Site selection optionality, while reducing capital costs, and permitting and technical risks

Fortune Minerals Limited (TSX: FT) (OTCQB: FTMDF) ("Fortune" or the "Company") (www.fortuneminerals.com) is pleased to announce that it has received indicative terms from a large waste disposal and environmental services company to dispose of the process residue from the planned refinery for the NICO Cobalt-Gold-Bismuth-Copper Project ("NICO Project"). This waste disposal company operates a number of facilities in western Canada and provided its quote after reviewing the chemistry and environmental characteristics of the process residue produced in Fortune’s earlier pilot plant. The ability to dispose of the residue in an existing permitted facility provides Fortune with flexible options to finalize the preferred site for its planed refinery and reduces the amount of land that would need to be acquired as well as the capital costs for the refinery. This contracted disposal solution would also reduce permitting times, technical risks during operations, and eliminates long-term legacy issues associated with a Company-owned facility.

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The NICO Project is a Canadian, advanced vertically integrated development that is planned to produce cobalt sulphate, gold doré, bismuth ingot and oxide, and copper as a minor by-product. Both cobalt and bismuth are identified on the United States ("U.S.") and European ("E.U.") Critical Minerals Lists, being minerals needed for defense and new technologies, cannot be easily substituted, and have supply chain risks from geographic concentration of production and/or geopolitical issues. Cobalt sulphate is needed to manufacture the cathodes of most lithium-ion rechargeable batteries used in electric vehicles, portable electronics and stationary storage cells. Fastmarkets (formerly, Metal Bulletin) reports that cobalt prices are up about 30% over the past two months with cathodes trading above US$20 per pound. There is also a significant premium being paid for cobalt contained in sulphate, which represents a price of approximately US$25 per pound of cobalt. The NICO Project stands out among other cobalt developments with 12% of global bismuth reserves, and 1.1 million ounces of gold contained in the Mineral Reserves, the latter providing a countercyclical and highly liquid co-product.

The NICO Project is comprised of a planned open pit and underground mine and mill in Canada’s Northwest Territories ("NWT") and a related hydrometallurgical refinery in southern Canada. The Company has received environmental assessment ("EA") approval, the Land Use Permit, and the Type "A" Water License to construct and operate the NICO mine and concentrator in the NWT. The Tlicho Highway under construction for the NWT government, is a key enabler for the NICO development and is nearing completion and expected to open to the public later this year. This C$213 million, 97-kilometre all-season road to the community of Whati, together with the spur road Fortune plans to construct, will allow metal concentrates to be trucked from the mine to the rail head at Hay River or Enterprise, NWT for railway delivery to the Company’s planned refinery.

Fortune received EA approval for a refinery site in Saskatchewan, but is looking at alternative locations in western Canada with the municipal industrial planning approvals already in place. They include brownfield sites with existing permits and facilities to reduce capital costs for the planned development. The Company is also working with Canadian government departments, several Provinces as well as the U.S. and E.U. for their support of a new reliable Canadian producer of Critical Minerals with supply chain transparency of metals from ore through to the production of value-added products.

Fortune has already completed a positive Feasibility Study for the NICO development in 2014, prepared by Micon International Limited. The economics for the NICO development will be re-assessed when the refinery site has been finalized and after the Company completes the optimizations underway to produce a more financially robust project to mitigate metal price volatility.

For more detailed information about the NICO Mineral Reserves and certain technical information in this news release, please refer to the Technical Report on the NICO Project, entitled "Technical Report on the Feasibility Study for the NICO-Gold-Cobalt-Bismuth-Copper Project, Northwest Territories, Canada", dated April 2, 2014 and prepared by Micon International Limited which has been filed on SEDAR and is available under the Company's profile at www.sedar.com.

The disclosure of scientific and technical information contained in this news release has been approved by Robin Goad, M.Sc., P.Geo., President and Chief Executive Officer of Fortune, who is a "Qualified Person" under National Instrument 43-101.

About Fortune Minerals:

Fortune is a Canadian mining company focused on developing the NICO Gold-Cobalt-Bismuth-Copper Project in the NWT. The Company has an option to purchase lands in Saskatchewan where it may build the hydrometallurgical plant to process NICO metal concentrates. Fortune also owns the satellite Sue-Dianne Copper-Silver-Gold Deposit located 25 km north of the NICO Project, which is a potential future source of incremental mill feed to extend the life of the NICO Project mill.

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This press release contains forward-looking information and forward-looking statements within the meaning of applicable securities legislation. This forward-looking information includes statements with respect to, among other things, a potential contract for the disposal of the process residue from the planned refinery for the NICO Project, the Company’s plans to develop the NICO Project, the construction ot he Tlicho Highway and the potential for the Sue-Dianne property to provide incremental mill feed to the NICO Project. Forward-looking information is based on the opinions and estimates of management as well as certain assumptions at the date the information is given (including, in respect of the forward-looking information contained in this press release, assumptions regarding: the Company’s ability to conclude a contract for the disposal of the process residue from the planned refinery for the NICO Project on the indicative terms provided to it, the anticipated completion of the Tlicho Highway, the Company’s ability to secure a site in southern Canada for the construction of a NICO Project refinery; the Company’s ability to arrange the necessary financing to continue operations and develop the NICO Project; the receipt of all necessary regulatory approvals for the construction and operation of the NICO Project and the related hydrometallurgical refinery and the timing thereof; growth in the demand for cobalt; the time required to construct the NICO Project; and the economic environment in which the Company will operate in the future, including the price of gold, cobalt and other by-product metals, anticipated costs and the volumes of metals to be produced at the NICO Project). However, such forward-looking information is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include the risks that : the Company may not be able to conclude a contract for the disposal of the process residue from the planned refinery for the NICO Project on the indicative terms provided to it,, the NICO Project may not receive the benefit of any financing under the published initiatives of the United States and European Union with respect to critical minerals or any other benefits therefrom, the Company may not be able to secure a site for the construction of a refinery, the Company may not be able to finance and develop NICO on favourable terms or at all, uncertainties with respect to the receipt or timing of required permits, approvals and agreements for the development of the NICO Project, including the related hydrometallurgical refinery, the construction of the Tlicho Highway and the NICO Project may take longer than anticipated, the Company may not be able to secure offtake agreements for the metals to be produced at the NICO Project, the Sue-Dianne Property may not be developed to the point where it can provide mill feed to the NICO Project, the inherent risks involved in the exploration and development of mineral properties and in the mining industry in general, the market for products that use cobalt or bismuth may not grow to the extent anticipated, the future supply of cobalt and bismuth may not be as limited as anticipated, the risk of decreases in the market prices of cobalt, bismuth and other metals to be produced by the NICO Project, discrepancies between actual and estimated Mineral Resources or between actual and estimated metallurgical recoveries, uncertainties associated with estimating Mineral Resources and Reserves and the risk that even if such Mineral Resources prove accurate the risk that such Mineral Resources may not be converted into Mineral Reserves once economic conditions are applied, the Company’s production of cobalt, bismuth and other metals may be less than anticipated and other operational and development risks, market risks and regulatory risks. Readers are cautioned to not place undue reliance on forward-looking information because it is possible that predictions, forecasts, projections and other forms of forward-looking information will not be achieved by the Company. The forward-looking information contained herein is made as of the date hereof and the Company assumes no responsibility to update or revise it to reflect new events or circumstances, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210209005610/en/

Contacts

Fortune Minerals Limited
Troy Nazarewicz
Investor Relations Manager
info@fortuneminerals.com
Tel.: (519) 858-8188
www.fortuneminerals.com

Vancouver, British Columbia–(Newsfile Corp. – February 9, 2021) – Sego Resources Inc. (TSXV: SGZ) ("Sego" or "the Company") is pleased to announce that the Company has granted 350,000 stock options for certain Consultants and Employees at an exercise price of $.08, subject to regulatory approval, including, TSX Venture Exchange approval. The options will be for 5 years, ending February 9, 2026. The options will be issued in conjunction with the stock option plan approved at the last Annual General Meeting, November 5, 2020.

For further information please contact:J. Paul Stevenson, CEO

Sego Resources Inc.ceo@segoresources.com

For investor & shareholder information, please contact:

MarketSmart Communications Inc.Ph: +1 +1 877 261-4466Email: info@marketsmart.ca

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 release. No regulatory authority has approved or disapproved the information contained in this news release.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statement of historical facts that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects re forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, statements are not guarantees of future performance and actual results or developments may differ materially from the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/74072

Dan Lougher became the CEO of Western Areas Limited (ASX:WSA) in 2012, and we think it's a good time to look at the executive's compensation against the backdrop of overall company performance. This analysis will also evaluate the appropriateness of CEO compensation when taking into account the earnings and shareholder returns of the company.

See our latest analysis for Western Areas

How Does Total Compensation For Dan Lougher Compare With Other Companies In The Industry?

According to our data, Western Areas Limited has a market capitalization of AU$685m, and paid its CEO total annual compensation worth AU$2.0m over the year to June 2020. This means that the compensation hasn't changed much from last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at AU$779k.

On examining similar-sized companies in the industry with market capitalizations between AU$261m and AU$1.0b, we discovered that the median CEO total compensation of that group was AU$951k. This suggests that Dan Lougher is paid more than the median for the industry. Moreover, Dan Lougher also holds AU$1.3m worth of Western Areas stock directly under their own name.

On an industry level, roughly 69% of total compensation represents salary and 31% is other remuneration. It's interesting to note that Western Areas allocates a smaller portion of compensation to salary in comparison to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

Western Areas Limited's Growth

Western Areas Limited's earnings per share (EPS) grew 18% per year over the last three years. In the last year, its revenue is up 15%.

This demonstrates that the company has been improving recently and is good news for the shareholders. It's a real positive to see this sort of revenue growth in a single year. That suggests a healthy and growing business. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.

Has Western Areas Limited Been A Good Investment?

Given the total shareholder loss of 16% over three years, many shareholders in Western Areas Limited are probably rather dissatisfied, to say the least. Therefore, it might be upsetting for shareholders if the CEO were paid generously.

To Conclude…

As previously discussed, Dan is compensated more than what is normal for CEOs of companies of similar size, and which belong to the same industry. But the company has impressed with its EPS growth, but we cannot say the same about the uninspiring shareholder returns (over the last three years). Although we'd stop short of calling it inappropriate, we think Dan is earning a very handsome sum.

Whatever your view on compensation, you might want to check if insiders are buying or selling Western Areas shares (free trial).

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity and low debt.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Vancouver, British Columbia–(Newsfile Corp. – February 8, 2021) – Sego Resources Inc. (TSXV: SGZ) ("Sego" or "the Company") is pleased to announce that the Company has completed a financing for total gross proceeds of $252,000, as previously announced on January 19, 2021. The financing is subject to regulatory approval.

CEO J Paul Stevenson stated, "The Company is now funded to drill the new Southern Gold Zone on its Miner Mountain Project, near Princeton, BC. The Southern Gold Zone is an apparent intrusive related gold system."

Pursuant to the private placement, Sego plans to issue in total 7,200,000 units at $0.035 per unit for gross proceeds of $252,000, on receipt of all regulatory approvals. A Director of the Company purchased 170,000 units.

Each unit consists of one common share and one share purchase warrant. Each share purchase warrant entitles the holder to purchase an additional common share at $0.06 for two years from closing of the private placement. The securities issued on closing are subject to the applicable statutory four-month + one-day hold period from the date of issuance. The closing of this financing is subject to regulatory approval.

The proceeds will be expended on the continued exploration of the Company's Miner Mountain Southern Gold Zone located near Princeton, BC, and for general working capital.

Certain finder's fees are payable on a portion of the private placement and consist of 7% cash and 7% Broker's Warrant (where applicable). Each Broker's Warrant entitles the holder to subscribe for an additional unit for $0.035 for two years from the closing of the private placement.

