TORONTO, ON--(Marketwired - January 05, 2017) -
- Continued Further Analysis: estimated 36% reduction in overburden for the Southwest Zone Pit area
- Reduction of the planned Project footprint from the September 2016 PEA
- Advancement Decision: submission of applications, to begin the permitting process
- Second tranche of Private Placement closes, completing the $330,000 financing
- Corporate Update Conference Call scheduled for Tuesday, January 10th, 2017
Rogue Resources Inc. (TSX VENTURE: RRS) ("Rogue" or the "Company") is pleased to announce continued progress on its Silicon Ridge Project (the "Project" or "Silicon Ridge") located approximately 42 km north of Baie St. Paul, Quebec.
Recently, the Company announced non-binding Letters of Intent with two potential buyers (see December 22, 2016 press release), and over the past weeks, calculated a large reduction in the volume of overburden to be removed and has decided to advance the Project by submitting applications for the initial permits, authorizations and certificates for Silicon Ridge.
"The Rogue Board of Directors has made the decision to approve submission of the applications for these permits and advance Silicon Ridge based on the Company's positive project optimization and our ongoing discussions with potential buyers of our quartz," stated Sean Samson, President & CEO. "In addition to the ongoing project optimization, Rogue will continue to work with SNC-Lavalin and the applicable Quebec Ministries to develop a sustainable project, minimizing the impacts to the local environment and benefiting local stakeholders and shareholders alike. This completes each of the major milestones from the 2016 Plan introduced last March, and I am very proud of the work done by our team and our key consultants. Rogue is developing a similar 2017 Plan, outlining our intended path for the Project that will be released in early February."
In 2016, the Company planned to de-risk and make a decision with respect to the Project by verifying the Quality, the Quantity, the Economics, the Permitting Path, and identifying potential Customers. Rogue completed each of the major milestones from the 2016 Plan, initially outlined last March.
Rogue 2016 Plan: http://www.marketwire.com/library/MwGo/2017/1/5/11G126637/Images/Rogue_2016_Plan-afcc87b7b2f48ad4811271aeb7f98d0a.jpg
Working closely with SNC-Lavalin, Rogue has revised estimates of the overburden volume for the Southwest Zone of the Project.
The volume of overburden was reduced by 36% from 624K m3 to 402K m3 based on Rogue's re-interpretation of the bedrock-overburden contact as supported by the identification of surface outcrop and the results of the ground penetrating radar ("GPR") survey previously announced on November 7, 2016. The re-interpretation used the block model previously developed for the Resource Estimate announced in June 2016 and included the modification of the wireframes used to define the differing geological units.
Rogue will continue to work with SNC-Lavalin over the coming months to optimize the Project further, including the potential additional reduction of waste rock and modified mining and development schedules related to the re-interpretation of the overburden. It is anticipated that the results of this study will be incorporated into Rogue's ongoing permit and authorization applications being submitted to the applicable Quebec Ministries.
"The estimated reduction in the volume of overburden provides an excellent first step towards optimizing the Silicon Ridge Project. Moving less waste will potentially reduce costs and also lead to a smaller project footprint. It's great news on a couple fronts," stated Sean Samson, President & CEO. "As we continue our analysis we see additional opportunities to continue improving the Project, which may result in reduced capital costs and accelerated development timelines."
The company advises that the potential cost reductions, potential reduced capital costs and accelerated timelines have not been supported by a PEA or other technical study.
Advancement Decision / Permitting Process
The Company's Board of Directors has decided in favour of advancing the Silicon Ridge Project in 2017. The Company, with the assistance of SNC-Lavalin, has begun to file the necessary applications to the appropriate Quebec ministries, authorities and municipalities for the required permits, certificates and authorizations to initiate development activities.
Permitting and authorization of the Silicon Ridge Project is a well understood and prescribed process with the Quebec Provincial Government. The permitting and authorization process will consist mainly of 3 separate ministries including the i) Ministère des Forêts, de la Faune et des Parcs ("MFFP"); ii) The Ministère de l'Énergie et des Ressources naturelles ("MERN"); and iii) The Ministère du Développement durable, de l'Environnement et de la Lutte contre les changements climatiques ("MDDELCC").
Further detail on the anticipated permitting process will be included in the 2017 Plan, to be released in February.
