Imperial Metals Corporation (TSX:III) reports financial results for
its fiscal year ended December 31, 2012. Net income for the year
ended December 31, 2012 was $32.6 million ($0.44 per share)
compared to net income of $48.7 million ($0.66 per share) in 2011.
In addition to variances in revenues and income from mine
operations described above, variations in net income period over
period are predominately attributable to movements in foreign
exchange, realized and unrealized gains and losses on derivative
instruments, share based compensation, bad debt recovery and
taxes.
In 2012 net income was negatively impacted by net realized and
unrealized losses on derivative instruments of $6.8 million
compared to gains of $14.3 million in 2011, and by foreign exchange
losses of $1.0 million in 2012 compared to foreign exchange gains
of $1.7 million in 2011. In 2011 the Company recorded a $14.1
million bad debt recovery related to derivative instruments held by
Lehman Brothers.
Revenues were $257.8 million in 2012 compared to $253.2 million
in 2011. Variations in revenue are impacted by the timing and
quantity of concentrate shipments, metal prices and exchange rate,
and period end revaluations of revenue attributed to concentrate
shipments where copper price will settle at a future date. The
increase in revenue in 2012 over 2011 is due to more shipments of
copper and gold in concentrate from Mount Polley and higher gold
prices which more than offset the lower copper prices and fewer
shipments from Huckleberry in 2012 compared to 2011. There were
thirteen concentrate shipments in 2012 consisting of seven from
Mount Polley and six from Huckleberry, compared to fourteen
shipments in 2011 consisting of six from Mount Polley and eight
from Huckleberry.
The London Metals Exchange cash settlement copper price per
pound averaged US$3.61 in 2012 compared to US$4.01 in 2011. The
London Metals Exchange cash settlement gold price per troy ounce
averaged US$1,669 in 2012 compared to US$1,568 in 2011. The US
Dollar compared to the CDN Dollar averaged about 1.0% higher in
2012 than in 2011. In CDN Dollar terms the average copper price in
2012 was 9.3% lower than in 2011 and the average gold price in 2012
was 7.6% higher than in 2011.
Revenue in 2012 was decreased by a $1.2 million negative revenue
revaluation compared to a negative revenue revaluation of $16.3
million in 2011. Negative revenue revaluations are the result of
the copper price on the settlement date and/or the current period
balance sheet date being lower than when the revenue was initially
recorded or the copper price at the last balance sheet date. The
copper price started the year at US$3.48 per pound and ended the
year at US$3.59 per pound, and fluctuated through the year with a
high of US$3.93 per pound and a low of US$3.32 per pound. Compared
to the prior period where the copper price started the year at
US$4.33 per pound and ended the year US$3.43 per pound.
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Selected Annual Financial Information For the Years Ended December 31
(expressed in thousands of Canadian
dollars, except share amounts) 2012 2011 2010
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Total Revenues $ 257,783 $ 253,175 $ 246,271
Net Income $ 32,626 $ 48,708 $ 38,375
Net Income per share $ 0.44 $ 0.66 $ 0.53
Diluted Income per share $ 0.43 $ 0.65 $ 0.52
Adjusted Net Income(2) $ 36,807 $ 31,333 $ 45,695
Adjusted Net Income per share(2) $ 0.50 $ 0.42 $ 0.63
Working Capital (deficiency)(3) $ (28,858) $ 76,499 $ 71,631
Total Assets $ 659,732 $ 486,379 $ 442,020
Total Long Term Debt (including current
portion) $ 8,341 $ 1,612 $ 2,515
Cash dividends declared per common share $ 0.00 $ 0.00 $ 0.00
Cash Flow(1) $ 83,946 $ 87,715 $ 78,392
Cash Flow per share(1) $ 1.13 $ 1.19 $ 1.08
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(1) Cash flow and cash flow per share are measures used by the Company to
evaluate its performance, however they are not terms recognized under IFRS.
Cash flow is defined as cash flow from operations before the net change in
non-cash working capital balances and cash flow per share is the same
measure divided by the weighted average number of common shares outstanding
during the period.
(2) Refer to previous table under heading Calculation of Adjusted Net Income
for details of the calculation of these amounts for 2012 and 2011.
