PolyMet Mining Corp.: Exhibit 99.1 - Filed by newsfilecorp.com
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100 King Street West, Suite 5700, Toronto,
Ontario, Canada, M5X 1C7 |
| Tel: +1 (416) 915-4149 |
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| 444 Cedar Street, Suite 2060, St. Paul, MN
55101 |
| Tel: +1 (651) 389-4100 |
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| www.polymetmining.com |
| TSX: POM, NYSE MKT: PLM |
|
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| NEWS RELEASE |
2014-3 |
POLYMET REPORTS FISCAL 2014 RESULTS
St. Paul, Minn., April 25, 2014 – PolyMet Mining Corp.
(“PolyMet” or the “Company”) TSX: POM; NYSE MKT: PLM – today reported that it
has filed its financial results for the year ended January 31, 2014. PolyMet
controls 100% of the development-stage NorthMet copper-nickel-precious metals
ore-body and the nearby Erie Plant, located near Hoyt Lakes in the established
mining district of the Mesabi Iron Range in northeastern Minnesota.
The financial statements have been filed at www.polymetmining.com and on SEDAR and EDGAR and
have been prepared in accordance with International Financial Reporting
Standards ("IFRS"). All amounts are in U.S. funds. Copies can be obtained free
of charge by contacting the Corporate Secretary at First Canadian Place, 100
King Street West, Suite 5700, Toronto, Ontario M5X 1C7 or by e-mail at info@polymetmining.com.
Earlier today, PolyMet announced the term of the convertible
debentures originally issued in 2008 to Glencore AG, a wholly owned subsidiary
of Glencore Xstrata plc ("Glencore"), had been extended for one year to
September 30, 2015 (previously due September 30, 2014).
Douglas Newby, Chief Financial Officer, commented, "The
debentures are convertible at a set price of US$1.2920 per share upon receipt of
permits and construction finance. The extension reflects continued support from
our largest shareholder and does not impact our anticipated schedule for permits
in spring 2015. Following the very good rating from the US EPA on the project
Supplement Draft EIS last month, our focus continues to be completion of
permitting, securing construction finance, and completing pre-construction
engineering and construction planning."
FINANCIAL
HIGHLIGHTS
-
Loss for the year ended January 31, 2014 was $8.132 million compared with
$6.626 million for the prior year period. General and administrative expenses
excluding non- cash stock-based compensation in the year ended January 31,
2014 were $4.957 million compared with $3.653 million in the prior year
period, excluding non-cash stock based compensation.
-
Shareholder, investor and public relations expenditures increased to $2.075
million from $0.571 million in the prior year period largely owing to
increased public relations activities associated with the supplemental draft
Environmental Impact Statement and investor relations activity associated with
the $60.5 million rights offering completed in July 2013.
-
At January 31, 2014 PolyMet had cash and cash equivalents of $32.790
million compared with $8.088 million at January 31, 2013.
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PolyMet invested $25.324 million into its NorthMet project during the year
ended January 31, 2014, compared with $18.404 million in the prior year
period, which included $2.092 million for purchase of wetland restoration
properties.
-
On April 25, 2014 PolyMet and Glencore, agreed (subject to approval of
listing the additional shares from the NYSE MKT and the Toronto Stock
Exchange) to extend the maturity of the convertible debt by up to a year to
the earlier of the Early Maturity Event (receipt of permits necessary to start
construction of the NorthMet project and availability of senior construction
finance, in a form reasonably acceptable to Glencore) and September 30, 2015
from the earlier of the Early Maturity Event and September 30, 2014. As such,
$31.967 million convertible debentures, which were a current liability at
January 31, 2014, are now a long-term liability. PolyMet can trigger
conversion of the debt to equity upon the Early Maturity Event.
-
As of January 31, 2014 PolyMet had spent $68.357 million on environmental
review and permitting, of which $61.866 million has been spent since the
NorthMet project moved from exploration to development stage.