Insiders of the company subscribed for 1,305,000 units, with J Paul Stevenson, CEO and a director of the company, subscribing for 170,000 units, and Strashin Developments Limited, a deemed insider of the company, subscribing for 1,135,000 units. As a result, the private placement is a related-party transaction (as defined under Multilateral Instrument 61-101 [Protection of Minority Security Holders in Special Transactions]). The company relied upon Section 5.5(a) (Fair Market Value Not More Than $2.5 million), Section 5.5(c) (Distribution of Securities for Cash), and exemptions from the formal valuation and minority shareholder approval requirements, respectively, under MI 61-101.

This offering is subject to the receipt of all necessary regulatory approvals, including the TSX Venture Exchange and other customary conditions. All of the securities sold pursuant to this offering will be subject to a four-month + one-day hold period from the date of closing.

The Company fully expects to spend the funds as stated, however, there may be circumstances, for sound business reasons, where a reallocation of funds may be necessary.

There is no material change about the issuer that has not been generally disclosed.

For further information please contact:

J. Paul Stevenson, CEO (604) 682-2933 or

For investor & shareholder information, please contact:

MarketSmart Communications Inc.Ph: 1 (877) 261-4466Email: info@marketsmart.ca

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 release. No regulatory authority has approved or disapproved the information contained in this news release.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statement of historical facts that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects re forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, statements are not guarantees of future performance and actual results or developments may differ materially from the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/73878

Vancouver, British Columbia–(Newsfile Corp. – February 5, 2021) – David H. Brett, President and CEO, Pacific Bay Minerals Ltd. (TSX Venture: PBM) ("Pacific Bay" or the "Company") reports that the Company has closed a $35,750 final tranche of a previously announce financing through issuance of 286,000 units at a price of at a price of $0.125 per unit (the "Units"). The Units consist of one common share and one warrant to purchase one additional common share at a price of $0.175 for one year. The Units issued under this final tranche will be subject to a four month hold period expiring June 6^th, 2021. The Company plans to use the proceeds of the financing to explore its 100% owned British Columbia gold and polymetallic properties and for working capital purposes. No finder's fees were paid with respect to the closing.

Pacific Bay Minerals Ltd.
Per/

David H. Brett, MBA
President & CEO
Contact: David Brett, 604-682-2421, dbrett@pacificbayminerals.com

This news release contains "forward‐looking statements" within the meaning of Canadian securities legislation. Forward‐looking statements include, but are not limited to, statements with respect to the expected use of proceeds of the Financing. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which Pacific Bay will operate in the future. Certain important factors that could cause actual results, performances or achievements to differ materially from those in the forward‐looking statements include, amongst others, the global economic climate, dilution, share price volatility and competition. Although Pacific Bay has attempted to identify important factors that could cause actual results to differ materially from those contained in forward‐looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward‐looking statements. Pacific Bay does not undertake to update any forward‐looking statements, except in accordance with applicable securities laws.

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 release.

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/73812

Just because a business does not make any money, does not mean that the stock will go down. For example, biotech and mining exploration companies often lose money for years before finding success with a new treatment or mineral discovery. But while history lauds those rare successes, those that fail are often forgotten; who remembers Pets.com?

So should Rox Resources (ASX:RXL) shareholders be worried about its cash burn? In this report, we will consider the company's annual negative free cash flow, henceforth referring to it as the 'cash burn'. Let's start with an examination of the business' cash, relative to its cash burn.

Check out our latest analysis for Rox Resources

Does Rox Resources Have A Long Cash Runway?

A company's cash runway is the amount of time it would take to burn through its cash reserves at its current cash burn rate. In June 2020, Rox Resources had AU$11m in cash, and was debt-free. Importantly, its cash burn was AU$8.9m over the trailing twelve months. Therefore, from June 2020 it had roughly 14 months of cash runway. While that cash runway isn't too concerning, sensible holders would be peering into the distance, and considering what happens if the company runs out of cash. You can see how its cash balance has changed over time in the image below.

How Is Rox Resources' Cash Burn Changing Over Time?

Rox Resources didn't record any revenue over the last year, indicating that it's an early stage company still developing its business. Nonetheless, we can still examine its cash burn trajectory as part of our assessment of its cash burn situation. With the cash burn rate up 36% in the last year, it seems that the company is ratcheting up investment in the business over time. However, the company's true cash runway will therefore be shorter than suggested above, if spending continues to increase. Rox Resources makes us a little nervous due to its lack of substantial operating revenue. We prefer most of the stocks on this list of stocks that analysts expect to grow.

How Easily Can Rox Resources Raise Cash?

While Rox Resources does have a solid cash runway, its cash burn trajectory may have some shareholders thinking ahead to when the company may need to raise more cash. Issuing new shares, or taking on debt, are the most common ways for a listed company to raise more money for its business. Commonly, a business will sell new shares in itself to raise cash and drive growth. We can compare a company's cash burn to its market capitalisation to get a sense for how many new shares a company would have to issue to fund one year's operations.

Rox Resources has a market capitalisation of AU$74m and burnt through AU$8.9m last year, which is 12% of the company's market value. As a result, we'd venture that the company could raise more cash for growth without much trouble, albeit at the cost of some dilution.

How Risky Is Rox Resources' Cash Burn Situation?

Even though its increasing cash burn makes us a little nervous, we are compelled to mention that we thought Rox Resources' cash burn relative to its market cap was relatively promising. Even though we don't think it has a problem with its cash burn, the analysis we've done in this article does suggest that shareholders should give some careful thought to the potential cost of raising more money in the future. Separately, we looked at different risks affecting the company and spotted 4 warning signs for Rox Resources (of which 1 is a bit unpleasant!) you should know about.

If you would prefer to check out another company with better fundamentals, then do not miss this free list of interesting companies, that have HIGH return on equity and low debt or this list of stocks which are all forecast to grow.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Toronto, Ontario–(Newsfile Corp. – February 4, 2021) – Xtierra Inc. (TSXV: XAG) ("Xtierra" or the "Company") is pleased to announce positive drill results on the first two drill holes of a five hole program totaling 1800 meters into a previously identified structure (Victor vein) with high-grade silver mineralization located adjacent to and west of the main Bilbao Silver-Lead-Zinc deposit.

The objective of the first hole, X4B, located at the southern end of the Victor vein, was to establish continuity of the mineralization with high silver values at different elevations and along strike from two prior drill holes spaced 100 meters apart: between drill hole X96 which intersected 2 meters of 373 g/t Ag and drill hole X84B which intersected 3.25 meters of 412 g/t Ag.

Drill hole X4B was 395.1 meters in length with 92% recovery and intersected five different levels of mineralization as follows:

The objective of the second hole, X5B, located at the northern end of the approximately 500 meters strike length of the Victor vein was to confirm the continuity of high-grade silver mineralisation between earlier drill holes X42 which intersected 1 meter of 182 g/t Ag and X75 which intersected 0.7 meters of 2,047 g/t Ag.

Drill hole X5B with a total depth of 337.55 meters and a recovery of 96% also intersected mineralization at five levels of elevation as follows:

It is important to compare these drill results to the average grades of the resource estimate used in the preliminary economic assessment (PEA) of the main Bilbao deposit by Runge Pincock Minarco (Canada) Limited ("RPM") dated April 28, 2014. This independent Technical Report in accordance with NI 43-101 reported a resource estimate on the Bilbao Project with average grades of 2.1% zinc, 1.4% lead and 63.96 g/t silver, based on 3 year trailing average metal prices of: Zinc US$0.94/lb, Lead US$1.01/lb and Silver US$30.24/ounce. The mine plan incorporated in the PEA targeted the extraction of only the lower, unoxidized, sulphide zone based on a production rate of 2,000 tonnes per day, or 720,000 tonnes per year for a total of 5.2 million tonnes with over a mine life of approximately 8 years.

Commenting on the results, Tim Gallagher, Company President said, "The drill results on the first two holes are consistent with our expectations and demonstrate both the tenor and the continuity of the mineralization within the Victor vein which should add tonnage and increase the value of the Bilbao deposit, especially with the much-improved outlook for silver prices, approaching the US$30 per ounce level. Three more holes, X6B, X7B and X8B have now been completed for a total of 1,067.75 meters and we expect the final drill results in approximately two weeks."

The third hole, X6B, tested the continuity between the two best drill hole results from the 2010-2013 exploration work in which X26 intersected 6 meters of 847 Ag/t and X40-1 and 2.45 meters of 1623 Ag/t at 424 meters depth. X7B tested the continuity between X5B at the northern end and X6B. The fifth and final hole, X8B was drilled just north of the southernmost previous drill hole X100 which intersected 1 meter of 810 g/t Ag to test the extension of the Victor vein where it intersects a manto stockwork area.

Drill core samples were sent to an SGS laboratory in Durango. Historically, samples from half-core were prepared at the Stewart Group laboratory in Zacatecas and analyzed for multi-element content using ICP-MS by Stewart Group in Kamloops, British Columbia. Standards and blanks were used regularly for quality control. Significant mineralized intervals are reported in the table as core lengths and estimated true thickness (70 to 95 per cent of core length).

Qualified Person

Scientific and technical information disclosed in this press release was prepared by or under the supervision of and approved by Gerry J. Gauthier, P. Eng., a Director and former President of the Company and a 'Qualified Person' within the meaning of NI 43-101.

* * * * * *

About Xtierra Inc.

Xtierra is a natural resource company with precious and base metal mineral properties in the Central Silver Belt of Mexico in the State of Zacatecas and is pursuing new opportunities including identifying and evaluating new potential royalty acquisitions.

Xtierra holds a 100% interest, subject to a 1.5% net smelter royalty repurchased in July 2019, on the Bilbao project silver-lead-zinc-copper project located in the southeastern part of the State of Zacatecas.

Xtierra owns 88% of the outstanding shares of Minera Portree de Zacatecas, S.A. de C.V ("Minera Portree") which holds various legal or royalty interests in certain mineral properties in Mexico, including the Company's Bilbao property, and an asserted claim to a 2% net smelter royalty on six mining concessions located adjacent to the Cozamin Mine operated by Capstone Mining Corp., which claim is challenged by Capstone.

For further information contact Xtierra Inc. at info@xtierra.ca.

John F. Kearney
Chairman
(416) 362-6686

Tim Gallagher
President & Director
(416) 925‐0090

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/73668

VANCOUVER, British Columbia, Feb. 04, 2021 (GLOBE NEWSWIRE) — Lupaka Gold Corp. ("Lupaka" or the “Company") (TSX-V: LPK, FRA: LQP) provides an update on progress with its international arbitration claim against the Republic of Peru.

After a number of minor delays due to the holiday period and the required sourcing of available candidates with the agreed profile, the International Centre for Settlement of Investment Disputes (ICSID) has provided a final list of candidates for the third and final arbitrator to chair the Tribunal.

With this list complete, the parties will indicate their preferences and ICSID will then make the final decision as to the third arbitrator within the next few weeks. Please note that Lupaka and the Republic of Peru have previously appointed their respective arbitrators. Once the chair is appointed, the Tribunal’s initial steps will be to organize the procedural rules and calendar for the remainder of the proceedings.

For ongoing updates with respect to the arbitration, please refer to the Company’s website (www.lupakagold.com/projects/arbitration).

For background on the basis for the arbitration please refer to the Company’s previous news releases, also available on the website (www.lupakagold.com/news/#2020).

With respect to the arbitration proceedings, Lupaka is represented by the international law firm, LALIVE (www.lalive.law), and has the financial backing of Bench Walk Advisors (www.benchwalk.com).

Neither the TSX Venture Exchange nor its Regulation Service Provider (as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this news release.