(3) Defined as current assets less current liabilities.
The reporting currency of the Company is the Canadian
Dollar.
Income from mine operations increased to $69.3 million from
$64.3 million in 2011 as result the reduced negative revenue
revaluations.
Income and mining tax expense decreased by $15.1 million from
2011 to 2012 due to reduced income before tax and a lower effective
tax rate at 38.8% in 2012 compared to 42.4% in 2011 as the Company
recognized the benefit of certain tax assets.
Adjusted net income in 2012 was $36.8 million ($0.50 per share)
compared to $31.3 million ($0.42 per share) in 2011. Adjusted net
income is calculated by removing the gains or losses, net of
related income taxes, resulting from mark to market revaluation of
copper derivative instruments not related to the current period,
net of taxes, as further detailed below.
Calculation of Adjusted Net Income Years Ended December 31
(expressed in thousands of Canadian dollars,
except share amounts) 2012 2011
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Net income as reported $ 32,626 $ 48,708
Unrealized (gain) loss on derivative instruments,
net of tax (a) 4,181 (17,375)
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Adjusted Net Income (b) $ 36,807 $ 31,333
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Adjusted Net Income Per Share (b) $ 0.50 $ 0.42
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(a) Derivative financial instruments are recorded at fair value on the
Company's Statement of Financial Position, with changes in the fair
value, net of taxes, flowing through net income. The amounts
ultimately realized may be materially different than reflected in the
financial statements due to changes in prices of the underlying copper
and foreign exchange hedged.
(b) Adjusted net income and adjusted net income per share are not terms
recognized under IFRS in Canada, however it does show the current
year's financial results excluding the effect of items not settling in
the current year. The Company believes these measures are useful to
investors because they are included in the measures that are used by
management in assessing the financial performance of the Company.
Cash flow decreased to $83.9 million in 2012 from $87.7 million
in 2011. Cash flow, excluding the $14.1 million non recurring bad
debt recovery realized in 2011, increased by $10.3 million in 2012.
Cash flow is a measure used by the Company to evaluate its
performance, however, it is not a term recognized under IFRS in
Canada. Cash flow is defined as cash flow from operations before
the net change in non-cash working capital balances. The Company
believes cash flow is useful to investors and it is one of the
measures used by management to assess the financial performance of
the Company.
Capital expenditures inclusive of equipment financed via long
term debt and capitalized interest, were $192.0 million, up from
$71.5 million in 2011. Expenditures in both 2012 and 2011 were
primarily financed by cash flow from the Mount Polley and
Huckleberry mines and short term debt. At December 31, 2012 the
Company had $37.4 million (2011-$62.0 million) in cash and short
term investments, inclusive of the Company's share of cash and
short term investments of Huckleberry of $34.6 million (2011-$55.9
million). The short term debt balance at December 31, 2012 was
$118.1 million compared to $26.9 million at December 31, 2011.
DERIVATIVE INSTRUMENTS
In the year ending December 31, 2012 the Company only had
derivative instruments for copper. During 2012 the Company recorded
losses of $6.8 million on derivative instruments compared to gains
of $14.3 million in 2011. These gains and losses result from the
mark to market valuation of the derivative instruments based on
changes in the price of copper. These amounts include realized
losses of $1.2 million in 2012 and $9.3 million in 2011. The
Company does not use hedge accounting therefore accounting rules
require that derivative instruments be recorded at fair value on
each statement of financial position date, with the adjustment
resulting from the revaluation being charged to the statement of
income as a gain or loss.
The Company utilizes a variety of derivative instruments
including the purchase of puts, forward sales and the use of
min/max zero cost collars. The Company's income or loss from
derivative instruments may be very volatile from period to period
as a result of changes in the copper price compared to the copper
price at the time when these contracts were entered into and the
type and length of time to maturity of the contracts.
Derivative instruments for Mount Polley cover about 39% of the
estimated copper settlements through March 2014 via min/max zero
cost collars. Derivative instruments for Huckleberry include puts
and min/max zero cost collars extending out to April 2014 covering
about 33% of the estimated copper settlements in the period.
At December 31, 2012 the Company has unrealized losses on its
derivative instruments. This represents a decrease in fair value of
the derivative instruments from the dates of purchase to December
31, 2012.