Key Statistics
(in ‘000 US dollars, except per share amounts)
| Balance Sheet |
|
January 31, 2014 |
|
|
January 31, 2013 |
|
| |
|
|
|
|
|
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| Cash & equivalents |
$ |
32,790 |
|
$ |
8,088 |
|
| Working capital (see note) |
|
30,095 |
|
|
2,629 |
|
| Total assets |
|
287,525 |
|
|
236,127 |
|
| Total liabilities (see note) |
|
91,193 |
|
|
93.215 |
|
| Shareholders’ equity |
|
196,332 |
|
|
142,912 |
|
| Note: $31.967
million convertible debt shown as long term liability reflecting extension
of due date. |
| |
|
Year
ended Jan 31, |
|
| |
|
|
|
|
|
|
| Income Statement |
|
2014 |
|
|
2013 |
|
| |
|
|
|
|
|
|
General & administrative
expense excluding
non-cash share-based compensation |
$ |
4,957 |
|
$ |
3,653 |
|
| Non-cash share-based
compensation |
$ |
1,697 |
|
$ |
2,255 |
|
| |
|
|
|
|
|
|
| Other Expenses |
$ |
1,478 |
|
$ |
718 |
|
| Income (loss)
before tax |
$ |
(8,132 |
) |
$ |
(6,626 |
) |
| Income (loss) per share |
$ |
(0.04 |
) |
$ |
(0.04 |
) |
| |
|
|
|
|
|
|
| Investing Activities |
|
|
|
|
|
|
| NorthMet Property |
$ |
25,324 |
|
$ |
18,404 |
|
| |
|
|
|
|
|
|
| Weighted average shares
outstanding |
|
236,303,304 |
|
|
178,949,306 |
|
* * * * *
About PolyMet
PolyMet Mining Corp.
(www.polymetmining.com) is a publicly-traded mine development company that owns
100 percent of Poly Met Mining, Inc., a Minnesota corporation that controls 100
percent of the NorthMet copper-nickel-precious metals ore body through a
long-term lease and owns 100 percent of the Erie Plant, a large processing
facility located approximately six miles from the ore body in the established
mining district of the Mesabi Range in northeastern Minnesota. Poly Met Mining,
Inc. has completed its Definitive Feasibility Study and is seeking environmental
and operating permits to enable it to commence production. The NorthMet project
is expected to require approximately two million hours of construction labor,
creating approximately 360 long-term jobs, a level of activity that will have a
significant multiplier effect in the local economy.
POLYMET MINING CORP.
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Per: |
"Jon Cherry" |
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|
Jon Cherry, CEO
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For further information, please contact:
Media
Bruce Richardson
Corporate Communications
Tel: +1 (651) 389-4111
brichardson@polymetmining.com
Investor Relations
Jenny Knudson
Investor
Relations
Tel: +1 (651) 389-4110
jknudson@polymetmining.com
This news release contains certain forward-looking
statements concerning anticipated developments in PolyMet’s operations in the
future. Forward-looking statements are frequently, but not always, identified by
words such as “expects,” “anticipates,” “believes,” “intends,” “estimates,”
“potential,” “possible,” “projects,” “plans,” and similar expressions, or
statements that events, conditions or results “will,” “may,” “could,” or
“should” occur or be achieved or their negatives or other comparable words.
These forward-looking statements may include statements regarding the ability to
receive environmental and operating permits, job creation, or other statements
that are not a statement of fact. Forward-looking statements address future
events and conditions and therefore involve inherent known and unknown risks and
uncertainties. Actual results may differ materially from those in the
forward-looking statements due to risks facing PolyMet or due to actual facts
differing from the assumptions underlying its predictions.
PolyMet’s forward-looking statements are based on the
beliefs, expectations and opinions of management on the date the statements are
made, and PolyMet does not assume any obligation to update forward-looking
statements if circumstances or management’s beliefs, expectations and opinions
should change.
Specific reference is made to PolyMet’s most recent Annual
Report on Form 20-F for the fiscal year ended January 31, 2014 and in our other
filings with Canadian securities authorities and the U.S. Securities and
Exchange Commission for a discussion of some of the risk factors and other
considerations underlying forward-looking statements.
The TSX has not reviewed and does not accept responsibility
for the adequacy or accuracy of this release.