About Lupaka Gold
Lupaka is an active Canadian-based company focused on creating shareholder value through identification and development of mining assets.

About Bench Walk Advisors
Bench Walk Advisors is a global litigation financier with over USD 250m of capital deployed across in excess of 100 commercial cases. Bench Walk and its principals have consistently been ranked as leading lawyers and litigation funders in various global directories.

About LALIVE
LALIVE is an international law firm with offices in Geneva, Zurich and London, that specializes in international dispute resolution. The firm has extensive experience in international investment arbitration in the mining sector, amongst others, and is currently representing investors and States as counsel worldwide.

FOR FURTHER INFORMATION PLEASE CONTACT:

Gordon Ellis, C.E.O.
gellis@lupakagold.com
Tel: (604) 985-3147

or visit the Company’s profile at www.sedar.com or its website at www.lupakagold.com

TSX: MSV; OTCQX: MISVF;
WKN:A0ESX5

VANCOUVER, BC, Feb. 3, 2021 /CNW/ – Minco Silver Corporation (the "Company" or "Minco Silver") (TSX: MSV OTCQX: MISVF; WKN: A0ESX5) announces that the Exploration Permit for its Changkeng Gold Project has been renewed by the Chinese Government Agencies. The new expiry date of the permit is November 21, 2022, which is subject to further renewal.

In addition, the exploration permit for the Company's Fuwan Silver Project is at the late stage of the renewal process.

The Company plans to resume its permitting and development activities on its Changkeng Gold Project and Fuwan Silver Project, both located in Guangdong, China, once the exploration permits are renewed. Currently, the Company has working capital of approximately $42 million with no debt, including $32 million cash and short term investments. The Company also actively reviews high quality mineral projects inside and outside China for acquisition.

About Minco Silver

Minco Silver Corporation is a TSX and OTCQX listed company focusing on the exploration and development of mineral resource projects. The Company holds 52% in the Changkeng Gold Project and 90% interest in the Fuwan Silver Project. We seek to identify and acquire precious metal dominant projects that we believe will enhance shareholder value. For more information on Minco Silver, please visit the Company's website at www.mincosilver.ca or contact Jennifer Trevitt, at 1-888-288-8288 or (604) 688-8002 pr@mincosilver.ca

SOURCE Minco Silver Corporation

View original content: http://www.newswire.ca/en/releases/archive/February2021/03/c7790.html

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Intra Energy Corporation Limited (ASX:IEC) as an investment opportunity by estimating the company's future cash flows and discounting them to their present value. One way to achieve this is by employing the Discounted Cash Flow (DCF) model. There's really not all that much to it, even though it might appear quite complex.

Companies can be valued in a lot of ways, so we would point out that a DCF is not perfect for every situation. If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model.

View our latest analysis for Intra Energy

The calculation

We are going to use a two-stage DCF model, which, as the name states, takes into account two stages of growth. The first stage is generally a higher growth period which levels off heading towards the terminal value, captured in the second 'steady growth' period. In the first stage we need to estimate the cash flows to the business over the next ten years. Seeing as no analyst estimates of free cash flow are available to us, we have extrapolate the previous free cash flow (FCF) from the company's last reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.

Generally we assume that a dollar today is more valuable than a dollar in the future, so we discount the value of these future cash flows to their estimated value in today's dollars:

10-year free cash flow (FCF) forecast

("Est" = FCF growth rate estimated by Simply Wall St)
Present Value of 10-year Cash Flow (PVCF) = AU$2.0m

After calculating the present value of future cash flows in the initial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.0%. We discount the terminal cash flows to today's value at a cost of equity of 11%.

Terminal Value (TV)= FCF₂₀₃₀ × (1 + g) ÷ (r – g) = AU$324k× (1 + 2.0%) ÷ (11%– 2.0%) = AU$3.5m

Present Value of Terminal Value (PVTV)= TV / (1 + r)¹⁰= AU$3.5m÷ ( 1 + 11%)¹⁰= AU$1.2m

The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is AU$3.2m. In the final step we divide the equity value by the number of shares outstanding. Relative to the current share price of AU$0.009, the company appears around fair value at the time of writing. The assumptions in any calculation have a big impact on the valuation, so it is better to view this as a rough estimate, not precise down to the last cent.

Important assumptions

Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. Part of investing is coming up with your own evaluation of a company's future performance, so try the calculation yourself and check your own assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Intra Energy as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 11%, which is based on a levered beta of 1.799. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business.

Looking Ahead:

Although the valuation of a company is important, it ideally won't be the sole piece of analysis you scrutinize for a company. DCF models are not the be-all and end-all of investment valuation. Rather it should be seen as a guide to "what assumptions need to be true for this stock to be under/overvalued?" If a company grows at a different rate, or if its cost of equity or risk free rate changes sharply, the output can look very different. For Intra Energy, we've put together three further elements you should explore:

1. Risks: Be aware that Intra Energy is showing 5 warning signs in our investment analysis , and 3 of those can't be ignored…

2. Management:Have insiders been ramping up their shares to take advantage of the market's sentiment for IEC's future outlook? Check out our management and board analysis with insights on CEO compensation and governance factors.

3. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing!

PS. The Simply Wall St app conducts a discounted cash flow valuation for every stock on the ASX every day. If you want to find the calculation for other stocks just search here.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Vancouver, British Columbia–(Newsfile Corp. – February 2, 2021) – INCA ONE GOLD CORP. (TSXV: IO) (OTC Pink: INCAF) (FSE: SU92) ("Inca One" or the "Company") a gold producer operating two, fully integrated mineral processing facilities in Peru reports consolidated gold production and deliveries for the three months ending December 2020 ("Q4 2020" or "the Quarter") from its Chala One Plant ("Chala One") and Kori One Plant ("Kori One"). All comparative year-over-year ("YoY") production numbers represent consolidated operations from both facilities.

Q4 2020 Highlights

• Total revenue of US$10.1 million, up 3% from Q4 2019 revenue ($9.79 million).

• Gold production reached 5,399 ounces.

• Deliveries of 11,385 tonnes for the quarter.

• Processed 11,459 tonnes, averaging 125 tonnes per day ("tpd") throughput.

Q4 2020 Production Results

Highlighting operations in Q4 2020 was the sharp increase in ore supply, as deliveries to our plants were 11,385 tonnes for the Quarter, an increase of 43% from the prior Q3 2020 (7,978 tonnes). This increase was driven by strong demand for ore processing services, from an expanded customer base that emerged from the additional 34,600 small-scale miners that entered the marketplace under the formalization amnesty announced early in 2020 by the Peruvian Mining Ministry. Specifically, deliveries in December alone reached their highest single monthly total in two years, as 5,011 tonnes of raw material was delivered to both Chala One and Kori One plants, an increase of 57% from the prior month of November 2020 (3,194 tonnes).

Additionally, the Company processed 11,459 tonnes of material in the Quarter, an increase of 81% from the prior Q3 2020 (6,347 tonnes). This represented a throughput of approximately 125 tpd in Q4 2020, which also was a high for the year. Inca One also had its highest daily throughput this past December as the Company processed an average of 134 tpd for the month, an increase of 21% on a monthly basis. Of particular note, Inca One reached an all-time daily production record of 322 tonnes per day during December.

Gold production during Q4 2020 reached 5,399 ounces, an increase of 56% over the previous Q3 2020, (3,472 oz). Production this quarter also included silver production of 10,713 ounces. Of note, YoY gold production was only off 9% as compared to Q4 2019 (5,924 ounces). This is significant as the promise of increased miners and mining activity from the formalization amnesty and a rebounding gold market began to reflect in increased deliveries and new miners requiring custom milling services with excess processing capacity, reversing the negative effects of the Coronavirus ("COVID-19") pandemic observed in prior quarterly performance.

This increase in mining activity post COVID-19 continued into the first month of 2021 as Inca One had positive YoY increases of 11% in both deliveries and processing and a 38% YoY increase in gold production. Again, helping drive these YoY gains was a strong gold price and more miners in the small-scale mining sector.

"This past year will be remembered as being influenced by a global pandemic that gravely impacted the world and economic prospects of the global economy," stated Inca One President and CEO, Edward Kelly. "Although the effects of COVID-19 lasted throughout the entire year, the Company focused on efficiency and sales, finishing 2020 on a strong note, with robust production and near record deliveries in December, including our strong start to 2021. However, our most significant achievement was the tremendous operational performance of our Peruvian team in the face of a challenging business environment that drove not only our quarterly results but our entire 2020 sales. We are encouraged by this strong finish to the year and we look forward on building on this momentum, supported by a strengthened gold price and re-established gold market."

"I am grateful to our board of directors and management teams, both in Vancouver and Peru, for their dedication and unwavering support. Additionally, I want to thank our Peruvian staff who have allowed Inca One to continue on its path to become Peru's finest gold processing company. Every year will bring its challenges or obstacles, whether internal or external, and knowing the professionalism displayed by everyone instills confidence we have assembled the right team and are on the correct path to make this year our very best yet."

Chart 1

To view an enhanced version of Chart 1, please visit:
https://orders.newsfilecorp.com/files/2645/73411_chart1.jpg

Looking ahead in 2021, Inca One will continue to focus on technical execution and expanding its mineral buying, securing future supplies of mill feed in an expanded small-scale mining sector and a revitalized gold space. The Company believes that it has the ability to fill its remaining capacity at both plants and achieve new highs in both processing and production in 2021 and future years to follow.

About Inca One

Inca One Gold Corp is a TSXV listed, gold producer operating two, fully permitted, gold mineral processing facilities in Peru. The Company produced nearly 25,000 ounces of gold from its operations in 2019 and has generated over US$100 million in revenue over the last five years. Inca One, now in its sixth year of commercial production, is led by an experienced and capable management team that has established the Company as a trusted leader in servicing government permitted, small scale miners in Peru. Peru is the world's sixth-largest producer of gold and its small-scale mining sector is estimated by government officials to be valued in the billions of dollars annually. Inca One possesses a combined 450 tonnes per day permitted operating capacity at its two fully integrated plants, Chala One and Kori One, and is targeting a fourth consecutive year of increased production and sales growth. To learn more visit www.incaone.com.

Figure 1. Inca One's gold processing facilities in Peru (left: Chala One facility; right: Kori One facility)

To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/2645/73411_facab09b44a369e8_005full.jpg

On behalf of the Board,

Edward Kelly,
President and CEO
Inca One Gold Corp.

For More Information Contact:

Konstantine Tsakumis
Inca One Gold Corp.
ktsakumis@incaone.com
604-568-4877

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.

Statements regarding the Company which are not historical facts are "forward-looking statements" that involve risks and uncertainties. Such information can generally be identified by the use of forwarding-looking wording such as "may", "expect", "estimate", "anticipate", "intend", "believe" and "continue" or the negative thereof or similar variations. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements due to factors such as: (i) fluctuation of mineral prices; (ii) a change in market conditions; and (iii) the fact that future operational results may not be accurately predicted based on this limited information to date. Except as required by law, the Company does not intend to update any changes to such statements. Inca One believes the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included herein should not be unduly relied upon.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/73411

Vancouver, British Columbia–(Newsfile Corp. – February 2, 2021) – Eastern Platinum Limited (TSX: ELR) (JSE: EPS) ("Eastplats" or the "Company") is pleased to provide an update on the platinum group metals ("PGM") initiatives following the closing of the rights offering (See news release of January 25, 2021). The Company reports that its subsidiary, Barplats Mines (Pty) Ltd. ("Barplats") has committed ZAR9 million (CDN$768,000) to the reconfiguring and optimization of the small-scale PGM circuit (previously the scavenger plant circuit) ("PGM Circuit D") which also includes funding for some of the initial work required to restart the main PGM plant circuit ("PGM Main Circuit").