Huckleberry is required to provide security to certain
derivative instrument counterparties to cover potential losses in
excess of the credit facilities granted by the counterparties. At
December 31, 2012 the Company had no security deposits to its
counterparties.
FOURTH QUARTER 2012 RESULTS
Mineral sales revenues in the fourth quarter of 2012 was $67.4
million, $20.2 million higher than in the same quarter of 2011.
There were a total of three shipments in each of the fourth
quarters of 2012 and 2011, two from Mount Polley and one from
Huckleberry in 2012 and one from Mount Polley and two from
Huckleberry in 2011. Sales revenue is recorded when title for
concentrate is transferred on ship loading. Variations in quarterly
revenue attributed to the timing of concentrate shipments can be
expected in the normal course of business.
The increase in revenue in the 2012 quarter is largely due to
higher sales volumes attributable to the Company.
The Company recorded net income of $11.7 million ($0.16 per
share) in the fourth quarter of 2012 compared to net income of $3.3
million ($0.05 per share) in the prior year quarter.
Expenditures for exploration and ongoing capital projects at
Mount Polley, Huckleberry, Red Chris and Sterling totalled $64.1
million during the three months ended December 31, 2012 compared to
$19.6 million in the 2011 comparative quarter. The increase of
$44.5 million in 2011 was primarily due to higher development
expenditures at Red Chris and Huckleberry.
DEVELOPMENTS DURING 2012
MOUNT POLLEY MINE
Throughput was up 5% from 2011 with over 8.1 million tonnes
milled in 2012 compared to 7.7 million tonnes in 2011. Increased
throughput, improved recoveries and better grades resulted in
increased copper and gold production of 27% and 22% respectively
from the levels achieved in 2011. Mount Polley is expected to
produce 38.5 million pounds copper and 43,000 ounces gold in
2013.
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Annual Production for the Years Ended
December 31 2012 2011 2010
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Ore milled (tonnes) 8,121,878 7,716,856 7,894,596
Ore milled per calendar day (tonnes) 22,191 21,142 21,629
Grade % - Copper 0.280 0.265 0.322
Grade g/t - Gold 0.304 0.272 0.281
Recovery % - Copper 67.40 58.70 62.19
Recovery % - Gold 65.70 62.90 65.62
Copper (lbs) 33,789,600 26,450,426 34,842,611
Gold (oz) 52,236 42,514 46,771
Silver (oz) 116,101 95,786 206,812
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During the 2012 exploration program 45 drill holes totalling
24,715 metres were drilled in the Springer pit. The results were
successful and the data has increased the resource. The results of
the drilling beneath the Springer pit enabled a further extension
of the Springer open pit to be designed.
As of January 1, 2013 reserves for Mount Polley are 98.4 million
tonnes grading 0.294% copper and 0.297 g/t gold. The reserve has
increased approximately 15% from the 2012 update. Milling this
reserve and the low grade stockpiles would extend Mount Polley's
mine life to the end of 2025. To achieve the updated mine life
extension, additional stripping will be necessary. Two additional
793 haul trucks have been purchased to provide the haulage capacity
required to accomplish the required stripping.
Initial test stoping from the Boundary zone is expected to begin
in the second half of 2013. Underground drilling is currently
underway targeting the Zuke zone, and the Halo zone, both of which
are adjacent to the Boundary zone.
Exploration, development and capital expenditures at Mount
Polley were $29.5 million in 2012 compared to $25.3 million in
2011.
HUCKLEBERRY MINE
Recoveries continued to be excellent throughout 2012.
Huckleberry's annual copper production of 35.1 million pounds
exceeded the 2012 forecast by 6.4%. In 2013 copper production is
estimated to be 40.0 million pounds.
