VANCOUVER, May 6, 2016 /CNW/ - International Tower Hill
Mines Ltd. ("ITH" or the "Company") - (TSX: ITH) (NYSE-MKT:
THM) today announced that it has filed its unaudited first quarter
financial statements and associated management discussion and
analysis and quarterly report on Form 10-Q for the three-month
period ended March 31, 2016.
The Company had a cash balance of USD 5.1
million at March 31, 2016,
which is sufficient to cover anticipated expenditures through the
planned activities of 2016.
At March 31, 2016, the Company had
a working capital deficit of USD 9.9
million compared to working capital of USD 6.2 million, at December 31, 2015. The negative working
capital is mainly the result of the reclassification of the
contingent derivative payment, payable on January 12, 2017 and estimated at March 31, 2016 to be USD
14.6 million, to a current liability. ITH is working
to address the derivative payment and believes that they will be
successful. However, there is no assurance that the Company
will be able to address the derivative payment on acceptable terms,
if at all.
Shareholders can obtain copies of the Company's unaudited first
quarter financial statements and associated management discussion
and analysis and Form 10-Q on SEDAR at: www.sedar.com, EDGAR at
www.sec.gov and on ITH's website at: www.ithmines.com. ITH will
also provide hard copies of these documents, free of charge, to
shareholders who request a copy directly from the Company.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. controls 100% of the
Livengood Gold Project that contains 15.7 M oz. of gold
(807 MT at 0.61 g/t) measured &
indicated and 4.4 M oz. (266 MT at 0.52 g/t) inferred, all at a
0.30 g/t gold cutoff, located along the paved Elliott Highway, 70
miles north of Fairbanks,
Alaska.
On behalf of
International Tower Hill Mines Ltd.
(signed) Thomas E.
Irwin
Chief Executive Officer
Cautionary Note Regarding Forward-Looking
Statements
This press release contains forward-looking statements and
forward-looking information (collectively, "forward-looking
statements") within the meaning of applicable Canadian and US
securities legislation. All statements, other than statements
of historical fact, included herein, including statements with
respect to the ability of the Company to optimize and/or enhance
the base case as set out in the September
2013 Feasibility Study for the Livengood Project, including
with respect to OPEX and CAPEX; the potential for the overall
mining scheme and operating cash flows to be improved with an
appropriate elevated cut-off grade strategy and reduced stripping
ratio in the early years of mining, lower throughput and a more
compact site layout; the ability of the Company to potentially
include the results of the optimization process in a new or updated
feasibility study or any future financial analysis of the Livengood
Project; the ability of the Company to carry forward and
incorporate into future engineering studies of the Livengood
Project the mine design, production schedule, and recovery
concepts described in this news release; the potential for the
Company to carry out an engineering phase that will evaluate and
optimize the Livengood Project configuration and CAPEX and OPEX,
including determining the optimum scale for the Livengood Project,
the ability of the Company to advance the Livengood Project either
as projected or at all; the potential for the Company to make a
construction decision, whether when warranted by market conditions
or at all; the potential for market conditions to be such that they
warrant the making of a production decision; the potential
development of any mine at the Livengood Project; business and
financing plans and business trends are forward-looking
statements. Information concerning mineral reserve/resource
estimates and the economic analysis thereof contained in the
feasibility study also may be deemed to be forward-looking
statements in that it reflects a prediction of the mineralization
that would be encountered, and the results of mining it, if a
mineral deposit were developed and mined. Although the
Company believes that such statements are reasonable, it can give
no assurance that such expectations will prove to be correct.
