MGX Minerals Inc. Issues Clarification of Previously Issued Technical Disclosure
VANCOUVER, May 17, 2016 - MGX Minerals Inc. ("MGX" or the "Company") (CSE: XMG / FKT: 1MG), as a result of a review by the British Columbia Securities Commission, is issuing this news release to clarify its disclosure regarding the Company's Alberta Lithium Properties process design and scoping study (the "Study"), as described in its news releases dated April 14, 2016 and May 9, 2016.Concerning its news release on April 14, 2016, the Company wishes to retract the statement that the Study provided "a positive basis to move forward" with development of the Alberta Mineral Properties. In its news release dated May 9, 2016, the Company wishes to retract the statement that the Study's CAPEX plan provides a positive basis for the Company to proceed with engineering of an initial 20,000 bpd lithium carbonate production plant. For both of the above news releases, the Company wishes to retract the statements concerning the Study's recommendations and OPEX calculations to process lithium-bearing brine of 20,000 barrels per day in a commercial plant.
The Company's retracted statements could be interpreted as being an economic analysis based on inferred mineral estimate for the Alberta Lithium Properties. The Company confirms it has not completed a mineral estimate of the Alberta Lithium Properties and that the Study's purpose was solely to develop a process design, not to provide a preliminary economic assessment.
Readers are also cautioned that the Company has not completed a pre-feasibility or feasibility study which establishes mineral reserves with demonstrated economic and technical viability. Further, the Company cautions readers that any potential production may not be economically feasible and historically projects taken to production without establishing reserves through a feasibility study have a much higher risk of economic or technical failure.
Qualified Person
Andris Kikauka, Vice President of Exploration for MGX Minerals, and a non-independent Qualified Person as defined by N.I. 43-101, has approved the information contained in this news release
Alberta Lithium Properties
MGX has staked or entered into purchase agreements to acquire a 100% undivided interest in 24 Metallic and Industrial Mineral Permits (the "Permits") throughout the Province of Alberta encompassing over 1,150 square miles (300,000 hectares). These Permits were acquired based on compilation of historic exploration for lithium by the Province as well as oil and gas well data and known geology. The Permits are all geological associated with current and past producing oil fields.
Contact Information
MGX Minerals Inc.
Jared Lazerson, Chief Executive Officer
Telephone: 604.681.7735
Email: jared@mgxminerals.com
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
This press release contains forward-looking information or forward-looking statements (collectively "forward-looking information") within the meaning of applicable securities laws. Forward-looking information is typically identified by words such as: "believe", "expect", "anticipate", "intend", "estimate", "postulate" and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking information provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking information as a result of various factors. The reader is referred to the Company's public filings for a more complete discussion of such risk factors and their potential effects which may be accessed through the Company's profile on SEDAR at www.sedar.com.
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