Barplats has scheduled the work to be completed by the end of February 2021, with recommissioning and operations targeted to begin before mid March 2021. The Company is pursuing the upgrades to obtain higher quality concentrate and to consistently produce a minimum of 200 tons of pressed filter cake PGM concentrate ("PGM Concentrate") per month, which is projected to further increase the revenue of the Company. The PGM Circuit D will be able to utilize the initial work on the PGM Main Circuit and it will allow a quicker restart of production. The next phase of the PGM Main Circuit work is projected to start in May 2021, with commissioning in October 2021. The Company estimates this will add a further 800 tons of PGM Concentrate per month to Barplats production, thereby continuing to grow Eastplats' revenue.

About Eastern Platinum Limited

Eastplats owns directly and indirectly a number of Platinum Group Metals ("PGM") and chrome assets in the Republic of South Africa. All of the Company's properties are situated on the western and eastern limbs of the Bushveld Complex, the geological environment that hosts approximately 80% of the world's PGM-bearing ore.

Operations at the Crocodile River Mine currently include re-mining and processing its tailings resource, with an offtake of the chrome concentrate from the Barplats Zandfontein UG2 tailings facility and the processing and extraction of PGMs ("Retreatment Project").

COVID-19

South Africa remains at alert level 3 regarding COVID-19. The Company continues to follow the health guidelines of the Government of South Africa. The Retreatment Project remains in full operation and continues to produce and transport chrome and PGM end products. The effects of COVID-19 are evolving and changing and the consequences of a further increase in the alert level in South Africa, temporary shutdown of any operations or other related issues cannot be reasonably estimated at this time, but could potentially have material adverse effects on the Company's business, operations, liquidity and cashflows.

For further information, please contact:

EASTERN PLATINUM LIMITEDRowland Wallenius, Chief Financial Officerrwallenius@eastplats.com (email)(604) 800-8200 (phone)

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", "could", "expects", "anticipates" and similar expressions. Further disclosure of the risks and uncertainties facing the Company and other forward-looking statements are discussed in the Company's most recent Annual Information Form available under the Company's profile on www.sedar.com.

In particular, this press release contains, without limitation, forward-looking statements pertaining to: estimated operations and production of PGM Circuit D and PGM Main Circuit; estimated ramp up or upgrades to the PGM Circuit D and PGM Main Circuit; potential additional revenue from the PGM Circuit D and PGM Main Circuit; potential effects of COVID-19 such as a new lockdown imposed by the Government of South Africa; and any future measures taken by the Government of South Africa and their impact on the Company, and its business, operations, liquidity and cashflows. 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, unanticipated problems that may arise in our production processes, commodity prices, lower than expected grades and quantities of resources, need for additional funding and availability of such additional funding on acceptable terms, economic conditions, currency fluctuations, competition and regulations, legal proceedings and risks related to operations in foreign countries.

All forward-looking statements in this press release are expressly qualified in their entirety by this cautionary statement, the "Cautionary Statement on Forward-Looking Information" section contained in the Company's most recent Management's Discussion and Analysis available under the Company's profile on www.sedar.com. 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, and does not undertake, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/73396

Vancouver, British Columbia–(Newsfile Corp. – February 1, 2021) – Philippine Metals Inc. (TSXV: PHI) (the "Company") is pleased to announce the acquisition of an option to acquire a 100% interest in the 1,161 hectare Consortium Property ("Consortium" or the "Property") located in British Columbia, Canada. The arm's length acquisition is subject only to a 3.0% NSR royalty interest in favour of the vendor.

Key Highlights

• The Property is located 55 kilometres northwest of Campbell River, British Columbia and can be accessed by a network of well-maintained logging roads.

• Known mineralization was first identified in 1989 by a provincial Regional Geochemical Survey, which led to initial staking in 1990 that was followed by a variety of intermittent ground-based surveys through to 2020. The Property has never been drilled-tested.

• Consortium has high gold-silver grades in quartz-ankerite veins with chalcopyrite and pyrite veinlets. For example:

  • In 2020, a program of 10 bedrock samples of veins in a creek (known as A1 Creek) on the Property returned grades ranging from 0.24 to 30.4 grams per tonne (g/t) Au (and which averaged 4.5 g/t Au) and 1.8 to 71.0 g/t Ag (and which averaged 14 g/t Ag).

  • Float samples in A1 Creek generated from a program completed in 2018 included two samples which returned grades of 79.0 g/t Au and 248 g/t Ag and 29.0 g/t Au and 112.0 g/t Ag.

• Vein mineralization in the basalts is related to brittle, strike slip faults and carbonate alteration.

• The Consortium Property is open to expansion in multiple directions.

• The Property represents an early-stage exploration for gold, silver and potential base metals and marks the first step in the Company's development of a property pipeline outside of the Philippines.

A NI 43-101 Technical Report on the Property and commissioned by the Company will be filed on SEDAR within 30 days.

Exploration Plans

Field work conducted in the past 3 years consists of baseline exploration including mapping and sampling. In 2018 the Property was the subject of a soil sampling program along logging roads, silt sampling in creeks, and prospecting rock cuts. Approximately 300 soil samples, 15 silts, and 33 rocks were collected, which was designed to extend and infill historical geochemical surveys. Initial follow-up work in 2020 included the bedrock samples from A1 Creek noted above, 33 soil samples along new logging roads, and lithogeochemical sampling. The Company is continuing to compile and review historic data from the newly acquired assets with the goal of planning and implementing an exploration program for this year. Immediate work recommended includes ground-based geophysics, geology and geochemistry, which would be followed with initial drill-testing (dependent on results of the first-phase exploration).

Dr. Hardolph Wasteneys, Ph.D., P.Geo., a Qualified Person as defined by NI 43-101, has reviewed and approved the technical contents of this news release and has verified the data disclosed herein.

Terms of the Acquisition

The Company has purchased an initial 51% interest in the Property for cash consideration of $5,000. An additional 49% interest in the Property can be purchased for cash consideration of $165,000 payable over four years, the issuance of 800,000 common shares in the Company over three years and the completion of $500,000 of exploration expenditures over four years. Additionally, the acquisition is subject to a 3.0% net smelter royalty in favour of the vendor (who is arm's length to the Company).

The transaction proposed herein is subject to a review and approval by the TSX Venture Exchange.

ON BEHALF OF THE BOARD

"Craig T. Lindsay"

Chief Executive Officer

For additional information, please contact:

Craig Lindsay
Tel: (604) 218-0550
Email: craig@agcap.ca

Forward Looking Information

This news release contains forward-looking statements and other statements that are not historical facts. Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the transactions, concurrent financings or any contemplated change to the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are risks detailed from time to time in the filings made by the Company with securities regulations.

The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. As a result, the Company cannot guarantee that any forward-looking statement will materialize and the reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will only update or revise publicly any of the included forward-looking statements as expressly required by Canadian securities law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This News Release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "US Securities Act") or any State securities laws, and may not be offered or sold within the United States or to US Persons unless registered under the US Securities Act and applicable State securities laws, or an exemption from such registration is available.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/73294

Vancouver, British Columbia–(Newsfile Corp. – February 1, 2021) – ATEX Resources Inc. (TSXV: ATX) ("ATEX") is pleased to announce that it has commenced the mobilization of drilling and related support equipment to the Valeriano Project. The goal of the planned 3,000 metre reverse circulation drilling program is to expand the existing near surface oxide gold resource and convert a portion of inferred gold resources to the measured and indicated categories. In addition, after discussions with the vendors of the Valeriano property, taking into account the difficulties of the past year, ATEX has entered into an agreement extending the timing of all future option payments for a period of one year from each payment's previous due date.

The Valeriano epithermal oxide gold deposit contains 0.585 million ounces of gold and 2.65 million ounces of silver for 0.623 million gold equivalent ounces hosted in an inferred resource estimate of 34.4 million tonnes at a grade of 0.528 grams per tonne ('g/t") gold and 2.4 g/t silver, for a gold equivalent grade of 0.561 g/t at a 0.275 g/t gold cut-off grade.

"We are pleased to start the process of advancing the Valeriano oxide gold resource towards a measured and indicated resource," said Raymond Jannas, CEO of ATEX. "This initial drilling program is the first step towards our goal of outlining an economically viable, heap leachable gold deposit at Valeriano which can be developed in a reasonable time frame with relatively low capital requirements. Further, the payment moratorium provides ATEX with flexibility in moving the oxide gold deposit forward as well as progressing the copper gold porphyry resource lying at depth below the near surface gold deposit."

Underlying the Valeriano oxide gold deposit is a large copper gold porphyry hosting an estimated inferred resource of 297.3 million tonnes grading 0.59% copper, 0.193 g/t gold and 0.9 g/t silver (copper equivalent grade of 0.77%) for an estimated 1.77 million tonnes of copper, 1.845 million ounces of gold and 8.62 million ounces of silver or 2.30 million tonnes of contained copper equivalent at a 0.50% copper cut-off grade. The porphyry copper resource remains open horizontally in all directions and to depth.

Option Grant

ATEX has granted 100,000 stock options to a director of ATEX. Each option entitles the holder to acquire one ATEX common share at an exercise price of $0.35 until January 28, 2026.

NI 43-101 Disclosure

David Hopper, a geological consultant and resident of El Arrayán, Santiago, Chile, is the qualified person ("QP"), as defined by National Instrument 43-101 Standards for Disclosure for Mineral Projects, for the Valeriano Project. Mr. Hopper is a Chartered Geologist of the Geological Society of London, Fellow No. 1030584. The Valeriano Project resource estimates was undertaken by SRK Consulting (Chile) SpA. Joled Nur, Civil Mining Engineer, SRK Consulting (Chile) SpA, a member of the Public Register of Competent Persons in Mining Resources and Reserves of Chile, No. 181, was the independent QP who prepared the resource estimates.

Valeriano Resource Estimates Disclosure

The mineral resources are not confined by economic or mining parameters. The cut-off grades noted are for reporting purposes only and no economic conditions are implied. Metal recoveries were not considered. Equivalent grades are calculated based upon a gold price of $1,800 per ounce, a copper price of $3.00 per pound and a silver price of $25.00 per ounce. The formula for the equivalent grade calculations are as follows: Au_eq(g/t) = Au_g/t + (Ag_g/t x Ag_price / Au_price); and, Cu_eq(%) = (Cu_ppm / 10,000) + (Au_g/t x Au_price / 22.0462 x 31.0135 x Cu_price) + (Ag_g/t x Ag_price / 22.0462 x 31.0135 x Cu_price). All prices are in US$. For further details on the Valeriano resource estimates, see ATEX's "NI 43-101 Technical Report Valeriano Project Inferred Resources Estimates" dated November 13, 2020 filed at www.sedar.com.

About ATEX Resources Inc.

ATEX is a mineral exploration company focused on the acquisition, development and monetization of projects throughout the Americas. ATEX's flagship Valeriano Project is located in Chile's prolific El Indio Mineral Belt.

On behalf of ATEX Resources Inc.
Dr. Raymond Jannas
CEO

For additional information, please email info@atexresources.com or call 1-647-287-3778

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:

This news release contains forward-looking statements, including predictions, projections and forecasts. Forward-looking statements include, but are not limited to: plans for the evaluation of the Valeriano property; the success of evaluation plans; the success of exploration activities; mine development prospects; and, potential for future metals production. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "planning", "expects" or "does not expect", "continues", "scheduled", "estimates", "forecasts", "intends", "potential", "anticipates", "does not anticipate", or describes a "goal", or variation of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.

Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, changes in economic parameters and assumptions, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; the conversion of inferred resources to the measured and indicated category; the results of regulatory and permitting processes; future metals price; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; labour disputes and other risks of the mining industry; the results of economic and technical studies, delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors disclosed in ATEX's publicly filed documents.

