TSX Venture Symbol: GWG
CUSIP: 39141Y 10 3
OTCQX: GWMGF
SASKATOON, SK,
Nov. 29, 2012 /PRNewswire/ - Great
Western Minerals Group Ltd. ("GWMG" or the "Company", TSX:V - GWG)
today announced its financial results for the 3rd
Quarter of 2012.
GWMG has reported its results under
International Financial Reporting Standards. For the three months
and nine months ended September 30,
2012, GWMG's financial summary and highlights are as
follows:
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Three months
ended
September 30/12 |
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Three months
ended
September 30/11 |
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Nine months
ended
September 30/12 |
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Nine months
ended
September 30/11 |
Revenue |
|
$ |
4,786,838 |
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$ |
4,214,616 |
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$ |
12,897,685 |
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$ |
13,630,390 |
Gross Margins |
|
$ |
1,161,107 |
|
$ |
1,656,462 |
|
$ |
3,949,118 |
|
$ |
4,635,237 |
Earnings (Loss) |
|
$ |
(3,627,912) |
|
$ |
(2,299,266) |
|
$ |
(6,521,005) |
|
$ |
(10,276,921) |
Earnings (Loss) per share |
|
$ |
(0.009) |
|
$ |
(0.006) |
|
$ |
(0.016) |
|
$ |
(0.028) |
Less Common Metals Limited ("LCM") results for
Q3 of 2012 include the following highlights:
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Three months
ended
September 30/12 |
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Three months
ended
September 30/11 |
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Nine months
ended
September 30/12 |
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Nine months
ended
September 30/11 |
Revenue |
|
$ |
4,718,693 |
|
$ |
4,159,682 |
|
$ |
12,669,607 |
|
$ |
13,407,201 |
Gross Margins |
|
$ |
1,153,548 |
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$ |
1,670,141 |
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$ |
4,434,663 |
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$ |
4,906,603 |
EBITDA |
|
$ |
332,477 |
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$ |
950,212 |
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$ |
1,225,555 |
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$ |
2,367,046 |
Earnings |
|
$ |
(109,827) |
|
$ |
604,625 |
|
$ |
275,575 |
|
$ |
1,503,705 |
GWMG Interim President and Chief Executive
Officer Robert Quinn said, "In the
face of some tightening of the global rare earth market GWMG and
LCM did manage to achieve higher revenues in the 3rd
Quarter of 2012 compared to the same quarter of 2011. LCM EBITDA
and earnings were reduced in the past quarter and year to date
primarily as a result of the move to a new plant as well as the
costs of installation of the new strip cast furnace. Both factors
now provide a platform for improved financial performance going
forward."
Great Western Minerals Group Ltd. intends to be
an integrated rare earth producer. The Company currently produces
specialty alloys which are used in the battery, magnet and
aerospace industries. Produced at the Company's wholly owned
subsidiaries Less Common Metals Limited in Birkenhead, U.K. and Great Western
Technologies Inc. in Troy,
Michigan, these alloys contain aluminum, nickel, cobalt and
rare earth elements. As part of the Company's vertical integration
strategy, GWMG also holds 100% equity ownership in Rare Earth
Extraction Co. Limited, which owns a 74% equity interest in the
Steenkampskraal Mine in South
Africa. In addition to an exploration program at
Steenkampskraal, GWMG also holds interests in four active rare
earth exploration and development properties in North America.
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 set out in this News Release constitutes
forward-looking information. Forward-looking statements
(often, but not always, identified by the use of words such as
"expect", "may", "could", "anticipate" or "will" and similar
expressions) may describe expectations, opinions or guidance that
are not statements of fact and which may be based upon information
provided by third parties. Forward-looking statements are based
upon the opinions, expectations and estimates of management of GWMG
as at the date the statements are made and are subject to a variety
of known and unknown risks and uncertainties and other factors that
could cause actual events or outcomes to differ materially from
those anticipated or implied by such forward-looking statements.
Those factors include, but are not limited to, the successful and
timely completion of its preliminary economic assessment at Hoidas
Lake; the successful and timely completion and the results of its
preliminary economic assessment of the Steenkampskraal project, the
construction, commissioning and operation of the proposed monazite
processing facility and separation facility, mine refurbishment
activities, reliance on third parties to meet projected timelines
and commencement of production at Steenkampskraal; risks related to
the receipt of all required approvals including those relating to
the commencement of production at the Steenkampskraal mine, delays
in obtaining permits, licenses and operating authorities in Canada,
South Africa and China, environmental matters, water and land use
risks; risks associated with the industry in general, commodity
prices and exchange rate changes, operational risks associated with
exploration, development and production operations, delays or
changes in plans; risks associated with the uncertainty of resource
estimates; health and safety risks; uncertainty of estimates and
projections of production, costs and expenses; risks that future
Hoidas Lake or Steenkampskraal and region exploration results may
not meet exploration or corporate objectives; the adequacy of the
Company's financial resources and the availability of additional
cash from operations or from financing on reasonable terms or at
all; political risks inherent in South Africa and China; risks
associated with the relationship between GWMG and/or its
subsidiaries and communities and governments in Canada and South
Africa, radioactivity and related issues, dependence on one mineral
project; loss of, and the inability to attract, key personnel; the
factors discussed in the Company's public disclosure record; and
other factors that could cause actions, events or results not to be
as anticipated. In light of the risks and uncertainties associated
with forward-looking statements, readers are cautioned not to place
undue reliance upon forward-looking information. Although GWMG
believes that the expectations reflected in the forward-looking
statements set out in this press release or incorporated herein by
reference are reasonable, it can give no assurance that such
expectations will prove to have been correct. Except as required by
law, GWMG does not assume any obligation to update forward looking
statements as set out in this news release. The forward-looking
statements of GWMG contained in this News Release, or incorporated
herein by reference, are expressly qualified, in their entirety, by
this cautionary statement and the risk factors contained in GWMG's
Professional Securities Market listing particulars available at
www.sedar.com. |
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SOURCE Great Western Minerals Group Ltd.