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Annual Production(i) for the Years Ended
December 31 2012 2011 2010
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Ore milled (tonnes) 5,876,900 5,929,700 5,684,300
Ore milled per calendar day (tonnes) 16,057 16,246 15,573
Grade % - Copper 0.301 0.365 0.396
Grade % - Molybdenum 0.007 0.007 0.007
Recovery % - Copper 90.0 89.9 91.7
Copper (lbs) 35,112,000 42,830,000 45,510,000
Gold (oz) 2,578 3,520 3,195
Silver (oz) 191,787 218,150 223,557
Molybdenum (lbs) 4,556 6,929 84,027
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(i)50% allocable to Imperial
The financial results from Huckleberry continue to have a
significant impact on Imperial's results. Imperial's share of
Huckleberry's income from mine operations was $12.4 million in 2012
compared to $38.1 million in 2011. Huckleberry's income decreased
due to a fewer number of shipments in the period (six in 2012
versus eight in 2011).
In 2012 Huckleberry completed 15 drill holes for a total of
5,141 metres of diamond drilling in the mine site area. Drilling
was divided between deep and near-surface targets located adjacent
to the Main Zone Optimization (MZO) pit. Near-surface drilling
focused primarily on an abandoned non-acid generating (NAG) quarry
which was also a target in 2011. This work has added a significant
low grade resource to the deposit.
Deep drilling tested for the extension of ore grade material
along the eastern portions of the Main zone ore body. Drilling of a
coincident moderate chargeability/resistivity anomaly resulted in
the discovery of the MZ Deep target, an extensive zone located
between the Main zone and East zone ore bodies. The correlation
between this type of anomaly and copper mineralization led to an
expanded Titan-24 DC-IP/MT survey, comprising 10 line kilometres
designed to build on survey data from 2011 and seek new targets.
Huckleberry plans to continue with a strategy of drilling both deep
and shallow targets in the mine site area, using historical
drilling and geophysical data as guides.
Huckleberry ore reserves at December 31, 2012 were 49,907,500
tonnes grading 0.334% copper and 0.009% molybdenum. The strip ratio
is approximately 0.9 to 1.0 including the backfilled waste and
tailings that must be removed from the Main zone pit.
Construction of a new tailings storage facility (TMF3) began in
early 2012. The new starter dam was completed to the 924 metre
level by the end of the construction season. The main diversion
ditch and seepage collection systems related to this new facility
were also completed in 2012. Approximately 1.2 million cubic metres
of earthworks will be required to complete the TMF3 starter dam to
the 945 metre level. This work is expected to begin in April 2013
and to be completed by July 2013. The TMF3 will then be used for
storage of tailings and potentially acid generating (PAG) waste,
generated by the operation.
Exploration, development and capital expenditures at Huckleberry
were $44.2 million in 2012 compared to $6.8 million in 2011.
Imperial holds a 50% interest in Huckleberry Mines Ltd. The
remaining 50% interest is held by a consortium consisting of
Mitsubishi Materials Corporation, Marubeni Corporation, Dowa Mining
Co. Ltd. and Furukawa Co.
Notes 20 and 23 to the audited Consolidated Financial Statements
of the Company for the year ended December 31, 2012 discloses
information on the impact of Huckleberry operations on the
financial position and results of operations of Imperial.
RED CHRIS PROJECT
Red Chris mine development is proceeding with approximately 81%
of the engineering complete as of February 28, 2013. The
development of the Red Chris mine is proceeding, with start of
commissioning scheduled for May 2014. Key to meeting this schedule
will be the completion of the 287kV Northwest Transmission Line
(NTL) from Skeena substation to Bob Quinn, and a 93 kilometre
extension from Bob Quinn to Tatogga (NTL Extension). Further to an
agreement recently signed by the Company and BC Hydro, the NTL
Extension will be constructed by a subsidiary of Imperial. Upon
completion, the NTL Extension will be acquired by BC Hydro. That
portion of the costs which exceeds $52.0 million will be borne by
Imperial as its contribution to the NTL Extension in order to make
the 287kV service connection to the Red Chris mine. The expected in
service date for both the NTL Extension and the NTL is May 31,
2014. Construction of the NTL Extension will commence upon receipt
of required permits.
On-site work began in May 2012. The process plant site was
excavated to grade and 4,912 m3 of concrete had been poured by
November 2012 when the concrete placement was suspended for winter.