Although ATEX has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.

Neither 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.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/73349

Just because a business does not make any money, does not mean that the stock will go down. Indeed, Ironbark Zinc (ASX:IBG) stock is up 167% in the last year, providing strong gains for shareholders. But the harsh reality is that very many loss making companies burn through all their cash and go bankrupt.

Given its strong share price performance, we think it's worthwhile for Ironbark Zinc shareholders to consider whether its cash burn is concerning. In this report, we will consider the company's annual negative free cash flow, henceforth referring to it as the 'cash burn'. Let's start with an examination of the business' cash, relative to its cash burn.

See our latest analysis for Ironbark Zinc

Does Ironbark Zinc Have A Long Cash Runway?

A company's cash runway is the amount of time it would take to burn through its cash reserves at its current cash burn rate. As at June 2020, Ironbark Zinc had cash of AU$2.1m and no debt. Importantly, its cash burn was AU$1.4m over the trailing twelve months. That means it had a cash runway of around 19 months as of June 2020. That's not too bad, but it's fair to say the end of the cash runway is in sight, unless cash burn reduces drastically. The image below shows how its cash balance has been changing over the last few years.

How Is Ironbark Zinc's Cash Burn Changing Over Time?

Because Ironbark Zinc isn't currently generating revenue, we consider it an early-stage business. So while we can't look to sales to understand growth, we can look at how the cash burn is changing to understand how expenditure is trending over time. The 74% reduction in its cash burn over the last twelve months may be good for protecting the balance sheet but it hardly points to imminent growth. Ironbark Zinc makes us a little nervous due to its lack of substantial operating revenue. So we'd generally prefer stocks from this list of stocks that have analysts forecasting growth.

How Easily Can Ironbark Zinc Raise Cash?

There's no doubt Ironbark Zinc's rapidly reducing cash burn brings comfort, but even if it's only hypothetical, it's always worth asking how easily it could raise more money to fund further growth. Companies can raise capital through either debt or equity. Many companies end up issuing new shares to fund future growth. By looking at a company's cash burn relative to its market capitalisation, we gain insight on how much shareholders would be diluted if the company needed to raise enough cash to cover another year's cash burn.

Ironbark Zinc has a market capitalisation of AU$30m and burnt through AU$1.4m last year, which is 4.5% of the company's market value. That's a low proportion, so we figure the company would be able to raise more cash to fund growth, with a little dilution, or even to simply borrow some money.

Is Ironbark Zinc's Cash Burn A Worry?

It may already be apparent to you that we're relatively comfortable with the way Ironbark Zinc is burning through its cash. In particular, we think its cash burn reduction stands out as evidence that the company is well on top of its spending. Its cash runway wasn't quite as good, but was still rather encouraging! Considering all the factors discussed in this article, we're not overly concerned about the company's cash burn, although we do think shareholders should keep an eye on how it develops. Taking a deeper dive, we've spotted 4 warning signs for Ironbark Zinc you should be aware of, and 1 of them makes us a bit uncomfortable.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies insiders are buying, and this list of stocks growth stocks (according to analyst forecasts)

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

It is not uncommon to see companies perform well in the years after insiders buy shares. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So we'll take a look at whether insiders have been buying or selling shares in Canstar Resources Inc. (CVE:ROX).

What Is Insider Buying?

It is perfectly legal for company insiders, including board members, to buy and sell stock in a company. However, most countries require that the company discloses such transactions to the market.

We don't think shareholders should simply follow insider transactions. But it is perfectly logical to keep tabs on what insiders are doing. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise'.

Check out our latest analysis for Canstar Resources

Canstar Resources Insider Transactions Over The Last Year

The Chairman Dennis Peterson made the biggest insider purchase in the last 12 months. That single transaction was for CA$125k worth of shares at a price of CA$0.05 each. We do like to see buying, but this purchase was made at well below the current price of CA$0.25. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Over the last year, we can see that insiders have bought 5.37m shares worth CA$398k. On the other hand they divested 125.00k shares, for CA$31k. Overall, Canstar Resources insiders were net buyers during the last year. They paid about CA$0.074 on average. We don't deny that it is nice to see insiders buying stock in the company. But we must note that the investments were made at well below today's share price. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.

Have Canstar Resources Insiders Traded Recently?

There was only a small bit of insider buying, worth CA$5.9k, in the last three months. Overall, we don't think these recent trades are particularly informative, one way or the other.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data indicates that Canstar Resources insiders own about CA$2.1m worth of shares (which is 12% of the company). Whilst better than nothing, we're not overly impressed by these holdings.

So What Do The Canstar Resources Insider Transactions Indicate?

Our data shows a little insider buying, but no selling, in the last three months. Overall the buying isn't worth writing home about. But insiders have shown more of an appetite for the stock, over the last year. The transactions are fine but it'd be more encouraging if Canstar Resources insiders bought more shares in the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To that end, you should learn about the 4 warning signs we've spotted with Canstar Resources (including 2 which don't sit too well with us).

But note: Canstar Resources may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

It's possible to achieve returns close to the market-weighted average return by buying an index fund. A talented investor can beat the market with a diversified portfolio, but even then, some stocks will under-perform. While the Astro Resources NL (ASX:ARO) share price is down 33% over half a decade, the total return to shareholders (which includes dividends) was 122%. And that total return actually beats the market return of 66%. Unhappily, the share price slid 20% in the last week.

Check out our latest analysis for Astro Resources

Astro Resources didn't have any revenue in the last year, so it's fair to say it doesn't yet have a proven product (or at least not one people are paying for). You have to wonder why venture capitalists aren't funding it. So it seems shareholders are too busy dreaming about the progress to come than dwelling on the current (lack of) revenue. It seems likely some shareholders believe that Astro Resources will find or develop a valuable new mine before too long.

As a general rule, if a company doesn't have much revenue, and it loses money, then it is a high risk investment. There was already a significant chance that they would need more money for business development, and indeed they recently put themselves at the mercy of capital markets and raised equity. So the share price itself impacts the value of the shares (as it determines the cost of capital). While some such companies do very well over the long term, others become hyped up by promoters before eventually falling back down to earth, and going bankrupt (or being recapitalized).

Our data indicates that Astro Resources had more in total liabilities than it had cash, when it last reported. That made it extremely high risk, in our view. But since the share price has dived 8% per year, over 5 years , it looks like some investors think it's time to abandon ship, so to speak, even though the cash reserves look a little better with the capital raising. You can click on the image below to see (in greater detail) how Astro Resources' cash levels have changed over time.

It can be extremely risky to invest in a company that doesn't even have revenue. There's no way to know its value easily. What if insiders are ditching the stock hand over fist? I'd like that just about as much as I like to drink milk and fruit juice mixed together. You can click here to see if there are insiders selling.

What about the Total Shareholder Return (TSR)?

We've already covered Astro Resources' share price action, but we should also mention its total shareholder return (TSR). The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. Astro Resources hasn't been paying dividends, but its TSR of 122% exceeds its share price return of -33%, implying it has either spun-off a business, or raised capital at a discount; thereby providing additional value to shareholders.

A Different Perspective

Investors in Astro Resources had a tough year, with a total loss of , against a market gain of about 2.1%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. Longer term investors wouldn't be so upset, since they would have made 17%, each year, over five years. If the fundamental data continues to indicate long term sustainable growth, the current sell-off could be an opportunity worth considering. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Even so, be aware that Astro Resources is showing 4 warning signs in our investment analysis , and 2 of those are a bit concerning…

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on AU exchanges.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

The big shareholder groups in Galan Lithium Limited (ASX:GLN) have power over the company. Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. Warren Buffett said that he likes "a business with enduring competitive advantages that is run by able and owner-oriented people." So it's nice to see some insider ownership, because it may suggest that management is owner-oriented.

Galan Lithium is not a large company by global standards. It has a market capitalization of AU$139m, which means it wouldn't have the attention of many institutional investors. Our analysis of the ownership of the company, below, shows that institutional investors have not yet purchased much of the company. Let's delve deeper into each type of owner, to discover more about Galan Lithium.

Check out our latest analysis for Galan Lithium

What Does The Institutional Ownership Tell Us About Galan Lithium?

Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index.

Institutions have a very small stake in Galan Lithium. That indicates that the company is on the radar of some funds, but it isn't particularly popular with professional investors at the moment. If the business gets stronger from here, we could see a situation where more institutions are keen to buy. When multiple institutional investors want to buy shares, we often see a rising share price. The past revenue trajectory (shown below) can be an indication of future growth, but there are no guarantees.

Hedge funds don't have many shares in Galan Lithium. Looking at our data, we can see that the largest shareholder is the CEO Juan Pablo de la Vega with 8.0% of shares outstanding. With 7.8% and 2.9% of the shares outstanding respectively, Havelock Mining Investments Limited and Terry Gardiner are the second and third largest shareholders. Interestingly, the third-largest shareholder, Terry Gardiner is also a Member of the Board of Directors, again, indicating strong insider ownership amongst the company's top shareholders.

Our studies suggest that the top 22 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder.

While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. As far I can tell there isn't analyst coverage of the company, so it is probably flying under the radar.

Insider Ownership Of Galan Lithium

While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. The company management answer to the board and the latter should represent the interests of shareholders. Notably, sometimes top-level managers are on the board themselves.

Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.

Our information suggests that insiders maintain a significant holding in Galan Lithium Limited. Insiders own AU$33m worth of shares in the AU$139m company. This may suggest that the founders still own a lot of shares. You can click here to see if they have been buying or selling.

General Public Ownership

The general public — mostly retail investors — own 60% of Galan Lithium. This size of ownership gives retail investors collective power. They can and probably do influence decisions on executive compensation, dividend policies and proposed business acquisitions.

Private Company Ownership

Our data indicates that Private Companies hold 14%, of the company's shares. It might be worth looking deeper into this. If related parties, such as insiders, have an interest in one of these private companies, that should be disclosed in the annual report. Private companies may also have a strategic interest in the company.

Next Steps:

I find it very interesting to look at who exactly owns a company. But to truly gain insight, we need to consider other information, too. Like risks, for instance. Every company has them, and we've spotted 5 warning signs for Galan Lithium (of which 2 are potentially serious!) you should know about.

If you would prefer check out another company — one with potentially superior financials — then do not miss this free list of interesting companies, backed by strong financial data.

NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Vancouver, British Columbia–(Newsfile Corp. – January 26, 2021) – New Carolin Gold Corp. (TSXV: LAD) (OTC Pink: LADFF) (the "Company" or "New Carolin") is pleased to announce the results of its annual general meeting of shareholders (the "AGM") held on Friday, January 22, 2018 in Vancouver, Canada. Shareholders voted in favour of all items put forward by the Board of Directors and management of the Company. All three of the individuals nominated for the Board of Directors, namely Kenneth R. Holmes, Robert P. Lunde and Dr. Kent Ausburn, were elected at the AGM and will serve as directors of the Company for the ensuing year. The shareholders of the Company also voted in favour of appointing Crowe MacKay LLP, Chartered Accountants, as auditors of the Company for the ensuing year, authorizing directors to fix the auditors' remuneration and re-approving the Company's incentive stock option plan.

About New Carolin Gold Corp.

New Carolin Gold is a Canadian-based junior company focused on the exploration, evaluation and development of our 100% owned property consisting of 144 square kilometers of contiguous mineral claims and crown grants, collectively known as the "Ladner Gold Project" (Project). The Project is located near Hope, BC in the prospective and under-explored Coquihalla Gold Belt, which is host to several historic small gold producers including the Carolin Mine, Emancipation Mine and Pipestem Mine, and numerous gold prospects.

For additional information, please visit the Company's website at www.newcarolingold.com.

