QUEBEC CITY, QUEBEC--(Marketwired - Dec. 6, 2016) - Komet Resources Inc. ("Komet" or the "Company") (TSX VENTURE:KMT) present highlights of third quarter of 2016, which have been a very important quarter for the future development of Komet from the financial, organizational and strategic perspectives, having reached several milestones.
Strong Growth in Results and Break-even Reached
During this period, Komet got is best gold production results to date, even though the plant is still not fully optimized. The quarterly income as of September 30, 2016, exceeded $1.16 million for the first time in the Company's history and has been constantly growing at a significant pace over each quarter of 2016: $383,164 in the 1st quarter 2016, $658,589 in the 2nd quarter 2016 and $1,163,938 in the 3rd quarter 2016.
The mine is cost-effective for the quarter ended September 30, 2016. For the first time in the history of the Company, the gold sales largely exceeded the funds invested in the project during the same period. The gold sales totalized $1,163,938 during the quarter, from which royalties amounting $87,502 were paid or are payable resulting in net income from gold sales of $1,076,436. The costs incurred at the mine during the quarter amount to $834,066, resulting in a surplus of $242,370.
Most Important Financing of the Company's History
In July 2016, the Company finalized a financing for a gross amount of $4,726,644, by the issuance of 13,129,567 shares at the price of $0.36 each. This issuance, with no warrants, provided the Company with a net amount of $4,463,089 in view of the fees related to the issuance.
This financing will allow the Company to improve its financial situation, to acquire additional equipment to optimize the plant as desired in order to perform targeted exploration works on the Guiro/Diouga and the Moussala properties.
This quarter also marked the acquisition of the last planned equipment at the Guiro mine, including the third concentrator (Knelson KC-CD12) and the purchase of the intensive leach reactor (Concep Acacia). These two main equipment to increase recovery performance will be delivered, installed and commissioned in the first quarter of 2017.
More information about the corporation is available at: http://kometgold.com.
Neither TSX Venture Exchange nor the regulatory service provider (as the term is defined in TSX Venture Exchange's policies) accepts any liability of any kind as to the authenticity or accuracy of this release. This press release contains statements that may constitute "forward-looking information" or "forward-looking statements" as set out within the context of security law. This forward-looking information is subject to many risks and uncertainties, some of which are beyond Komet Inc.'s ("Komet") control. The actual results or conclusions may differ considerably from those that have been set out, or intimated, in this forward-looking information. There are many factors which may cause such disparity, especially the instability of metal market prices, the results of fluctuations in foreign currency exchange rates or in interest rates, poorly estimated reserves, environmental risks (stricter regulations), unforeseen geological situations, unfavorable extraction conditions, political risks brought on by mining in developing countries, regulatory and governmental policy changes (laws and policies), failure to obtain the requisite permits and approvals from government bodies, or any other risk relating to mining and development. There is no guarantee that the circumstances anticipated in this forward-looking information will occur, or if they do occur, how they will benefit Komet. The forward-looking information is based on the estimates and opinions of Komet's management at the time of the publication of the information and Komet does not assume any obligation to make public updates or modifications to any of the forward-looking statements, whether as a result of new information, future events, or any other cause, except if it is required by securities laws.