The status of site work as of January 2013 is:
-- main access road along new alignment completed and opened
-- concrete aggregate washed and stockpiled
-- phase 1 tailings impoundment area, 220 hectares of 240 hectares cleared
-- tailings and reclaim water pipeline right of ways are 85% cleared
-- mass excavation of primary crusher and conveyor alignment begun
-- stripping of top soils from till borrow area commenced
-- installation of additional camp modules to reach a 480 room camp
facility, with occupation available in March 2013
-- installation of a 65' x 120' maintenance shop complex to be completed in
March 2013
During 2012 Red Chris capital expenditures, including
capitalized interest of $1.4 million, were $111.4 compared to $32.6
million 2011. Commitments have been made for a further $124.1
million in expenditures.
The cost of constructing the Red Chris mine is now estimated to
be $500.0 million, a 12.7 % increase from the previous estimate of
$443.6 million. The major areas of increase are noted below, the
first a scope change, the second labour inflation, and the third
impact of BC's new sales tax regime:
-- Process building footprint was expanded to provide a more functional
operational layout, to provide for the concentrate thickener to be
installed within the building, and to provide increased concentrate
storage capacity which resulted in increased concrete and steel volumes.
In the case of concrete quantities for the process plant, the increase
was 70% due to the increased building size and geotechnical
requirements.
-- Labour cost increased by 30% from initial budget.
-- Impact of change from HST to PST on April 1, 2013.
Cost savings have been achieved in other areas including the
maintenance and warehouse complex, and the pit equipment. In
addition to the cost increase, the Company will fund $52.0 million
in costs related to the construction of the 287kV NTL Extension.
These costs will be recovered when the extension is completed and
acquired by BC Hydro.
A total of five exploration drill holes totalling 5,415.42
metres were completed early in the year before exploration was
suspended when construction activities commenced in May 2012.
Exploration expenditures were $1.5 million in 2012 compared to $6.0
million in 2011.
STERLING MINE
Development in 2012 focused on the completion of the 3292 and
3260 levels. The start of production mining was delayed because the
mineralization extended further to the west than had been
anticipated, so time was taken to extend the 3292 level further to
the west prior to starting the caving operation. The focus at
Sterling in 2013 will be to get to its production goal of 600 tons
of ore per day.
The construction of a 300,000 ton (3.7 acre) heap leach pad was
completed in March 2012. Ore excavated from the development of the
south limb was placed on the pad and leaching of the gold bearing
material commenced on April 17, 2012. Processing of pregnant gold
solution through the carbon adsorption plant commenced on April 24,
2012 followed by the first gold pour in July 2012.
Production, all from ore during the preproduction phase of the
mine, for the year ended December 31, 2012 is provided below:
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Sterling Production for the Year Ended December 31, 2012
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Ore Stacked - tons 77,944
Gold Grade - oz/ton 0.082
Gold ounces - in-heap 6,393
Gold ounces - in-process & poured 3,613
Gold Shipped - ounces 2,852
Gold Recovery - project to date 56.5%
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On-site core drilling at Sterling continued in 2012 with the
purpose of further delineation of the 144 zone. Over the course of
the year 21 holes were drilled for a total footage of 4,115 feet.
The target zones of these holes ranged from testing mineralization
along the dike and along the north limb, to further detailing areas
where drill hole density was relatively low.
Exploration, development and capital expenditures at Sterling
were $6.2 million in 2012 compared to $6.1 million in 2011.
RUDDOCK CREEK JOINT VENTURE PROJECT
The Ruddock Creek property is owned 50% by Imperial, 30% by
Mitsui Mining & Smelting Company Ltd. and 20% by Itochu
Corporation (Mitsui/Itochu). The 2012 program and related studies
were funded by Mitsui/Itochu under the terms of an option
agreement. The joint venture is currently working on finalizing a
program on the Ruddock Creek property for 2013.
During 2012 a total of 3,879 metres of diamond drilling was
completed on the Creek zone and 6,185 metres of diamond drilling
was completed on the V zone. Drilling on the V zone expanded the
mineralization both laterally and at depth and has shown this zone
to be a priority target for future exploration. Drilling on the
Creek zone was also successful and increased the known resource. In
addition the underground workings were dewatered to allow for a
further 5,843 metres of underground diamond drilling, which
continued to expand the Lower E zone. Underground development
consisted of a 69 metre drift through a section of the
mineralization to allow for geological and geotechnical studies and
the collection of a ten tonne bulk sample for metallurgical
testing.