ON BEHALF OF THE BOARD OF DIRECTORS

"Kenneth R. Holmes"

President

Toll Free: 1(855) 891-9185
E-mail: ceo@newcarolingold.com
Web site: www.newcarolingold.com

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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 the accuracy of this press release.

Caution concerning forward-looking information

This news release may contain forward-looking statements that are based on the Company's expectations, estimates and projections regarding its business and the economic environment in which it operates. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to control or predict. Therefore, actual outcomes and results may differ materially from those expressed in these forward-looking statements and readers should not place undue reliance on such statements. Statements speak only as of the date on which they are made and the Company undertakes no obligation to update them publicly to reflect new information or the occurrence of future events or circumstances, unless otherwise required to do so by law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/72915

Monreal Quebec, Jan. 26, 2021 (GLOBE NEWSWIRE) — Montreal, Quebec, January 26, 2021 – SRG Mining Inc. (TSXV: SRG) (“SRG” or the “Company”) is pleased to announce that it has closed the first tranche (“Tranche 1”) of a private placement in the form of a convertible debt financing for USD$7.5M (approximately CAD$9.53M) (the “Financing”) with Sprott Private Resource Lending II (Collector), LP (“Sprott”). The Financing is the first portion of financial resources the Company will raise should it be successful in its bid to acquire the North American Lithium Inc. (“NAL”) assets pursuant to the procedures of the Sale and Investor Solicitation Process relating to NAL (“SISP).

The Company has been involved in the SISP since it was initially launched in October 2019. Since then, the Company has conducted thorough due diligence including multiple site visits and interviews with current and past management; interviews with previous lenders, owners and suppliers of NAL; a review of daily production reports; and technical studies. Furthermore, the Company conducted a review and remodelled the deposit’s geological model using NAL’s 2019 drilling results as this had not previously been completed by NAL.

With this information in hand, the Company prepared a full diagnosis of the NAL project and drew up an execution plan that involves recommissioning the NAL project as an integrated operation and producing lithium chemicals within a 36-month period. SRG intends to execute its plan while minimizing its environmental footprint, maintaining worker health and safety as a core value, respecting the interests of all stakeholders and ensuring long-term profitability of the project for its shareholders. The detailed plan, along with our bid, was presented to the Raymond Chabot Inc. as monitor pursuant to the SISP and the secured lenders including Contemporary Amperex Technology (“CATL”) and Investissement Québec (“IQ”).

“After several months of due diligence and consideration, we have submitted a bid and an action plan to the Monitor and the secured lenders, including the Government of Québec and IQ, which we believe will maximize stakeholder value in this project,” said Benoit La Salle, Executive Chairman of SRG. “Our offer provides secured lenders with meaningful repayment of their debts and gives IQ meaningful participation in the project via SRG shares should the project be successful. SRG is already in the battery materials space with a shovel-ready graphite project, and the addition of NAL would further strengthen our portfolio. Our team is made up of Québec-based mining specialists who have built their reputation on turning around distressed mining operations worldwide. Our bid, which is made by Quebecers for a Québec project, maximizes the lithium resource by providing for a conversion plant on site from day one of the restart.”

Convertible Senior Notes Debt Financing

Tranche 1

Tranche 1, which closed and was funded on January 25, 2021, comprised USD$800,000 and includes a subscription for 109,900 common shares of the Company (the “Incentive Shares”). Incentive Shares will be issued at a deemed price equal to a 10% discount to the January 22, 2021 closing share price, being $0.58 per share.

Tranche 1 will be convertible into common shares of the Company, at the discretion of Sprott, at a conversion price equal to C$0.70 per share (“Tranche 1 Conversion Price”).

Tranche 2

Tranche 2 represents USD$6,700,000 and shall be advanced upon certain conditions, including, amongst others, the successful closing of the equity raise contemplated for the acquisition of the NAL assets (the “Equity Financing”) should the Company be the winning bidder of the SISP for NAL (the “Closing Date”).

Tranche 2 will be convertible into common shares of the Company, at the discretion of Sprott, and upon regulatory approval, at a conversion price equal to the lesser of (i) C$0.74 per share or (ii) the Equity Financing price (“Tranche 2 Conversion Price”).

Concurrently, the Company will issue Sprott 5,000,000 warrants (each a “Warrant”), whereby each Warrant shall entitle the holder to purchase one common share and shall contain customary anti-dilution clauses. Warrants will be fully transferable and will have a term of 3 years from their date of issue and an exercise price equal to a 15% premium to the lesser of (a)the 20-day volume weighted average price of the common shares of the Company prior to the Closing Date and (b) the price at which common shares of the Company are issues as part of the Equity Financing price (the “Exercise Price”).

The interest rate of the convertible senior note under the Financing is 8.00% per annum, payable semi-annually in arrears on the last day of June and December in each year, commencing June 30, 2021 computed on the basis of a 360-day year composed of twelve 30-day months.

The Financing is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the final approval of the TSX Venture Exchange. All securities issuable in connection with the Financing are subject to a four-month hold period from the date of issuance in accordance with applicable Canadian securities laws.

Net proceeds from the Financing will be used to provide the necessary funds to complete and pursue the NAL bid.

About SRG Mining

SRG Mining is a Canadian-based mining company focused on developing the Lola graphite deposit located in the Republic of Guinea, West Africa. SRG is committed to operating in a socially, environmentally, and ethically responsible manner.

For additional information, please visit SRG’s website at www.srgmining.com.

About Sprott

Sprott is a global asset manager providing investors with access to highly-differentiated precious metals strategies. Sprott’s specialized investment products include innovative physical bullion trusts, managed equities, mining ETFs, as well as private equity and debt strategies. We also partner with natural resource companies to help meet their capital needs through our brokerage and resource lending activities. Sprott is based in Toronto and has offices in New York, San Diego and Vancouver. Sprott’s common shares are listed on the New York Stock Exchange and the Toronto Stock Exchange under the symbol “SII”.

Sprott today serves over 200,000 global clients and has approximately USD$16.3 billion in assets under management.

Contact :

Benoit La Salle, FCPA FCA

Email: benoit.lasalle@srgmining.com

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This press release contains "forward-looking information" within the meaning of Canadian securities legislation. All information contained herein that is not clearly historical in nature may constitute forward-looking information. Generally, such forward-looking information can be identified by the use of forward-looking terminology such as “firm”, “anticipated”, “plan”, “intends”, “minimizing” maintaining”, “ensuring”, “potential”, “will”, “continue”, “demonstrate”, “deliver”, “believe”, or variations of such words and phrases or state that certain actions, events or results "may", "could", "would" or "might". Forward-looking information is subject to known and unknown risks, uncertainties and other factors 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, including but not limited to: (i) volatile stock price; (ii) the general global markets and economic conditions; (iii) the possibility of write-downs and impairments; (iv) the risk associated with exploration, development and operations of mineral deposits and mine plans for the Company’s mining operations; (v) the risk associated with establishing title to mineral properties and assets including permitting, development, operations and production from the Company’s operations being consistent with expectations and projections; (vi) fluctuations in commodity prices, finding offtake takers and potential clients or enforcing such agreements against same and other risks and factors described or referred to in the section entitled "Risk Factors" in the MD&A of the Company and which is available at www.sedar.com, all of which should be reviewed in conjunction with the information found in this news release.

Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Such forward-looking information has been provided for the purpose of assisting investors in understanding the Company's business, operations and exploration plans and may not be appropriate for other purposes. Accordingly, readers should not place undue reliance on forward-looking information. Forward-looking information is given as of the date of this press release, and the Company does not undertake to update such forward-looking information except in accordance with applicable securities laws.

CONTACT: Ugo Landry-Tolszczuk SRG Mining ugo.landry.tolszczuk@srgmining.com Kathleen Jones-Bartels SRG Mining 6043417474 kathleen.bartels@srgmining.com

Vancouver, British Columbia–(Newsfile Corp. – January 25, 2021) – Eastern Platinum Limited (TSX: ELR) (JSE: EPS) ("Eastplats" or the "Company") today announced the completion of the previously announced rights offering to its shareholders (the "Rights Offering") (See news release of December 11, 2020), subject to final approval of the Toronto Stock Exchange (the "TSX") and Johannesburg Stock Exchange (the "JSE").

Eastplats issued 36,841,741 common shares of the Company (each a "Common Share") at a price of CDN$0.32 per Common Share for rights exercised on the TSX and R3.77136 per Common Share for rights exercised on the JSE. The Company is very pleased to have raised total gross proceeds of approximately CDN$11,788,835 (TSX-CDN$11,364,188 and JSE-R5,010,825).

A total of 32,808,630 Common Shares were issued under the basic subscription privilege and an additional 4,033,111 Common Shares were issued under the additional subscription privilege. As of the closing date, 137,480,773 Common Shares of Eastplats are issued and outstanding. No Common Shares were issued under a stand-by commitment and no fees or commissions were paid in connection with the distribution.

To the knowledge of the Company, after reasonable inquiry, no person that was not an insider of Eastplats became an insider as a result of the distribution under the Rights Offering.

Further to the rights offering circular of the Company dated December 11, 2020, the Company confirms that Ka An Development Co. Limited ("Ka An"), an insider by virtue of beneficial ownership of, or control or direction over, directly or indirectly, securities of the Company carrying more than 10% of the voting rights attached to all the Company's outstanding voting securities, has exercised its basic subscription privilege to acquire 22,134,536 Common Shares and its additional subscription privilege to acquire 730,928 Common Shares, for a total of 22,865,464 Common Shares, bringing Ka An's holdings after the Rights Offering to 45,000,000 Common Shares of the Company, representing 32.73% of the total issued and outstanding common shares of the Company.

The Company intends to use the net proceeds from the Rights Offering to commence and/or complete various projects as described in the rights offering circular to expand and grow Eastplats' revenue potential. Eastplats will provide a more detailed and definitive update in regards to the specific projects and priorities early in February 2021.

General

The Common Shares issuable upon exercise of the Rights have not been nor will be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold, as applicable, in the United States absent registration (which the Company has not sought) or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy the securities of the Company. There shall be no offer or sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification of such securities under the laws of any such jurisdiction.

COVID-19

South Africa remains at alert level 3 regarding COVID-19 cases. The Company continues to follow the health guidelines of the Government of South Africa. The Retreatment Project remains in full operation and continues to produce and transport chrome and PGM end products. The effects of COVID-19 are evolving and changing and the consequences of a further increase in the alert level in South Africa, temporary shutdown of any operations or other related issues cannot be reasonably estimated at this time, but could potentially have material adverse effects on the Company's business, operations, liquidity and cashflows.

About Eastern Platinum Limited

Eastplats owns directly and indirectly a number of Platinum Group Metals ("PGM") and chrome assets in the Republic of South Africa. All of the Company's properties are situated on the western and eastern limbs of the Bushveld Complex, the geological environment that hosts approximately 80% of the world's PGM-bearing ore.

Operations at the Crocodile River Mine currently include re-mining and processing its tailings resource, with an offtake of the chrome concentrate from the Barplats Zandfontein UG2 tailings facility ("Retreatment Project") and the processing and extraction of PGMs.

For further information, please contact:

EASTERN PLATINUM LIMITEDRowland Wallenius, Chief Financial Officerrwallenius@eastplats.com (email)(604) 800-8200 (phone)

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", "could", "expects", "anticipates" and similar expressions. Further disclosure of the risks and uncertainties facing the Company and other forward-looking statements are discussed in the Company's most recent Annual Information Form available under the Company's profile on www.sedar.com.

In particular, this press release contains forward-looking statements pertaining to: the use of the Rights Offering proceeds, potential revenue growth, potential effects of COVID-19 such as a new lockdown imposed by the Government of South Africa; and any future measures taken by the Government of South Africa and their impact on the Company, and its business, operations, liquidity and cashflows. 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, unanticipated problems that may arise in the Company's production processes, commodity prices, lower than expected grades and quantities of resources, need for additional funding and availability of such additional funding on acceptable terms, economic conditions, currency fluctuations, competition and regulations, legal proceedings and risks related to operations in foreign countries.

