TSXV: GMIN
OTCQX: GMINF
All amounts are in USD unless stated
otherwise
- Binding, multi-year, power purchase agreement executed,
ensuring low-cost and renewably generated power to completely meet
the requirement of the Tocantinzinho Project through commissioning,
ramp-up and initial years of commercial production
- All-in cost of electricity ~25% lower than estimates used in
the 2022 Feasibility Study, with fixed energy pricing for 2024,
2025 and 2026
- Guaranteed supply of certified renewable hydroelectric power,
with traceability, in line with GMIN's target of being a low
CO2 emission gold producer
BROSSARD, QC, June 1, 2023
/CNW/ - G Mining Ventures Corp. ("GMIN" or the
"Corporation") (TSXV: GMIN) (OTCQX: GMINF) is pleased to
announce that it has entered into a power purchase agreement
("PPA") with Companhia Energética de Minas Gerais
("CEMIG") and CEMIG Geração e Transmissão S.A., securing
low-cost, 100% renewably generated power for its 100% owned
Tocantinzinho Gold Project ("TZ" or the "Project").
TZ is currently under construction in the State of Pará,
Brazil and remains on budget and
on track for commercial production in H2-2024.
Louis-Pierre Gignac, President
& Chief Executive Officer, commented: "I am very
pleased by the major de-risking milestone of entering into this
fixed-price PPA with a reliable electricity supplier. The low-cost
power generated from renewable hydroelectric sources will ensure
that TZ is in the lower quartile of the global gold production
curve both in terms of cost and carbon emissions. This is a major
step toward safeguarding value for our shareholders and
stakeholders alike."
Dimas Costa, CEMIG's Chief
Commercial Officer, states that: "This is yet another
important and relevant international customer partnership that the
company establishes in the free energy market. We always seek to
meet the expectations presented, signing contracts with benefits
for both parties, in addition to bringing to our portfolio partners
with values similar to those of CEMIG, with a focus on sustainable
actions, job and income generation and the promotion of the
economy."
Guaranteed Supply of Renewable
Energy
The PPA was entered into between Brazauro Recursos Minerais
S.A., a subsidiary of the Corporation, and CEMIG, a large and
reputable energy provider in Brazil with a generating capacity of 3.3GW
(hydroelectric, wind, and solar).
The PPA guarantees the supply and delivery of power from
March 1, 2024 through December 31, 2026, supplying more than 100% of
the expected power demand at TZ during commissioning, ramp-up and
initial commercial production. The contract functions on a
consumption basis, with no take-or-pay obligations, ensuring GMIN's
costs are variable based on actual usage. The all-in cost of
electricity inclusive of energy, transmission costs, distribution
costs, other expenses and taxes represent a ~25% cost reduction
compared the $/kWh assumed in the 2022 Tocantinzinho Feasibility
Study1. Electricity costs represent ~25% of processing
costs, and ~10% of total operating costs.
In alignment with GMIN's Environmental, Social and Governance
goals, the PPA contract grants Renewable Energy Certificates
("REC") to GMIN as assurance of the supply of renewably
generated power. This will enable GMIN to produce gold ounces with
Scope 1 emissions in the lowest quartile of the CO2
emissions curve when compared to similar operations in the
Americas.
__________________________________________
|
1Filed on
SEDAR under GMIN's profile.
|
Feasibility Study 3D VRIFY
Presentation
To view a 3D VRIFY presentation of the Study please click on the
following link: Feasibility Study 3D VRIFY Presentation, or
visit the Corporation's website at www.gminingventures.com.
About G Mining Ventures
Corp.
G Mining Ventures Corp. (TSXV: GMIN) (OTCQX: GMINF) is a mining
company engaged in the acquisition, exploration and development of
precious metal projects, to capitalize on the value uplift from
successful mine development. GMIN is well-positioned to grow into
the next mid-tier precious metals producer by leveraging strong
access to capital and proven development expertise. GMIN is
currently anchored by its flagship Tocantinzinho Gold Project in
mining friendly and prospective State of Pará, Brazil.
