HONG KONG, March 31, 2016 /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
financial results for the fourth quarter and fiscal year ended
December 31, 2015. All amounts,
unless otherwise indicated, are in U.S. dollars.
2015 Corporate Highlights
- Together with its joint venture partner, Nationwide Development
Corporation ("NADECOR"), received approval of King-king's
Environmental Impact Statement (EIS) from the Environmental
Management Bureau (EMB), the responsible regulatory body in
the Philippines.
- In connection with the EIS approval, received an Environmental
Compliance Certificate (ECC) for King-king from the EMB.
- 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.
- 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.
- Progressed with engineering and corporate social responsibility
programs aimed at supporting the projected initiation of Project
construction in 2017.
- At December 31, 2015, St.
Augustine had cash and cash equivalents of approximately
$3.2 million and working capital of
approximately $2.5 million. These
compare to approximately $9.8 million
in cash and cash equivalents and working capital of approximately
$9.8 million at December 31, 2014.
Highlights Subsequent to Year End
- DMPF was approved for King-king from the Mines and Geosciences
Bureau (MGB) of the Philippine Government. The permit approval,
which was awarded to St. Augustine's joint venture partner,
NADECOR, is the last major permit required to initiate development,
construction and operation of the King-king Mine.
- Through the Company's joint venture partner, NADECOR, was
issued a Certification Precondition by the Philippine National
Commission on Indigenous Peoples (NCIP). The Certification
Precondition attests that NADECOR satisfactorily complied with the
process requirements under the Indigenous Peoples Rights Act of
1997 and NCIP Administrative Order No. 03, Series of 2012,
otherwise known as the FPIC Guidelines of 2012 for obtaining of the
free prior and informed consent of the Mansaka Tribe.
- Appointed Michael McGee, a
legally-trained economic consultant based in Charlotte, North Carolina to the Company's
Board of Directors.
"We have made significant progress over the past year with the
development of our King-king project," said Mr. Paolo Villar, President and CEO of St. Augustine
Gold and Copper Ltd. "Our recent key milestones,
including the awarding of the Declaration of Mining Project
Feasibility by the MGB and the receipt of the Certification
Precondition pave the way for us to focus on project financing and
the start of mine construction."
Outlook
In the coming months, St. Augustine expects to focus its efforts
on:
- Securing financing arrangements with strategic parties and
major financial institutions in coordination with NADECOR;
- Renewing the Mineral Production Sharing Agreement ("MPSA");
and
- Advancing engineering and corporate social responsibility
programs aimed at supporting the initiation of Project
construction.
St. Augustine's financial statements and management's discussion
for the year ended December 31, 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
