TORONTO, ONTARIO–(Marketwired – Oct. 16, 2014) – Quia Resources Inc. (“Quia” or the “Company”) (TSX VENTURE:QIA) is pleased to provide a corporate update.
Project Update
Quia has received an expression of interest from a significant U.S. fertilizer manufacturer and distributor to test the phosphate from its Murdock Mountain project in Nevada as a direct application phosphate and for use in other blended products. The Company is currently preparing an adequate amount of material to be shipped to the fertilizer manufacturer and it is anticipated that testing will commence during the next 30 days. The materials to be shipped for testing are from the left-over sample material reported in the Company’s press release dated December 18, 2013.
Yannis Banks, Quia’s CEO, commented: “We are pleased to be taking this important step of testing our phosphate samples with an established fertilizer company because their interest in the Murdock Mountain project validates our assessment of the market need we are focusing on. Our objective in commencing the testing is to work towards establishing an off-take channel for a significant portion of potential production well in advance and to lock in a market and future revenue from the project. Also, by doing this testing and validation work with a potential significant off-taker at this stage, we are aiming to shorten the timeline to revenue.”
Mr. Banks added: “Quia is taking a market-first approach to the North American agricultural sector by developing a thorough understanding of the needs and requirements of key participants and end-user categories. We are also paying close attention to consumer-driven, environmental and technological trends that we expect to shape future practices, and are orienting our business to produce suitable products.”
No feasibility study has been completed on the Murdock Mountain project and there is no certainty that the project will be economically viable. Production from the Murdock Mountain project is also conditional on obtaining all necessary permits and securing all other required approvals and financing.
Option Agreement
Quia is also pleased to announce that on October 9, 2014, the Company entered into an Amending Agreement to the Option Agreement originally signed October 15, 2013, whereby Quia has the right to earn a 65% interest in the Murdock Mountain direct application phosphate project. The Amending Agreement extends the earn-in time frame by 6 months and provides for further automatic extensions based on the timelines for the Bureau of Land Management (“BLM”) to conclude a sage grouse study that is being conducted for the state of Nevada and northeastern California, which encompasses the Murdock Mountain area. The BLM has not yet advised the Company with respect to the study. The parties to the Option Agreement have also entered into an operating agreement to govern Nevagro, LLC, the company designated by the parties to own and operate the Murdock Mountain project.
Acquisition Targets
Quia has continued its targeting program for other agricultural mineral projects that fit into its business model and the markets it is focusing on. The Company is progressing with this program and will update the market as further details materialize.
Appointment of CFO
Quia is pleased to announce the appointment of Al Quong to the position of Chief Financial Officer. Mr. Quong replaces Marco Guidi in that role. The Company wishes to thank Mr. Guidi for his service and wishes him well in his future endeavors.
Mr. Quong, CPA, CA is a finance professional with over 25 years of experience in various capacities and industries. Prior to joining Quia, Mr. Quong was Chief Financial Officer for the Fovere Group of Companies, managing Fovere’s private equity investment to become the largest owner of microFIT sites in Ontario. Mr. Quong also held senior finance roles with industry leaders in paving stone manufacturing, and shopping mall development. Prior to working in industry, Mr. Quong was a Senior Manager at KPMG LLP.
Iain Kelso, P. Geo., is the Qualified Person for the information contained in this press release and is a Qualified Person within the terms defined by National Instrument 43-101.
About Quia Resources Inc.
Quia Resources is a mineral exploration and development company that is focused on agricultural minerals, including the Murdock Mountain direct application phosphate project in Nevada. The Company is also actively evaluating additional business opportunities in the agricultural sector.
Forward-Looking Statements
This press release contains or refers to forward-looking information based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward-looking statement include, but are not limited to, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and the other risks involved in the mineral exploration and development industry. Forward-looking statements are subject to significant risks and uncertainties, and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and the Company assumes no responsibility to update them or revise them to reflect new events or circumstances other than as required by law.
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.
Quia Resources Inc.
Yannis Banks
Chief Executive Officer
(416) 777-6169
ybanks@foundationmarkets.com
Source: Marketwired (October 16, 2014 – 2:58 PM EDT)