About CEMIG
CEMIG is the largest energy group in South America and stands out for its presence
in the state of Minas Gerais, where it serves 97% of the market
through Cemig Distribuição, with more than 9 million customers in
774 municipalities. In the free energy market, CEMIG is the sales
leader and is present in Minas Gerais and in 26 other federative
units in Brazil. Sustainability is
present in CEMIG's mission and values and, in order to fulfill this
commitment, CEMIG supports several frameworks related to this theme
at national and international levels, being the only company in the
electricity sector in the Americas to be listed on the Dow Jones
Index Sustainability Index (DJSI World), in addition to being
included in the Corporate Sustainability Index (ISE B3) and other
relevant indexes.
Additional Information
For further information on GMIN, please visit the website at
www.gminingventures.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 press release.
Cautionary Statement on
Forward-Looking Information
All statements, other than statements of historical fact,
contained in this press release constitute "forward-looking
information" and "forward-looking statements" within the meaning of
certain securities laws and are based on expectations and
projections as of the date of this press release. Forward-looking
statements contained in this press release include, without
limitation, those related to (i) the Project being brought into
commercial production in H2-2024; (ii) the estimated all-in
electricity prices; (iii) the proportion of electricity costs in
processing and total operating costs; and (iv) more
generally, the section entitled "About G Mining Ventures
Corp." as well as the Chief Executive Officer's comments, as
quoted.
Forward-looking statements are based on expectations,
estimates and projections as of the time of this press release.
Forward-looking statements are necessarily based upon a number of
estimates and assumptions that, while considered reasonable by the
Corporation as of the time of such statements, are inherently
subject to significant business, economic and competitive
uncertainties and contingencies. These estimates and assumptions
may prove to be incorrect. Such assumptions include,
without limitation, those relating to all-in electricity prices for
years 2024 to 2026, the price of gold and currency exchange rates
and those underlying the items listed on the above section entitled
"About G Mining Ventures Corp.".
Many of these uncertainties and contingencies can directly or
indirectly affect, and could cause, actual results to differ
materially from those expressed or implied in any forward-looking
statements. There can be no assurance that, notably but without
limitation, (i) the Project's all-in cost of electricity will
be ~25% lower compared to that of the 2022 Feasibility
Study, (ii) the power purchased will completely meet the Project's
needs (and more) up until the initial years of commercial
production, (iii) CEMIG will prove a reliable electricity supplier,
(iv) the Corporation will bring the Project into commercial
production in the second half of 2024, or at all, (v) the Project
will remain on budget and on track (schedule wise), as future
events could differ materially from what is currently anticipated
by the Corporation. There is also no assurance that the Project
will be in the lower quartile of global gold producers in terms of
cost and carbon emissions.
By their very nature, forward-looking statements involve
inherent risks and uncertainties, both general and specific, and
risks exist that estimates, forecasts, projections and other
forward-looking statements will not be achieved or that assumptions
do not reflect future experience. Forward-looking statements are
provided for the purpose of providing information about
management's expectations and plans relating to the future. Readers
are cautioned not to place undue reliance on these forward-looking
statements as a number of important risk factors and future events
could cause the actual outcomes to differ materially from the
beliefs, plans, objectives, expectations, anticipations, estimates,
assumptions and intentions expressed in such forward-looking
statements. All of the forward-looking statements made in this
press release are qualified by these cautionary statements and
those made in the Corporation's other filings with the securities
regulators of Canada including,
but not limited to, the cautionary statements made in the relevant
sections of the Corporation's (i) Annual Information Form dated
April 28, 2023, for the financial
year ended December 31, 2022, and
(ii) Management Discussion & Analysis. The Corporation cautions
that the foregoing list of factors that may affect future results
is not exhaustive, and new, unforeseeable risks may arise from time
to time. The Corporation disclaims any intention or obligation to
update or revise any forward-looking statements or to explain any
material difference between subsequent actual events and such
forward-looking statements, except to the extent required by
applicable law.
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SOURCE G Mining Ventures Corp