MONTRÉAL, QUÉBEC--(Marketwired - Nov. 8, 2016) - Canadian Metals Inc. (The "Corporation") (CSE:CME)(CSE:CME.CN) is pleased to announce that it has selected the Municipality of Baie-Comeau in the Northern region of Quebec to conduct its pre-feasibility study for its Hybrid Flex plant. The Company also confirms that it has entered into an agreement with Innovation and Development Manicouagan (IDM) for the financial contribution in the amount of $340,000 via its business and development fund. The non-reimbursable financial contribution from IDM is conditional upon the Company making a minimum financial commitment of $390,000 towards the advancement of their project.
The total investment of $730,000 will thus allow the Company to complete the pre-feasibility study on the development of its Hybrid Flex project in the industrial port zone of Baie-Comeau. This important first step will lead the Company towards the feasibility stage of the project and may conceivably open the door for an investment of over $300 million in the Baie-Comeau area that would directly employ over 200 people once the plant is constructed and in operation. In addition, the extraction of the Langis quarry, located in St. Vianney, which would supply the required raw material to the future Baie-Comeau plant, would create another 20 or more jobs.
During the pre-feasibility phase of the project, the Company will conduct a series of activities as recommended by the engineering firm CIMA+. These activities include drilling, 3-D modeling of the deposit, resource estimation, metallurgical analysis and testing. This will allow the Company to evaluate the Hybrid Flex option with the base case 100% silicon metal.
The attractiveness of the environment for business, a strategic location in the Plan Nord, the maritime accessibility, low cost connection to the available electrical, a presence of high quality suppliers combined with a skilled workforce and access to vast industrial land package well located offering,integrated transport networks as well as accesses to an efficient seaport for exportation platform to external markets - largely tipped the scales in favor of Baie-Comeau.
"We believe that Baie-Comeau has all the advantages to build a more competitive silicon plant not only in North America but in the world," mentioned President Stephane Leblanc. "This is a market that will be very important in America and Europe but especially in North America by 2020. It is essential for the Company to position itself favorably in this promising and demanding market," emphasizes Mr. Leblanc.
Eventually, the company hopes to produce 50,000 of silicon metal per year in Baie-Comeau, primarily for the US market. Silicon metal is used in the production of alloys for the automotive industry, in the manufacturing of silicone, in the development of high performance concrete, and in both the solar panel and lithium-ion battery industries.
About Innovation and Development Manicouagan
Economic development agency, Innovation and Development Manicouagan (CLD) support entrepreneurship through advisory services and financing (loans and grants) to businesses and community organizations. The organization is industrial development and socioeconomic development of the Manicouagan in order to maximize the benefits for the region and facilitate networking of different partners.
About Canadian Metals
Canadian Metals Inc. is focused exclusively on the development of its Langis Project, a high-purity silica deposit located in the province of Quebec. The Company is rapidly positioning itself to eventually become a North American silicon metal and ferrosilicon producer.
Cautionary Statements Regarding Forward Looking Information
This news release contains forward-looking information within the meaning of applicable Canadian securities laws. All information other than historical fact is forward-looking information. Forward-looking information relates to future events or future performance and is based on CME current internal expectations, estimates, projections, assumptions and beliefs. Forward-looking information is often, but not always, identified by the use of words such as "expect", "project", "proposed", "intend", "seek", "anticipate", "budget", "plan", "continue", "estimate", "forecast", "may", "will", "predict", "potential", "targeting", "could", "might", "should", "believe" and similar expressions. Although management considers the assumptions and estimates, reflected in forward-looking information, to be reasonable, based on information currently available, there can be no assurance that such information will prove to be correct. As a consequence, actual results may differ materially from those anticipated.
Undue reliance should not be placed on forward-looking information which is inherently uncertain, and subject to known and unknown risks and uncertainties (both general and specific) and other factors that contribute to the possibility that the future events or circumstances contemplated by the forward looking information will not occur or that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information. These risks include, but are not limited to risks associated with general economic conditions, the actual results of current exploration activities, conclusions of economic evaluations, changes in project parameters as plans continue to be refined, future metal prices, financial risks and substantial capital requirements. Further information regarding certain of these risks (as well as risks relating generally to the Company's business) may be found under the headings "Risks and Uncertainties", "Forward-Looking Information" and "Financial risk factors" in the latest Company's Management's Discussion & Analysis on www.sedar.com. Readers are cautioned that the foregoing list of factors that may affect future results is not exhaustive. The forward-looking statements contained in this news release are made as of the date hereof and CME does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, except as required by applicable law. The forward-looking statements contained herein are expressly qualified by this cautionary statement.
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