With the additional 2012 diamond drill results, an updated
resource calculation for the Ruddock Creek property was completed
in February 2013. The updated resource calculation is provided
below, along with the March 2012 resource summary for
comparison.
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2013 Ruddock Creek Total Mineral Resource
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INDICATED INFERRED
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Cut-Off
Grade % Tonnes % comb Tonnes % comb
Pb+Zn (000's) % Zn % Pb Pb+Zn (000's) % Zn % Pb Pb+Zn
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3.0 7,083 6.07 1.25 7.32 8,048 5.74 1.08 6.81
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4.0 6,246 6.50 1.33 7.83 6,678 6.33 1.20 7.52
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5.0 5,131 7.10 1.45 8.55 5,350 6.99 1.31 8.30
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6.0 4,121 7.73 1.57 9.30 4,258 7.62 1.43 9.04
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2012 Ruddock Creek Total Mineral Resource
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INDICATED INFERRED
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Cut-Off
Grade % Tonnes % comb Tonnes % comb
Pb+Zn (000's) % Zn % Pb Pb+Zn (000's) % Zn % Pb Pb+Zn
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3.0 5,450 6.20 1.28 7.48 6,253 6.17 1.21 7.38
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4.0 4,654 6.77 1.38 8.16 5,382 6.69 1.31 8.00
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5.0 3,773 7.48 1.53 9.01 4,562 7.22 1.41 8.64
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As outlined in the above tables, at a 4% combined lead/zinc
grade the indicated resource has increased by 34% and the inferred
resource has increased by 24% since the 2012 resource estimation
was calculated.
Exploration, development and capital expenditures on the
property were $6.1 million compared to $9.9 million in 2011.
OUTLOOK FOR 2013
OPERATIONS, EARNINGS AND CASH FLOW
Base and precious metals production allocable to Imperial in
2013 from the Mount Polley, Huckleberry and Sterling mines is
anticipated to be 58.5 million pounds copper, 54,600 ounces gold
and 195,000 ounces silver. Cash flow from the Company's operations
and the corporate line of credit funded the exploration and
development programs of 2012. Additional financing will be required
in 2013 to fund accelerating expenditures at Red Chris. Management
plans to finance a large part of the Red Chris development costs
through a debt facility to minimize equity dilution.
Cash flow protection for 2013 is supported by derivative
instruments that will see the Company receive certain minimum
average copper prices and exchange rates as disclosed under the
heading Derivative Instruments. However, the quarterly revenues
will fluctuate depending on copper and gold prices, the US
Dollar/CDN Dollar exchange rate, and the timing of concentrate
sales which is dependent on concentrate production and the
availability and scheduling of transportation.
EXPLORATION
Exploration in 2013 will be limited in scope and focus on
exploration at our existing mining operations: Mount Polley,
Huckleberry and Sterling. Ongoing exploration at Mount Polley will
continue to focus on defining underground higher grade
mineralization at the Boundary zone, and further testing of the
mineralized zones in the vicinity of the Springer pit. Ruddock
Creek exploration will be funded by Imperial and the joint venture
partners. Underground development and drilling at Sterling will
continue in the 144 zone. The Company continues to evaluate
exploration opportunities both on currently owned properties and
new prospects.
DEVELOPMENT
At Mount Polley the focus will be on increasing mining
productivity to ensure the stripping required to access the deeper
Springer ore is completed in a timely and cost effective manner.
The first underground stoping operations in the Boundary zone are
expected to begin this year. Mount Polley is expected to produce
38.5 million pounds copper, 43,000 ounces gold and 100,000 ounces
silver in 2013.
At Huckleberry the focus will be the completion and
commissioning of the new tailings storage facility (TMF3).
Huckleberry is expected to produce 40.0 million pounds copper,
3,200 ounces gold and 190,000 ounces silver in 2013.
