TORONTO, May 13, 2019 /CNW/ - Orefinders Resources Inc.
("Orefinders" or the "Company") (TSX.V: ORX) is pleased to release
its 2019 Annual Shareholder Letter from the CEO sent to all
shareholders as a part of the Company's annual meeting
materials.
Dear Shareholders,
In a highly cyclical industry like mining, the best time to make
acquisitions is when the cycle is at the bottom. That's where the
market has been and that's the philosophy which Orefinders has
executed.
Over the past 12 months, Orefinders has significantly increased
its portfolio of assets by accumulating projects at an advanced
stage, with established mineral resources in strategic land
positions. All of these projects share synergies based on proximity
to each other within the Kirkland
Lake / Shining Tree districts of the Abitibi. I see
our McGarry, Barber Larder, Mirado and Knight projects as the next
generation of mines in the Abitibi. Like all development assets,
they require investment via the drill bit to not just extend the
known resources but also to offer the optionality of a game
changing discovery by drilling in world class gold systems like the
Cadillac-Larder Lake Break.
Since closing on these acquisitions, our team has been preparing
to invest in our projects. Too often our competitors rush to the
drill bit to appease the demands of the short term investors. We
have resisted such pressures, remained patient and completed the
required homework. We believe this is a pragmatic approach to sound
investing. Such a strategy may not suit day traders, but we manage
Orefinders with the understanding that resource development
requires a long-term approach.
We are confident with the state of the union of our assets and
our capital investment strategy going forward. I also feel that,
finally, the underlying fundamentals of the markets have begun the
shift to where exploration results may soon start to receive value
on a per share basis. Therefore, while we remain on the lookout for
accretive and strategic additions to our portfolio, the next 12
months will see us putting boots on the ground to actively explore,
drill and expand our own resource base.
Furthermore, a forward view of our current resource base gives
us confidence that we will have the critical mass to justify
considering our own milling and tailings operations, giving us
control over our own destiny and providing us optionality in our
corporate decisions. Each of our assets fit within a hub and spoke
model where we can build a centralized mill on McGarry given that
it already hosts a large tailings facility. The Mirado toll milling
plan, as outlined in the Mirado PEA, remains a priority but
counterparty risk has been the obstacle which has led us to develop
our own path forward.
In the background, there's always the opportunity for mergers
and acquisitions whereby Orefinders becomes the target. This is
never lost on us as we believe exploration and development
companies are best suited as takeout candidates rather than mine
builders. However, in this market we are still buyers and not
sellers, and we won't rely on a single strategy whose outcome is in
the hands of a counterparty.
Marketable Security Assets
Over and above our project
acquisitions we've added to our marketable securities portfolio
with the Mistango River Resources, Power Ore and Pacific Precious
transactions. Orefinders is now a significant shareholder in each.
With Power Ore we successfully distributed to Orefinders
shareholders shares as a dividend and to our knowledge, few, if any
juniors have successfully issued shareholder dividends. Power
Ore has now acquired an exceptional copper project and I believe
its shareholders, including Orefinders, can expect per share growth
in the near term. With Pacific Precious, our plan is to replicate
the Power Ore Share Dividend Distribution model with a portion of
our shares going directly to Orefinders shareholders and the
balance being kept in treasury to assist in our liquidity and
investment in our physical properties. Transactions like these are
a testament to our team who've manufactured creative opportunities
designed to add value on a per share basis and diversify
Orefinders' portfolio.
In addition to this letter and the standard documents required
for the annual general meeting, we have included Orefinders'
Investment Thesis which clearly details our view of the market and
our strategy to create value for our shareholders.
I, and our management team, would appreciate your support by
voting FOR the matters set out in the Notice of Meeting and the
accompanying Management Information Circular.
Stephen Stewart
Chief Executive Officer
Orefinders Resources
Inc.
416.644.1567
sstewart@orefinders.ca
Orefinders Annual General Meeting Details
Orefinders
would like to remind shareholders of the Company's Annual General
Meeting ("AGM") on May 17 at
10am EDT at 55 University Avenue,
Suite 1805 in Toronto, Canada.
Management encourages shareholders to review annual reports
and proxy materials which have been mailed, including the Annual
Shareholder Letter from the CEO below and the Orefinders Investment
Thesis. Additionally, all information pertaining to the AGM is
posted on www.sedar.com.
About Orefinders Resources Inc.
Orefinders is a Gold exploration and development company focused
primarily within the Abitibi Greenstone Belt. The Company is listed
on the Toronto Venture Exchange under the symbol ORX.
Neither 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. Certain information in this press release may contain
forward-looking statements. This information is based on current
expectations that are subject to significant risks and
uncertainties that are difficult to predict. Actual results might
differ materially from results suggested in any forward-looking
statements. Orefinders' assumes no obligation to update the
forward-looking statements, or to update the reasons why actual
results could differ from those reflected in the forward
looking-statements unless and until required by securities laws
applicable to Orefinders. Additional information identifying risks
and uncertainties is contained in filings by Orefinders with
Canadian securities regulators, which filings are available under
Orefinders' profile at www.sedar.com.
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SOURCE Orefinders Resources Inc.