Nautilus Successfully Progressing Trials in PNG
January 25 2018 - 6:00AM
Nautilus Minerals Inc. (TSX:NUS)
(OTC:NUSMF) (the "Company" or "Nautilus") is pleased to
provide an update on submerged trials for the Company’s Seafloor
Production Tools, with the final machine, the Bulk Cutter, due to
finish trials next month.
Submerged trials of the Collecting Machine and
Auxiliary Cutter were completed late last year.
To date the Bulk Cutter has completed
commissioning of the power and control system, on-shore functions
testing, submerged function testing and submerged endurance trials.
Remaining trials will focus on overall cutting performance, a key
criteria for this machine.
Ongoing analysis of the results to date
indicates that the Seafloor Production Tools can perform to design
specifications with the machine components all functioning as
designed in submerged conditions. The cutting performance of the
Auxiliary Cutter has been particularly positive. Approximately 770
tonnes of material was cut during trials, with the Nautilus site
team commenting that the material appears at least three times
harder than the mineralized material at Solwara 1, (even allowing
for the hyperbaric effect on material located at seafloor depths of
the Solwara 1 Project which are far greater than the depths at
which the trials were conducted). The Company will provide a
comprehensive analysis once all test work and data analysis is
complete.
Mike Johnston, Nautilus’ CEO commented “We are
extremely pleased with the progress that continues to be made on
the trialing of the Seafloor Production Tools. The results of the
trials to date indicate that the machines have been meeting and/or
exceeding their key design specifications. These results have
been achieved through the dedicated work of our staff, key
contractors (SMD and KDI), and support staff (Curtain Brothers,
Papua New Guinea), and within a tight budget. The performance of
these machines is critical to our seafloor production system, and
the results to date significantly de-risk the project. We look
forward to providing future updates once the Bulk Cutter trialing
is completed.”
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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 expected performance of the Company's Seafloor Production
Tools. We have made numerous assumptions about such statements,
including assumptions relating to the completion and operation of
the Company's seafloor production system at the Solwara 1 Project.
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 relating to the performance of the Seafloor
Production Tools include the risk of equipment failing to perform
to design specifications when operated at the Solwara 1 Project, as
the machines have not yet been tested at depths similar to depths
present at 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 fund completion of the build,
testing and deployment of the Company's seafloor production system,
that the Company will be unable to rectify or arrange for the
rectification of the default under the shipbuilding contract for
the construction of the Production Support Vehicle (as announced on
11 December 2017) and that agreements with third party contractors
for building slots within certain timeframes are not secured as
required. 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).