Aquila Resources Announces Filing of Third Quarter 2014 Financial Results
Shares Outstanding: 192,173,528
TORONTO, Nov. 13, 2014 /CNW/ - Aquila Resources Inc. (TSX: AQA) (FKT: JM4A) (the "Company", "Aquila"), a development-stage company with assets in the Great Lakes Region including its 100%-owned gold- and zinc-rich Back Forty Project in Michigan's Upper Peninsula ("Back Forty"), announced that it has filed its third quarter financial results for the period ended September 30th, 2014. Aquila's Management's Discussion and Analysis (MD&A) and Financial Statements are available on the Company's website, www.aquilaresources.com, and on SEDAR, www.sedar.com.
- In July 2014, Aquila announced results from its Preliminary Economic Assessment ("PEA") on the Back Forty Project. Key highlights include:
- A $282 million pre-tax NPV, 38.8% IRR and 1.4 year payback period;
- Total payable mine production expected to be 532 thousand ounces of gold, 704 million pounds of zinc, 63 million pounds of copper, 4,645 thousand ounces of silver, and 11 million pounds of lead;
- A total estimated initial capital cost of $261 million comprised of $177 million of direct pre-production capital expenditure ("CAPEX"), a $44 million contingency, and a $40 million of indirect and owner's costs; and,
- Potential for a low-CAPEX, high-grade initial phase operation with a $129.4 million pre-tax NPV, 38.6% IRR and a $100.8 million initial capital cost. The initial phase operation would provide attractive economic returns, mitigate certain start-up risks, and provide significant optionality over the long-term.
- Announced an over-subscribed private placement financing for total gross proceeds of $1.17 million. Proceeds from the Offering were allocated towards the further exploration and development of Back Forty and general working capital purposes.
Subject to market conditions and available capital, Aquila's focus throughout the remainder of 2014 and in 2015 is on:
- Evaluating a small exploration program on previously identified near-mine targets;
- Ramping-up activities related to its permit application for Back Forty with the Michigan Department of Environmental Quality;
- Finalize development plan for Back Forty, which includes commencement of feasibility study; and,
- Secure strategic financial partners to support continued project development.
About Aquila Resources
Aquila Resources Inc. (TSX: AQA) (Frankfurt: JM4A) is a development-stage company with assets in the Great Lakes Region including its 100%-owned gold- and zinc-rich Back Forty Project in Michigan's Upper Peninsula.
This press release contains certain forward-looking statements within the meaning of applicable Canadian securities legislation. In certain cases, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" and similar expressions suggesting future outcomes or statements regarding an outlook.
Forward-looking statements relate to any matters that are not historical facts and statements of our beliefs, intentions and expectations about developments, results and events which will or may occur in the future, without limitation, statement with respect to: (i) the economic analysis contained in the PEA; (ii) the development plan of the PEA and results thereof; (iii) capital expenditure programs; (iv) the quality or quantity of the mineral resources subject to estimates by Aquila; and (v) work plans to be conducted by Aquila.
These and other forward-looking statements and information are subject to various known and unknown risks and uncertainties, many of which are beyond the ability of Aquila to control or predict, that may cause their actual results, performance or achievements to be materially different from those expressed or implied thereby, and are developed based on assumptions about such risks, uncertainties and other factors set out herein. Aquila expressly disclaims any obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents Aquila's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information. Furthermore, mineral resources that are not mineral reserves do not have demonstrated economic viability.
SOURCE Aquila Resources Inc.