Completed Private Placement
The Company announces, subject to approval of the TSXV, that it has completed the second tranche of the private placement raising $150,000 through the issuance of 300,000 Units and has closed the $330,000 private placement previously announced in a news release dated December 22, 2016. All common shares issued in this tranche are subject to a 4 month hold period expiring May 6, 2017. Finder's fees of $10,325 were paid and 206,500 compensation warrants at an exercise price of $1.00 with an expiry date of January 5, 2018 were issued. The majority of the private placement was purchased by insiders and their families, with some shares also sold to new and existing European investors.
Full details of the private placement can be found in Rogue's December 22, 2016 news release.
"This financing is further validation of the continued support we have from both our existing shareholder base and the interest from new investors," said Sean Samson, President and CEO of Rogue Resources. "These shareholders appreciate the work that went into completing the 2016 Plan and were attracted to an opportunity to increase their stakes in the Company."
Corporate Update Conference Call
Rogue is pleased to announce a conference call with management to discuss completion of the 2016 Plan. Rogue CEO Sean Samson and VP, Technical Paul Davis will give a corporate update followed by a brief question and answer period. Interested investors should forward questions to email@example.com. The call is scheduled to take place on Tuesday, January 10th at 12pm Eastern (9am Pacific, 6pm in Western Europe) and dial-in numbers to access the conference call as well as a corporate presentation will be provided on our webpage, www.rogueresources.ca, by 12pm Eastern on Monday, January 9th. A playback of the call will be available online.
About Rogue Resources Inc.
Rogue is a mining company focused on generating positive cash flow. Not tied to any metal, it looks at rock value and good grade deposits that can withstand all stages of the metal price cycle. The current focus is Quebec's Silicon Ridge Project. For more information visit www.rogueresources.ca.
Founded in 1911, SNC-Lavalin is one of the leading engineering and construction groups in the world and a major player in the ownership of infrastructure. From offices in over 50 countries, SNC-Lavalin's employees are proud to build what matters. Our teams provide engineering, procurement construction, completions and commissioning services together with a range of sustaining capital services to clients in our four industry sectors, oil and gas, mining and metallurgy, infrastructure and power. SNC-Lavalin can also combine these services with its financing and operations and maintenance capabilities to provide complete end-to-end project solutions. For more information visit www.snclavalin.com.
The Silicon Ridge Project is under the direct supervision of Paul Davis, P Geo., and Vice-President, Technical of the Company, a Qualified Persons ("QP") as defined by National Instrument 43-101, has approved the scientific and technical content of this release.
On Behalf of Rogue Resources Inc.
President & CEO, Director
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 news release.
Cautionary Statement Regarding Forward-Looking Information
This press release contains "forward-looking statements" or "forward-looking information" (collectively referred to herein as "forward-looking statements") within the meaning of applicable securities legislation. Such forward-looking statements include, without limitation, forecasts, estimates, expectations and objectives for future operations that are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of the Company. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "will", "plan", "intends", "may", "will", "could", "expects", "anticipates" and similar expressions. In particular, this press release contains forward-looking statements pertaining to: the estimated reduction in the volume of overburden; a reduced project footprint; potential reduction of costs and capital costs; required permits, authorizations and certificates and required timing; the anticipated sized of the Offering; closing of the second tranche of the Offering for $150,000 through the issuance of 300,000 Units; execution of the plan presented in March of 2016; TSXV approval of the Offering; the payment of finders' fees or compensation warrants; the share restrictions; the closing date of the Offering; using the proceeds of the Offering; the business of Rogue; and the focus of Rogue's current business.
These forward-looking statements are based on assumptions made by and information currently available to the Company. Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. By their very nature, forward-looking statements involve inherent risks and uncertainties and readers are cautioned not to place undue reliance on these statements as a number of factors could cause actual results to differ materially from the beliefs, plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to, commodity prices, economic conditions, currency fluctuations, competition and regulations, legal proceedings and risks related to operations in foreign countries.
The forward-looking statements in this press release are made as of the date they are given and, except as required by applicable securities laws, the Company disclaims any intention or obligation to publically update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Image Available: http://www.marketwire.com/library/MwGo/2017/1/5/11G126637/Images/Rogue_2016_Plan-afcc87b7b2f48ad4811271aeb7f98d0a.jpg