Medallion Resources Ltd. (TSXV:MDL,OTCQX:MLLOF) seeks to clarify and retract certain disclosure in their news releases, Investor Presentation, and Fact Sheet as a results of a technical disclosure review by the British Columbia Securities Commission.
As quoted in the press release:
Several news releases of the Company (including news releases dated January 26, 2012, April 18, 2012, July 11, 2012, November 5, 2012, June 20, 2013 and July 9, 2013), certain webpages on the Company’s website, and the Company’s Q4 2013 investor presentation (the “Investor Presentation”) and the fact sheet on the Company’s website (the “Fact Sheet”, collectively, with the other above-noted disclosure documents, the “Disclosure Documents”) contain disclosure relating to Medallion’s plans with respect to developing, financing and constructing a monazite processing facility (the “Processing Plant”), capable of producing rare-earth concentrates. It is intended that monazite, a rare-earth phosphate mineral, available as by-product of the heavy-mineral-sands industry, will be processed at the Processing Plant (the “Monazite Processing Project”). It is intended that the monazite will be acquired pursuant to feedstock agreements with heavy-mineral-sands processors, which produce monazite as a by-product of their titanium and zircon production.
The Investor Presentation, the Fact Sheet and the Company’s news releases dated November 5, 2012 each contain statements regarding the Company’s expectations for the positive economics and the potential favourable internal rate of return of the Monazite Processing Project. The Company hereby retracts any prior disclosure in the Disclosure Documents regarding any assessment of the potential economics of the Monazite Processing Project, including any potential favourable internal rate of return, and clarifies that because it has not yet finalized any monazite feedstock agreements, or other arrangements securing delivery of monazite to be processed at the Processing Plant, it is not at this time able to reasonably determine the potential economic returns of the Monazite Processing Project. The Company further clarifies that, at this time, the potential economic returns of the Monazite Processing Project have not been verified by an independent expert in a detailed technical study.
Medallion also wishes to clarify that any references in the Disclosure Documents to the Processing Plant having a planned production capacity of 10,000 tonnes per annum are based on the anticipated throughput of the Processing Plant, and not on any currently secured feedstock arrangements or mineral resources or reserves on a property in which Medallion holds an interest. Such processing capacity is subject to change as Medallion’s plans with respect to the Monazite Processing Project develop.