Engineering at Red Chris was 81% complete as of February 28,
2013. In 2013 the focus on-site will be the erection of the mill
building and to have the structure enclosed by October 2013. This
will enable the installation of equipment inside the building to
proceed during the winter of 2013-2014 and start commissioning in
May 2014. Key to meeting this schedule will be the completion of
the 287kV Northwest Transmission Line (NTL) from Skeena substation
to Bob Quinn, and a 93 kilometre extension from Bob Quinn to
Tatogga (NTL Extension). Further to an agreement recently signed by
the Company and BC Hydro, the NTL Extension will be constructed by
a subsidiary of Imperial. Upon completion, the NTL Extension will
be acquired by BC Hydro. That portion of the costs which exceeds
$52.0 million will be borne by Imperial as its contribution to the
NTL Extension in order to make the 287kV service connection to the
Red Chris mine. The expected in service date for both the NTL
Extension and the NTL is May 31, 2014. Construction of the NTL
Extension will commence upon receipt of required permits.
At Sterling the focus will be on mining the sub-level cave which
was started in January 2013, about three months behind schedule.
Pulling ore from this caving operation will be key to achieving the
2013 production target of 10,000 ounces gold.
FINANCING
Based on current plans and assumptions, the Company expects to
have sufficient cash resources to support its normal operating
requirements on an ongoing basis. The Company expects to continue
to utilize short term debt facilities to manage its day to day
financing needs. The Company will need to secure further debt
financing in 2013 to fund construction costs for the Red Chris
project. Completion of this funding is expected by the summer of
2013.
Documents available on www.imperialmetals.com and www.sedar.com:
2012 Annual Report; 2012 Annual Information Form
Cautionary Note Regarding "Forward-Looking Information":
This information is a review of the Company's operations and
financial position as at and for the year ended December 31, 2012,
and plans for the future based on facts and circumstances as of
March 28, 2013. Except for statements of historical fact relating
to the Company, including our 50% interest in Huckleberry, certain
information contained herein constitutes forward-looking
information.
When we discuss mine plans; our costs and timing of current and
proposed exploration; development; production and marketing;
capital expenditures; construction of transmission lines; cash
flow; working capital requirements; and the requirement for
additional capital; operations; revenue; margins and earnings;
future prices of copper and gold; future foreign currency exchange
rates; future accounting changes; future prices for marketable
securities; future resolution of contingent liabilities; receipt of
permits; or other matters that have not yet occurred in this review
we are making statements considered to be forward-looking
information or forward-looking statements under Canadian and United
States securities laws. We refer to them in this news release as
forward-looking information.
The forward-looking information in this news release typically
includes words and phrases about the future, such as: plan, expect,
forecast, intend, anticipate, estimate, budget, scheduled, believe,
may, could, would, might or will. We can give no assurance that the
forward-looking information will prove to be accurate. It is based
on a number of assumptions management believes to be reasonable,
including but not limited to: the continued operation of the
Company's mining operations, no material adverse change in the
market price of commodities or exchange rates, that the mining
operations will operate and the mining projects will be completed
in accordance with their estimates and achieve stated production
outcomes and such other assumptions and factors as set out
herein.
It is also subject to risks associated with our business,
including but not limited to: risks inherent in the mining and
metals business; commodity price fluctuations and hedging;
competition for mining properties; sale of products and future
market access; mineral reserves and recovery estimates; currency
fluctuations; interest rate risks; financing risks; regulatory and
permitting risks; environmental risks; joint venture risks; foreign
activity risks; legal proceedings; and other risks that are set out
in our annual information form and the company's management's
discussion and analysis contained within the 2012 annual report. If
our assumptions prove to be incorrect or risks materialize, our
actual results and events may vary materially from what we
currently expect as set out in this news release.
We recommend you review our annual information form and the 2012
annual report which include a discussion of material risks that
could cause actual results to differ materially from current
expectations. Forward-looking information is designed to help you
understand management's current views of near and longer term
prospects, and it may not be appropriate for other purposes. We
will not necessarily update this information unless we are required
to by securities laws.
Contacts: Imperial Metals Corporation Brian Kynoch President
604.669.8959 Imperial Metals Corporation Andre Deepwell Chief
Financial Officer 604.488.2666 Imperial Metals Corporation Sabine
Goetz Investor Relations 604.488.2657info@imperialmetals.com
www.imperialmetals.com
Imperial Metals (TSX:III)
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Imperial Metals (TSX:III)
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De Jan 2024 até Jan 2025
