TSX Venture: NKL
TORONTO, Feb. 24, 2020 /CNW/ - Conic Metals Corp.
("Conic" or the "Company") (TSXV: NKL) is
pleased to provide its first summary of the operating performance
of the Company's largest asset, being the Ramu Nickel-Cobalt
("Ramu") integrated operation in Papua New Guinea ("PNG"), which management
believes is one of the largest and most ambitious mining and
processing projects to have been successfully brought into
production in PNG during the past decade. Conic currently holds an
8.56% joint-venture interest in the Ramu operation. Ramu is
operated by the Metallurgical Corporation of China ("MCC") which, along with its partners,
owns an 85.0% interest in Ramu.
"For the third consecutive year, Ramu has exceeded design
production capacity and remained one of the lowest cost integrated
nickel mines in the world," stated Justin
Cochrane, Conic's President and CEO. He continued, "MCC has
once again delivered outstanding operational and financial
performance at our Ramu nickel-cobalt operation and we continue to
work with our joint-venture partners to maximize value, from one of
the world's largest nickel-cobalt operations, for the benefit of
all stakeholders."
Ramu's operating and financial performance for the last 8
quarters is shown below, noting that these figures are
unaudited.
|
2018
|
2019
|
|
Q1
|
Q2
|
Q3
|
Q4
|
Full
Year
|
Q1
|
Q2
|
Q3
|
Q4
|
Full
Year
|
Ore Processed (dry
kt)
|
877
|
950
|
920
|
963
|
3,710
|
800
|
959
|
911
|
886
|
3,556
|
MHP Produced (dry
tonne)
|
21,688
|
23,949
|
22,750
|
23,871
|
92,258
|
19,653
|
22,490
|
21,186
|
19,695
|
83,024
|
Contained Nickel
(tonne)
|
8,210
|
9,159
|
8,804
|
9,182
|
35,355
|
7,663
|
8,767
|
8,390
|
7,902
|
32,722
|
Contained Cobalt
(tonne)
|
774
|
870
|
793
|
838
|
3,275
|
704
|
793
|
740
|
674
|
2,911
|
Nickel Capacity
Utilization (% of design1)
|
101%
|
112%
|
108%
|
113%
|
108%
|
94%
|
108%
|
103%
|
97%
|
100%
|
MHP Shipped (dry
tonnne)
|
23,827
|
17,114
|
1,352
|
24,272
|
66,565
|
17,219
|
24,607
|
37,605
|
24,460
|
103,891
|
Contained Nickel
(tonne)
|
9,024
|
6,999
|
524
|
9,413
|
25,960
|
6,588
|
9,457
|
14,531
|
9,685
|
40,261
|
Contained Cobalt
(tonne)
|
861
|
655
|
48
|
865
|
2,429
|
609
|
861
|
1,329
|
827
|
3,626
|
C1 Cash
Cost2
|
$2.50
|
$1.84
|
$1.50
|
$2.46
|
$2.46
|
$2.34
|
$3.14
|
$3.69
|
$4.05
|
$4.05
|
C1 Cash Cost for
25thPercentile2
|
$1.73
|
$1.85
|
$2.12
|
$2.60
|
$2.60
|
$2.56
|
$3.48
|
$3.42
|
$4.05
|
$4.05
|
Cash Cost
Actual3
|
$0.63
|
$0.02
|
$1.32
|
$1.49
|
$
0.87
|
$2.44
|
$2.41
|
$2.75
|
$2.68
|
$
2.57
|
Note
(1)
|
Ramu design
capacity of 32,600tonne/year contained Ni
|
Note
(2)
|
As reported by
Wood Mackenzie (full year basis)
|
Note
(3)
|
Actual Cash Cost
net of byproduct credit
|
Additional notes:
A. Conic has included certain performance measures in this press
release that do not have any standardized meaning prescribed by
international financial reporting standards (IFRS) including (i) C1
Cash Cost and (ii) Cash Cost Actual. The presentation of these
non-IFRS measures is intended to provide additional information and
should not be considered in isolation or as a substitute for
measures of performance prepared in accordance with IFRS. Other
companies may calculate these non-IFRS measures differently. Note
these figures have not been audited and are subject to change.
B. These figures have not been audited and are subject to
change. As the company has not yet finished its year-end annual
close procedures, and the audit of its 2019 financial statements is
not complete, the anticipated financial information presented in
this press release is preliminary, subject to final year-end
closing adjustments and may change materially. The information
presented above has not been audited by the company's independent
accountants, should not be considered a substitute for audited
financial statements and should not be regarded as a representation
by the company as to the actual financial results.
About Conic
Conic Metals Corp. is a base metals company offering direct
exposure to nickel and cobalt, both being critical elements of
electric vehicles and energy storage systems. Conic holds an 8.56%
joint-venture interest in the producing, long-life and world-class
Ramu Nickel-Cobalt Operation located in Papua New Guinea which provides Conic with
significant attributable nickel and cobalt production. In addition,
Conic manages a portfolio of 11 nickel and cobalt royalties on
development and exploration projects in Canada and Australia. Conic will continue to invest in a
battery metals-focused portfolio of streams, royalties and direct
interests in mineral properties containing battery metals.
Cautionary Note Regarding Forward-Looking Statements
This news release contains certain information which constitutes
'forward-looking statements' and 'forward-looking information'
within the meaning of applicable Canadian securities laws. Any
statements that are contained in this news release that are not
statements of historical fact may be deemed to be forward-looking
statements. Forward looking statements are often identified by
terms such as "may", "should", "anticipate", "expect", "potential",
"believe", "intend" or the negative of these terms and similar
expressions. Forward-looking statements in this news release
include, but are not limited to: statements with respect to the
business; and, assets of Conic and its strategy going forward and
statements pertaining to future events or future performance.
Readers are cautioned not to place undue reliance on
forward-looking statements. Forward-looking statements involve
known and unknown risks and uncertainties, most of which are beyond
the Company's control. Should one or more of the risks or
uncertainties underlying these forward-looking statements
materialize, or should assumptions underlying the forward-looking
statements prove incorrect, actual results, performance or
achievements could vary materially from those expressed or implied
by the forward-looking statements.
The forward-looking statements contained herein are made as of
the date of this release and, other than as required by applicable
securities laws, the Company does not assume any obligation to
update or revise them to reflect new events or circumstances. The
forward-looking statements contained in this release are expressly
qualified by this cautionary statement.
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 securities regulatory authority has
either approved or disapproved of the contents of this news
release.
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SOURCE Conic Metals Corp.