Athabasca Minerals Announces AMI RockChain Completion of $1 Million Order and Corporate Update
April 08 2020 - 6:15AM
Athabasca Minerals Inc. (“AMI” or the “Corporation”) – TSXV:AMI –
is pleased to announce:
- AMI RockChain’s recent achievement in completing a $1 million
job order for the supply of specialized aggregates product (rail
ballast) to a major customer with industrial operations in Central
Alberta for a new transload facility.
- Corporate updates and progress regarding AMI Silica, AMI
Aggregates (base division), as well as fiscal management in the
face of COVID-19.
- The appointment of J. Robert Logan, MBA, ICD.D as Advisor to
AMI’s Board of Directors with regard to the Corporation’s strategic
business interests in 2020 and capital markets.
Robert Beekhuizen, Chief Executive Officer, states: “Although we
commonly face very challenging times right now, given the COVID-19
situation, AMI is adapting responsibly, with meaningful progress,
and with health and safety top of mind. AMI is an essential service
supporting infrastructure, construction and energy sector supply
chains in Western Canada. We also continue to achieve key
deliverables that are instrumental to our growth and
diversification program. We remain positive and optimistic about
AMI’s ability for ongoing transformation in 2020, growing our
revenues, and about future expansion from AMI’s projects and
strategic initiatives. We are additionally strengthened this year
with the appointment of Mr. Logan as Advisor to AMI’s Board and to
draw on his career experience in capital markets, his executive
background and prior Board roles.”
AMI RockChain – $1 million Customer Order Milestone in
Q1-2020With over 15,000 tonnes of specialized rail ballast
product delivered, AMI RockChain surpassed a $1 million order-size
milestone on a rail transload project for a large industrial
customer with operations in central Alberta. The project was
executed over the past 5 months and completed in March 2020. The
AMI team is proud to have received positive testimonials on its
quality control program and synchronized project delivery from the
customer, site contractors as well as the participating network of
suppliers, and transportation companies who were integral to the
optimized RockChainTM solution.
In spite of COVID-19, AMI RockChain is engaged in a large number
of bids, which are regularly tracked and accumulated on
www.amirockchain.com. In 2020, the subsidiary has surpassed 100
bids representing a combined potential supply of up to 1.1 million
tonnes within 150 currently active bids serving 50 companies in
total. The RockChainTM digital platform together with its
Operational Excellence program and Health & Safety protocols
have proven uniquely well-suited for today’s business environment.
Customer orders for aggregates are easily placed remotely for jobs
across Western Canada and executed with quality assurance while
minimizing Health & Safety risk exposure.
AMI Silica - Duvernay Premium Domestic Sand Project
(“Duvernay Project”)Following the February 11, 2020 news
release on the five-year Offtake Agreement with Shell Canada for
AMI Silica’s premium domestic sand, the subsidiary continues to
advance its Duvernay Project. In collaboration with a pending
industrial partner, a competitive tender has been issued to five
pre-qualified contractors in Canada and the United States to update
the Front-End Engineering & Development (FEED), with the option
to convert to EPC (Engineer, Procure, Construct) thereafter when
the project is fully financially sanctioned and permits are
received, which according to current plans will occur in
second-half of 2020. With the pending industrial partner, AMI
Silica aims at developing what it, and its bidders also regard as
the ‘greenest’ silica sand processing facility in North America,
based on unique synergies, for a target price under $40 million for
Phase-1 development. Sand products and by-products will be serving
customer demand in the energy, construction materials and
environmental remediation sectors.
AMI Aggregates (Base Division) – Coffey Lake Public Pit
and True North Staging HubIn the first three weeks of
aggregate operations at Coffey Lake, loading activity was strong.
The division is on track to complete its first order for
approximately 100,000 tonnes.
In addition, site clearing of the True North Staging Hub,
strategically located on 72 acres at the junction of Highway-63 and
seven kilometers from Coffey Lake, has been completed ahead of
schedule. The True North Hub is well-situated and will serve
regional aggregate companies’ commercial needs for crushing,
processing and stockpiling of product near to several major
oilsands operations and infrastructure projects. AMI’s Projects
& Operations team is pressing for Q2 opening, ahead of the
original Q3-2020 schedule.
Fiscal Management & ReportingAMI remains
focussed on preserving its cash position. In February-March 2020
the Corporation optimized its payroll by approximately 10%.
Monitoring and optimization opportunities will continue to receive
ongoing scrutiny and attention relative to macro-economic factors
from COVID-19 and the Corporation’s business activity levels.
Additionally, AMI continues to pursue strategic partnering and
joint-venture relationships that will advance its industrial
minerals growth strategies, diversify its revenue generation, and
increase options for access to lower-cost capital funding.
The Corporation’s Q4- 2019 and year-end financial reports are
expected for release by April 20, 2020. Thereafter, AMI will hold
an investor call to address, and outline its 2020 strategic
goals.
Board Advisory Appointment – J. Robert Logan, MBA,
ICD.DIn support of AMI’s strategic business interests and
goals in 2020, the Corporation has appointed Mr. Logan as Advisor
to AMI’s Board of Directors. Mr. Logan’s twenty-year investment
banking career includes leading business units at Citigroup and
CIBC in New York City and Toronto. Over the past twelve years he
has also led two Calgary-based technology companies and has held
various Board positions including Chairing both Osprey Informatics
and CanElson Drilling’s US subsidiary as well as Chairing Board
committees for Orvana Minerals and Carmanah Technologies. He has a
thorough knowledge of and experience with public and private
companies, and capital markets. He has advised a variety of
high-growth US and Canadian, public and private, traditional and
high-tech businesses to address operational challenges and seize
strategic opportunities. Mr. Logan has an MBA from the Ivey School
of Business, holds an ICD.D designation, and is a member of the
President’s Circle at the University of Waterloo.
About Athabasca Minerals Inc. (AMI) Athabasca
Minerals Inc. (www.athabascaminerals.com) is an integrated group of
companies focused on the aggregates and industrial minerals
sectors, including resource development, aggregates midstream
supply-logistics solutions. Business activities include aggregate
production, sales and royalties from corporate-owned pits,
management services of third-party pits, acquisitions of sand and
gravel operations, and new venture development.
Athabasca Minerals Inc. is the parent company of AMI RockChain
Inc. (formerly Aggregates Marketing Inc.) (www.amirockchain.com) –
a midstream technology-based business using its proprietary
RockChain™ digital platform, associated Solution-Finder algorithm
and QA/QC services to provide cost-effective integrated supply
/delivery solutions of industrial minerals to industry, and the
construction sector.
It is also the parent company of AMI Silica
Inc.(www.amisilica.com) – a subsidiary positioning to become a
leading supplier of premium domestic in-basin sand with regional
deposits in Alberta and NE British Columbia. It is the joint
venture owner of the Montney In-Basin and Duvernay Basin Frac Sand
Projects. Additionally, the Company has industrial mineral leases,
such as those supporting AMI’s Richardson Quarry Project, that are
strategically positioned for future development in industrial
regions with historically and consistently high demand for
aggregates. For further information on AMI, please
contact: Robert Beekhuizen, Chief Executive Officer Tel:
587-525-9610 / Email: robert.beekhuizen@athabascaminerals.com Tanya
Finney, Director, Investor and Stakeholder Relations Tel:
587-391-0548 / Email: tanya.finney@athabascaminerals.com
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
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