VANCOUVER, Aug. 16, 2019 /PRNewswire/ - Entrée
Resources Ltd. (TSX:ETG; NYSE American:EGI – the
"Company" or "Entrée") announced today that
on August 12, 2019, the Company
received a notice from NYSE American LLC ("NYSE American")
stating that it is not in compliance with the continued listing
standards as set forth in Section 1003(a)(i), (ii) and (iii) of the
NYSE American Company Guide (the "Company Guide"), which
require a company to have stockholders' equity of $2 million or more if it has reported losses from
continuing operations and/or net losses in two of three of its most
recent fiscal years; stockholders' equity of $4 million or more if it has reported losses from
continuing operations and/or net losses in three of four of its
most recent fiscal years; and stockholders' equity of $6 million or more if it has reported losses from
continuing operations and/or net losses in its five most recent
fiscal years. All numbers are in U.S. dollars unless otherwise
noted.
NYSE American indicated that a review of the Company shows that
it is below compliance with Section 1003(a)(i), (ii) and (iii)
since it reported a stockholders' equity deficit of $(43.9) million as of June
30, 2019 and net losses in its five most recent fiscal
years. Accordingly, the Company has become subject to the
procedures and requirements of Section 1009 of the NYSE American
Company Guide. In order to maintain its listing, the Company must
submit a plan of compliance by September 11,
2019 addressing how it intends to regain compliance with the
continued listing standards by February 12,
2021. If NYSE American does not accept the plan or the
Company does not make progress consistent with the plan or regain
compliance with the continued listing standards by February 12, 2021, delisting proceedings will
commence.
The Company's current status and operating strategy are such
that implementing a plan to achieve compliance with the above
listing standards may not be in the best interests of the Company's
stakeholders. The Company's Management and Board of Directors has
been assessing its options with respect to trading on the NYSE
American for some time. Such options may include voluntarily
withdrawing its common shares from trading on the NYSE American and
applying to trade the Company's common shares on the OTCQB Venture
Market, a potentially more suitable venue for development stage
companies, which would result in cost savings and could reduce the
negative impact of high levels of high frequency algorithmic
trading currently experienced on the NYSE American. The Company
remains committed to ensuring that all of its shareholders can
seamlessly and efficiently trade the Company's securities on a
trading platform in the United
States. The Company's shares continue to trade on the
Toronto Stock Exchange.
The Company will update the market on its plans with respect to
its NYSE American listing in due course.
ABOUT ENTRÉE RESOURCES LTD.
Entrée Resources Ltd. is
a well-funded Canadian mining company with a unique carried joint
venture interest on a significant portion of one of the world's
largest copper-gold projects – the Oyu Tolgoi project in
Mongolia. Entrée has a 20% or 30% carried participating
interest in the Entrée/Oyu Tolgoi joint venture, depending on the
depth of mineralization. Sandstorm Gold Ltd., Rio Tinto and
Turquoise Hill are major shareholders of Entrée, holding
approximately 19%, 9% and 8% of the shares of the Company,
respectively. More information about Entrée can be found at
www.EntreeResourcesLtd.com.
This News Release contains forward-looking statements within
the meaning of the United States Private Securities Litigation
Reform Act of 1995 and forward-looking information within the
meaning of applicable Canadian securities laws with
respect to corporate strategies and plans; listing of the
Company's common shares for trading on NYSE American; potential
voluntary delisting of the Company's common shares from NYSE
American; the potential for the Company to apply for trading of its
common shares on OTCQB and related benefits of trading on the
OTCQB; anticipated business activities; and future financial
performance.
In certain cases, forward-looking statements and information
can be identified by words such as "plans", "expects" or "does not
expect", "is expected", "budgeted", "scheduled", "estimates",
"forecasts", "intends", "anticipates", or "does not anticipate" or
"believes" or variations of such words and phrases or statements
that certain actions, events or results "may", "could", "would",
"might", "will be taken", "occur" or "be achieved". While the
Company has based these forward-looking statements on its
expectations about future events as at the date that such
statements were prepared, the statements are not a guarantee of
Entrée's future performance and are based on numerous assumptions
regarding present and future business strategies, local and global
economic conditions and the environment in which Entrée will
operate in the future, including the price of copper, gold and
silver, timing and amount of anticipated future production and cash
flows from the Entrée/Oyu Tolgoi joint venture property, and the
status of Entrée's relationship and interaction with the Government
of Mongolia, Oyu Tolgoi LLC, Rio
Tinto and Turquoise Hill Resources Ltd.
Risks, uncertainties and factors which could cause actual
results, performance or achievements of Entrée to differ materially
from future results, performance or achievements expressed or
implied by forward-looking statements and information are
discussed in the Company's most recently filed
MD&A and in the Company's Annual Information Form for the
financial year ended December 31,
2018, dated March 29, 2019
filed with the Canadian Securities Administrators and available at
www.sedar.com and the Company's Annual Report on Form 20-F for the
fiscal year ended December 31, 2018
filed with the United States Securities and Exchange Commission on
April 1, 2019, which is available at
www.sec.gov. Although the Company 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. The Company is under no obligation to
update or alter any forward-looking statements except as required
under applicable securities laws.
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SOURCE Entrée Resources