Information Form in respect of
material assumptions and risks related to the prospects of
extracting minerals from the seafloor and other risks
relating to the Company's business
and plans for development of
the Solwara 1 Project. Risks related to
continuing the Company's operations and advancing the development
of the Solwara 1 Project include the risk that the Company
will be unable to obtain at all or on acceptable terms, and within
the timeframes required, the remaining financings necessary to
continue operations and fund the completion of the build, testing
and deployment of the Company's seafloor production system.
As the Company has not
completed an economic study in
respect of the Solwara 1
Project, there can be no assurance
that the Company's production plans will, if fully funded and
implemented, successfully demonstrate that seafloor resource
production is commercially viable. Except as required by law, we do
not expect to update forward-looking statements
and information as conditions change
and you are referred to the
full discussion of the Company's
business contained in the Company's
reports filed with the securities
regulatory authorities in Canada.
About Nautilus Minerals
Inc.
Nautilus is the first company to explore the
ocean floor for polymetallic seafloor massive sulphide deposits.
Nautilus was granted the first mining lease for such deposits at
the prospect known as Solwara 1, in the territorial waters of Papua
New Guinea, where it is aiming to produce copper, gold and silver.
The Company has also been granted its environmental permit for this
site.
Nautilus also holds highly prospective
exploration acreage in the western Pacific (granted and under
application), as well as in international waters in the Central
Pacific.
A Canadian registered company, Nautilus is
listed on the TSX:NUS stock exchange and is also a member of the
Nasdaq International Designation program. Its corporate office is
in Brisbane, Australia. Its major shareholders include MB Holding
Company LLC, an Oman based group with interests in mining, oil
& gas, which holds a 29.3% interest and Metalloinvest, the
largest iron ore producer in Europe and the CIS, which has a 18.5%
holding (each on a non-diluted basis, excluding loan shares
outstanding under the Company’s share loan plan).