Forward-looking statements are typically identified by words such
as: believe, expect, anticipate, intend, estimate, postulate,
proposed, planned, potential and similar expressions, or are those,
which, by their nature, refer to future events. The Company
cautions investors that any forward-looking statements by the
Company are not guarantees of future results or performance, and
that actual results may differ materially from those in forward
looking statements as a result of various factors, including, but
not limited to, variations in the nature, quality and quantity of
any mineral deposits that may be located, variations in the market
price of any mineral products the Company may produce or plan to
produce, the inability of the Company to obtain any necessary
permits, consents or authorizations required for its activities,
the inability of the Company to produce minerals from its
properties successfully or profitably, to continue its projected
growth, to raise the necessary capital or to be fully able to
implement its business strategies, and other risks and
uncertainties disclosed in the Company's Annual Information Form
filed with certain securities commissions in Canada and the Company's annual report on Form
10-K filed with the United States Securities and Exchange
Commission (the "SEC"), and other information released by the
Company and filed with the appropriate regulatory agencies.
All of the Company's Canadian public disclosure filings may be
accessed via www.sedar.com and its United
States public disclosure filings may be accessed via
www.sec.gov, and readers are urged to review these materials,
including the latest technical report filed with respect to the
Company's Livengood property.
Cautionary Note Regarding References to Resources and
Reserves
National Instrument 43 101 - Standards of Disclosure for
Mineral Projects ("NI 43-101") is a rule developed by the Canadian
Securities Administrators which establishes standards for all
public disclosure an issuer makes of scientific and technical
information concerning mineral projects. Unless otherwise
indicated, all resource and reserve estimates contained in or
incorporated by reference in this news release have been prepared
in accordance with NI 43-101 and the guidelines set out in the
Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM")
Standards on Mineral Resource and Mineral Reserves, adopted by the
CIM Council on November 27, 2010 (the
"CIM Standards") as they may be amended from time to time by
the CIM.
United States shareholders
are cautioned that the requirements and terminology of NI 43-101
and the CIM Standards differ significantly from the requirements
and terminology of the SEC set forth in the SEC's Industry Guide 7
("SEC Industry Guide 7"). Accordingly, the Company's disclosures
regarding mineralization may not be comparable to similar
information disclosed by companies subject to SEC Industry Guide
7. Without limiting the foregoing, while the terms "mineral
resources", "inferred mineral resources", "indicated mineral
resources" and "measured mineral resources" are recognized and
required by NI 43-101 and the CIM Standards, they are not
recognized by the SEC and are not permitted to be used in documents
filed with the SEC by companies subject to SEC Industry Guide
7.
Mineral resources which are not mineral reserves do not have
demonstrated economic viability, and investors are cautioned not to
assume that all or any part of a mineral resource will ever be
converted into reserves. The preliminary assessments on the
Livengood Project are preliminary in nature and include "inferred
mineral resources" that have a great amount of uncertainty as to
their existence, and are considered too speculative geologically to
have economic considerations applied to them that would enable them
to be categorized as mineral reserves. There is no certainty
that such inferred mineral resources at the Livengood Project will
ever be realized. Further, it cannot be assumed that all or any
part of the inferred resources will ever be upgraded to a higher
resource category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of a feasibility study or
prefeasibility study, except in rare cases. Investors are cautioned
not to assume that all or any part of an inferred mineral resource
exists or is economically or legally mineable.
The SEC normally only permits issuers to report
mineralization that does not constitute SEC Industry Guide 7
compliant "reserves" as in-place tonnage and grade without
reference to unit amounts. The term "contained ounces" is not
permitted under the rules of SEC Industry Guide 7. In
addition, the NI 43-101 and CIM Standards definition of a "reserve"
differs from the definition in SEC Industry Guide 7. In SEC
Industry Guide 7, a mineral reserve is defined as a part of a
mineral deposit which could be economically and legally extracted
or produced at the time the mineral reserve determination is made,
and a "final" or "bankable" feasibility study is required to report
reserves, the three-year historical price is used in any reserve or
cash flow analysis of designated reserves and the primary
environmental analysis or report must be filed with the appropriate
governmental authority.
This news release is not, and is not to be construed in any
way as, an offer to buy or sell securities in the United States.
SOURCE International Tower Hill Mines Ltd.