All forward-looking statements in this press release are expressly qualified in their entirety by this cautionary statement, the "Cautionary Statement on Forward-Looking Information" section contained in the Company's most recent Management's Discussion and Analysis available under the Company's profile on www.sedar.com. 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, and does not undertake, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/72697

We can readily understand why investors are attracted to unprofitable companies. By way of example, Jindalee Resources (ASX:JRL) has seen its share price rise 357% over the last year, delighting many shareholders. Nonetheless, only a fool would ignore the risk that a loss making company burns through its cash too quickly.

So notwithstanding the buoyant share price, we think it's well worth asking whether Jindalee Resources'cash burn is too risky In this report, we will consider the company's annual negative free cash flow, henceforth referring to it as the 'cash burn'. Let's start with an examination of the business' cash, relative to its cash burn.

See our latest analysis for Jindalee Resources

When Might Jindalee Resources Run Out Of Money?

You can calculate a company's cash runway by dividing the amount of cash it has by the rate at which it is spending that cash. In June 2020, Jindalee Resources had AU$1.1m in cash, and was debt-free. Importantly, its cash burn was AU$1.6m over the trailing twelve months. So it had a cash runway of approximately 8 months from June 2020. That's quite a short cash runway, indicating the company must either reduce its annual cash burn or replenish its cash. However, if we extrapolate the company's recent cash burn trend, then it would have a longer cash run way. Depicted below, you can see how its cash holdings have changed over time.

How Is Jindalee Resources' Cash Burn Changing Over Time?

Whilst it's great to see that Jindalee Resources has already begun generating revenue from operations, last year it only produced AU$7.1k, so we don't think it is generating significant revenue, at this point. Therefore, for the purposes of this analysis we'll focus on how the cash burn is tracking. Over the last year its cash burn actually increased by 12%, which suggests that management are increasing investment in future growth, but not too quickly. That's not necessarily a bad thing, but investors should be mindful of the fact that will shorten the cash runway. Admittedly, we're a bit cautious of Jindalee Resources due to its lack of significant operating revenues. So we'd generally prefer stocks from this list of stocks that have analysts forecasting growth.

How Easily Can Jindalee Resources Raise Cash?

Since its cash burn is moving in the wrong direction, Jindalee Resources shareholders may wish to think ahead to when the company may need to raise more cash. Generally speaking, a listed business can raise new cash through issuing shares or taking on debt. Many companies end up issuing new shares to fund future growth. By comparing a company's annual cash burn to its total market capitalisation, we can estimate roughly how many shares it would have to issue in order to run the company for another year (at the same burn rate).

Jindalee Resources' cash burn of AU$1.6m is about 2.7% of its AU$61m market capitalisation. So it could almost certainly just borrow a little to fund another year's growth, or else easily raise the cash by issuing a few shares.

So, Should We Worry About Jindalee Resources' Cash Burn?

Even though its cash runway makes us a little nervous, we are compelled to mention that we thought Jindalee Resources' cash burn relative to its market cap was relatively promising. We don't think its cash burn is particularly problematic, but after considering the range of factors in this article, we do think shareholders should be monitoring how it changes over time. On another note, Jindalee Resources has 6 warning signs (and 2 which are a bit concerning) we think you should know about.

Of course Jindalee Resources may not be the best stock to buy. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks that insiders are buying.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Vancouver, British Columbia–(Newsfile Corp. – January 22, 2021) – David H. Brett, President and CEO, Pacific Bay Minerals Ltd. (TSXV: PBM) ("Pacific Bay" or the "Company") reports that the Company has received TSX Venture Exchange approval to extend the closing date of the remaining 1,210,000 non flow-through units (the "NFT Units") at a price of $0.125 per NFT Unit, to February 5^th, 2021. Each NFT Unit consists of one common share and one warrant to purchase one additional common share at a price of $0.175 for one year.

The NFT Units form part of a $537,500 non-brokered flow-through and non flow-through private placement announced on November 4, 2020 (the "Financing"). The first tranche of the Financing closed on December 8, 2020, raising gross proceeds of $366,440. The Company will not proceed to close the remaining flow-through portion of the Financing. The Company may pay finder's fees on all or part of the remaining Financing in accordance with the policies of the TSX Venture Exchange.

The Company plans to use the proceeds of the financing to explore its 100% owned British Columbia gold and polymetallic properties and for working capital purposes.

Pacific Bay Minerals Ltd.
Per/

David H. Brett, MBA
President & CEO
Contact: David Brett, 604-682-2421, dbrett@pacificbayminerals.com

This news release contains "forward‐looking statements" within the meaning of Canadian securities legislation. Forward‐looking statements include, but are not limited to, statements with respect to the anticipated closing of the remaining portion of the Financing and the expected use of proceeds of the Financing.. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which Pacific Bay will operate in the future. Certain important factors that could cause actual results, performances or achievements to differ materially from those in the forward‐looking statements include, amongst others, the global economic climate, dilution, share price volatility and competition. Although Pacific Bay has attempted to identify important factors that could cause actual results to differ materially from those contained in forward‐looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward‐looking statements. Pacific Bay does not undertake to update any forward‐looking statements, except in accordance with applicable securities laws.

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 release.

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/72668

Over the last month the Eden Innovations Ltd (ASX:EDE) has been much stronger than before, rebounding by 50%. But the last three years have seen a terrible decline. Indeed, the share price is down a whopping 78% in the last three years. So we're relieved for long term holders to see a bit of uplift. Of course the real question is whether the business can sustain a turnaround.

View our latest analysis for Eden Innovations

With just AU$2,431,139 worth of revenue in twelve months, we don't think the market considers Eden Innovations to have proven its business plan. This state of affairs suggests that venture capitalists won't provide funds on attractive terms. As a result, we think it's unlikely shareholders are paying much attention to current revenue, but rather speculating on growth in the years to come. For example, they may be hoping that Eden Innovations finds fossil fuels with an exploration program, before it runs out of money.

We think companies that have neither significant revenues nor profits are pretty high risk. We can see that they needed to raise more capital, and took that step recently despite the fact that it would have been dilutive to current holders. While some such companies do very well over the long term, others become hyped up by promoters before eventually falling back down to earth, and going bankrupt (or being recapitalized). Eden Innovations has already given some investors a taste of the bitter losses that high risk investing can cause.

Eden Innovations had liabilities exceeding cash when it last reported, according to our data. That put it in the highest risk category, according to our analysis. But with the share price diving 21% per year, over 3 years , it's probably fair to say that some shareholders no longer believe the company will succeed or they are worried about dilution with the recent cash injection. You can click on the image below to see (in greater detail) how Eden Innovations' cash levels have changed over time.

In reality it's hard to have much certainty when valuing a business that has neither revenue or profit. Given that situation, would you be concerned if it turned out insiders were relentlessly selling stock? I would feel more nervous about the company if that were so. It costs nothing but a moment of your time to see if we are picking up on any insider selling.

A Different Perspective

Investors in Eden Innovations had a tough year, with a total loss of 16%, against a market gain of about 3.0%. Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. Regrettably, last year's performance caps off a bad run, with the shareholders facing a total loss of 8% per year over five years. Generally speaking long term share price weakness can be a bad sign, though contrarian investors might want to research the stock in hope of a turnaround. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Consider for instance, the ever-present spectre of investment risk. We've identified 5 warning signs with Eden Innovations (at least 1 which is potentially serious) , and understanding them should be part of your investment process.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on AU exchanges.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

TORONTO, Jan. 21, 2021 /CNW/ – Hallett Homes, Primont, Valery Homes, and Argo Development Corporation are pleased to announce the launch of Joshua Creek Montage, North Oakville's stunning new community of luxury single detached executive homes and townhomes, coming soon in 2021.

Joshua Creek Montage will be among the last opportunities to purchase a home in one of North Oakville's most exclusive and luxurious enclaves. The project team is deeply committed to ensuring that Montage will be for generations the benchmark of what a community that is closely integrated into its natural environment looks and feels like.

That fact is evident in Joshua Creek Montage's 95.1-acre master-planned site, which includes initiatives such as a new 11-acre park. As well, Joshua Creek itself is planned to be transformed back into a natural wetland. At the community's southern boundary, the creek empties into a dramatic pond, which functions as a striking entrance to the new community and a central element in the area's water management system.

Joshua Creek Montage is a community with two purposes: respecting its natural heritage and open spaces, and providing an opportunity to live in a vibrant pedestrian-oriented "new town," similar to its near neighbour, historic Downtown Oakville.

Joshua Creek's Dundas Street is envisioned to become a new "main street north" in Midtown Oakville. A short stroll for Joshua Creek homeowners, it will be a place to shop, entertain, or meet friends for a latte or a drink.

Joshua Creek Montage is closely integrated into Oakville/Mississauga and the greater GTA via the GO Transit network and the 400 series highways. From the Clarkson GO stop, Joshua Creek is a mere 30-minute commute into Union Station, and just a half-hour drive into the city on the QEW.

But the most outstanding feature of the new Joshua Creek Montage community is its stunningly luxurious collection of new, executive detached homes and townhomes. Their design is inspired by the traditional Rural Village legacy of Old Oakville, as well as the most up-to-date contemporary designs. For more information, visit www.liveatmontage.ca.

HALLETT HOMES:
Hallett Homes is dedicated to building luxury homes in partnership with its homeowners. Hallett's high quality craftsmanship, innovative floorplans and design features set this builder apart, from the moment ground is broken. Hallett's personal approach engages homeowners throughout the process. From its extensive line of upscale custom finishes and premium design options chosen in partnership with its in-house design specialists, Hallett makes sure that your new home reflects your distinct vision and taste for luxury every step of the way. Hallett's reward is creating dream homes that far exceed expectations. Your reward is living in one.

PRIMONT:
For over 50 years, Primont has followed the simple philosophy of building every home as if it were their own and treating every customer as if they were a member of the family. For this reason, every Primont home benefits from years of experience. Prime locations, elegant design, superb craftsmanship and unrivaled customer service have made Primont a leading and trusted name in the industry. The proof of their passion and dynamic success can be found in the 3,000 homes Primont has built throughout the GTA.

VALERY HOMES:
Valery Homes has been building on a tradition of excellence for over 60 years. Attentive service, pride in craftsmanship, superior design and unsurpassed luxury are only a few of the values you can expect from a longstanding family-run business. Throughout the years, Valery Homes has been pairing artistic vision with the functionality of comfortable and inviting living spaces in an upscale and luxurious fashion. Valery produces leading-edge designs in the most welcoming neighbourhoods, where family values and quality of life go hand in hand. The Valery family tradition continues by delivering a personalized home buying experience while building exceptional quality homes throughout Southern Ontario.

SOURCE Hallet Homes

View original content: http://www.newswire.ca/en/releases/archive/January2021/21/c0802.html

Red River Resources Limited (ASX:RVR) shareholders will have a reason to smile today, with the analysts making substantial upgrades to this year's forecasts. The consensus estimated revenue numbers rose, with their view now clearly much more bullish on the company's business prospects.

Following the upgrade, the most recent consensus for Red River Resources from its twin analysts is for revenues of AU$127m in 2021 which, if met, would be a substantial 101% increase on its sales over the past 12 months. Prior to the latest estimates, the analysts were forecasting revenues of AU$112m in 2021. The consensus has definitely become more optimistic, showing a substantial gain in revenue forecasts.

Check out our latest analysis for Red River Resources

Additionally, the consensus price target for Red River Resources increased 11% to AU$0.30, showing a clear increase in optimism from the analysts involved. The consensus price target is just an average of individual analyst targets, so – it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Red River Resources, with the most bullish analyst valuing it at AU$0.40 and the most bearish at AU$0.20 per share. Note the wide gap in analyst price targets? This implies to us that there is a fairly broad range of possible scenarios for the underlying business.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Red River Resources' past performance and to peers in the same industry. The analysts are definitely expecting Red River Resources' growth to accelerate, with the forecast 101% growth ranking favourably alongside historical growth of 59% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 1.2% per year. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect Red River Resources to grow faster than the wider industry.

The Bottom Line

The most important thing to take away from this upgrade is that analysts lifted their revenue estimates for this year. They're also forecasting more rapid revenue growth than the wider market. There was also a nice increase in the price target, with analysts apparently feeling that the intrinsic value of the business is improving. Seeing the dramatic upgrade to this year's forecasts, it might be time to take another look at Red River Resources.

That's a pretty serious upgrade, but shareholders might be even more pleased to know that forecasts expect Red River Resources to be able to reach break-even within the next few years. You can learn more about these forecasts, for free on our platform here.

Of course, seeing company management invest large sums of money in a stock can be just as useful as knowing whether analysts are upgrading their estimates. So you may also wish to search this free list of stocks that insiders are buying.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

We can readily understand why investors are attracted to unprofitable companies. For example, biotech and mining exploration companies often lose money for years before finding success with a new treatment or mineral discovery. Nonetheless, only a fool would ignore the risk that a loss making company burns through its cash too quickly.

So, the natural question for Minbos Resources (ASX:MNB) shareholders is whether they should be concerned by its rate of cash burn. For the purposes of this article, cash burn is the annual rate at which an unprofitable company spends cash to fund its growth; its negative free cash flow. First, we'll determine its cash runway by comparing its cash burn with its cash reserves.

Check out our latest analysis for Minbos Resources

How Long Is Minbos Resources' Cash Runway?

A cash runway is defined as the length of time it would take a company to run out of money if it kept spending at its current rate of cash burn. When Minbos Resources last reported its balance sheet in June 2020, it had zero debt and cash worth AU$748k. In the last year, its cash burn was AU$1.5m. Therefore, from June 2020 it had roughly 6 months of cash runway. That's quite a short cash runway, indicating the company must either reduce its annual cash burn or replenish its cash. The image below shows how its cash balance has been changing over the last few years.

How Is Minbos Resources' Cash Burn Changing Over Time?

Minbos Resources didn't record any revenue over the last year, indicating that it's an early stage company still developing its business. Nonetheless, we can still examine its cash burn trajectory as part of our assessment of its cash burn situation. It's possible that the 12% reduction in cash burn over the last year is evidence of management tightening their belts as cash reserves deplete. Minbos Resources makes us a little nervous due to its lack of substantial operating revenue. We prefer most of the stocks on this list of stocks that analysts expect to grow.

How Hard Would It Be For Minbos Resources To Raise More Cash For Growth?

While Minbos Resources is showing a solid reduction in its cash burn, it's still worth considering how easily it could raise more cash, even just to fuel faster growth. Issuing new shares, or taking on debt, are the most common ways for a listed company to raise more money for its business. Many companies end up issuing new shares to fund future growth. We can compare a company's cash burn to its market capitalisation to get a sense for how many new shares a company would have to issue to fund one year's operations.

Since it has a market capitalisation of AU$30m, Minbos Resources' AU$1.5m in cash burn equates to about 5.0% of its market value. Given that is a rather small percentage, it would probably be really easy for the company to fund another year's growth by issuing some new shares to investors, or even by taking out a loan.

How Risky Is Minbos Resources' Cash Burn Situation?

On this analysis of Minbos Resources' cash burn, we think its cash burn relative to its market cap was reassuring, while its cash runway has us a bit worried. Looking at the factors mentioned in this short report, we do think that its cash burn is a bit risky, and it does make us slightly nervous about the stock. On another note, we conducted an in-depth investigation of the company, and identified 6 warning signs for Minbos Resources (3 are a bit unpleasant!) that you should be aware of before investing here.

If you would prefer to check out another company with better fundamentals, then do not miss this free list of interesting companies, that have HIGH return on equity and low debt or this list of stocks which are all forecast to grow.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

Vancouver, British Columbia–(Newsfile Corp. – January 19, 2021) – Sego Resources Inc. (TSXV: SGZ) ("Sego" or "the Company") proposes a new financing totaling up to $252,000.

Sego Resources Inc. is proposing to raise up to $252,000 by way of a non-brokered private placement of units at $0.035 per unit. The offering is open to all existing Sego shareholders and non-shareholders subject to certain limitations discussed below.

The offering will consist of up to up to 7,200,000 Units at $0.035 per unit for gross proceeds of $252,000. The total of the financing is expected to be $252,000.

Each Unit will consist of one common share and one warrant. Each warrant will entitle the holder to purchase an additional common share at $0.06 for two years from the closing of the private placement.

This placement may close in several tranches and Insiders may participate in the placement. The proceeds will be expended on diamond drilling of the Company's Southern Gold Zone at the Miner Mountain Copper-Gold Alkalic Porphyry project, near Princeton, BC and working capital.

Finder's fees may be payable on all or a portion of the offering, and will consist of a cash fee of 7% and a Broker's Warrant where applicable, which will entitle the holder to subscribe for one common share for two years from the closing date of the offering at $0.06.

This offering will be subject to the completion of formal documentation, receipt of all necessary regulatory approvals, including the TSX Venture Exchange and other customary conditions. All of the securities sold pursuant to the offering will be subject to a four-month hold period from the date of closing.

The offering is open to all existing shareholders of the Company and all interested investors, provided that a prospectus exemption is available for the Company to issue units to such investors. For existing shareholders who as of the close of business on January 19, 2021 held common shares of the Company and continue to hold common shares at the time of closing, an additional prospectus exemption is available pursuant to British Columbia Instrument 45-534 (and in similar instruments in other Provinces of Canada). Unless such shareholder is a person that has obtained advice regarding the suitability of the investment and, if such shareholder is resident in a jurisdiction of Canada, that advice has been obtained from a person that is registered as an investment dealer in such jurisdiction, the aggregate subscription cost to such shareholder for the units subscribed under the Existing Shareholder Exemption cannot exceed $15,000 or 300,000 units.

The Company also plans to utilize British Columbia Instrument 45-536 which opens private placements to non-accredited investors provided the purchaser has obtained advice regarding the suitability of the investment and that advice has been obtained from a person that is registered as an investment dealer in the jurisdiction. Completion of the private placement is subject to the TSX Venture Exchange approval.

There is no minimum offering size for the private placement and the maximum number of units proposed to be issued is 7,200,000 units for gross proceeds of $252,000. The Company fully expects to spend the funds as stated; there may be circumstances, for sound business reasons, where a reallocation of funds may be necessary.

There is no material change about the issuer that has not been generally disclosed.

This News Release was reviewed and approved by Selina Tribe, Ph.D., P.Geo., a Qualified Person under NI 43 -101.

For further information please contact:

J. Paul Stevenson, CEOSego Resources Inc.ceo@segoresources.com

For investor & shareholder information, please contact:

MarketSmart Communications Inc.Ph: +1 +1 877 261-4466Email: info@marketsmart.ca

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 release. No regulatory authority has approved or disapproved the information contained in this news release.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statement of historical facts that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects re forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, statements are not guarantees of future performance and actual results or developments may differ materially from the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/72285

Just because a business does not make any money, does not mean that the stock will go down. For example, Aruma Resources (ASX:AAJ) shareholders have done very well over the last year, with the share price soaring by 133%. But the harsh reality is that very many loss making companies burn through all their cash and go bankrupt.

Given its strong share price performance, we think it's worthwhile for Aruma Resources shareholders to consider whether its cash burn is concerning. In this article, we define cash burn as its annual (negative) free cash flow, which is the amount of money a company spends each year to fund its growth. We'll start by comparing its cash burn with its cash reserves in order to calculate its cash runway.

See our latest analysis for Aruma Resources

How Long Is Aruma Resources' Cash Runway?

A company's cash runway is calculated by dividing its cash hoard by its cash burn. In June 2020, Aruma Resources had AU$1.1m in cash, and was debt-free. Looking at the last year, the company burnt through AU$264k. That means it had a cash runway of about 4.3 years as of June 2020. A runway of this length affords the company the time and space it needs to develop the business. You can see how its cash balance has changed over time in the image below.

How Is Aruma Resources' Cash Burn Changing Over Time?

In our view, Aruma Resources doesn't yet produce significant amounts of operating revenue, since it reported just AU$615k in the last twelve months. Therefore, for the purposes of this analysis we'll focus on how the cash burn is tracking. The 76% reduction in its cash burn over the last twelve months may be good for protecting the balance sheet but it hardly points to imminent growth. Aruma Resources makes us a little nervous due to its lack of substantial operating revenue. So we'd generally prefer stocks from this list of stocks that have analysts forecasting growth.

Can Aruma Resources Raise More Cash Easily?

There's no doubt Aruma Resources' rapidly reducing cash burn brings comfort, but even if it's only hypothetical, it's always worth asking how easily it could raise more money to fund further growth. Issuing new shares, or taking on debt, are the most common ways for a listed company to raise more money for its business. Many companies end up issuing new shares to fund future growth. We can compare a company's cash burn to its market capitalisation to get a sense for how many new shares a company would have to issue to fund one year's operations.

Since it has a market capitalisation of AU$167m, Aruma Resources' AU$264k in cash burn equates to about 0.2% of its market value. So it could almost certainly just borrow a little to fund another year's growth, or else easily raise the cash by issuing a few shares.

Is Aruma Resources' Cash Burn A Worry?

As you can probably tell by now, we're not too worried about Aruma Resources' cash burn. In particular, we think its cash runway stands out as evidence that the company is well on top of its spending. And even its cash burn reduction was very encouraging. Looking at all the measures in this article, together, we're not worried about its rate of cash burn, which seems to be under control. Its important for readers to be cognizant of the risks that can affect the company's operations, and we've picked out 3 warning signs for Aruma Resources that investors should know when investing in the stock.

Of course Aruma Resources may not be the best stock to buy. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks that insiders are buying.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So shareholders might well want to know whether insiders have been buying or selling shares in New Hope Corporation Limited (ASX:NHC).

What Is Insider Selling?

It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, such insiders must disclose their trading activities, and not trade on inside information.

We don't think shareholders should simply follow insider transactions. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Columbia University study found that 'insiders are more likely to engage in open market purchases of their own company’s stock when the firm is about to reveal new agreements with customers and suppliers'.

See our latest analysis for New Hope

New Hope Insider Transactions Over The Last Year

There wasn't any very large single transaction over the last year, but we can still observe some trading.

Happily, we note that in the last year insiders paid AU$96k for 80.00k shares. But insiders sold 38.09k shares worth AU$53k. Overall, New Hope insiders were net buyers during the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

New Hope is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insiders at New Hope Have Sold Stock Recently

Over the last three months, we've seen a bit of insider selling at New Hope. Independent Non-Executive Director Ian Williams sold just AU$53k worth of shares in that time. Neither the lack of buying nor the presence of selling is heartening. But the amount sold isn't enough for us to put any weight on it.

Does New Hope Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that New Hope insiders own 1.8% of the company, worth about AU$24m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At New Hope Tell Us?

An insider sold New Hope shares recently, but they didn't buy any. In contrast, they appear keener if you look at the last twelve months. It's good to see insiders are shareholders. So the recent selling doesn't worry us too much. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. In terms of investment risks, we've identified 2 warning signs with New Hope and understanding them should be part of your investment process.

If you would prefer to check out another company — one with potentially superior financials — then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.

This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.