Bloomberg 2017-06-08T11:01:47Z
MONTREAL, QUEBEC — (Marketwired) — 06/08/17 — Sama Resources
Inc. (“Sama” or the “Company”) (TSX VENTURE: SME) announces that the
Company has signed a Technology License Agreement (“License”) with
Canadian-based CVMR Corporation (“CVMR” or the “Licensor”). Under the
terms of the agreement, CVMR grants Sama use of its technology to
refine the mineralized material from the Samapleu property in Ivory
Coast, West Africa, to produce nickel and iron powders. At present,
prices payable for nickel powders treated using CVMR’s technology are
at a significant premium above the current LME prices for nickel,
providing Sama with a market advantage and growth opportunity not
previously available.
CVMR initiated a pilot program in March 2017 with a 260-gram
concentrate of mineralized material from Samapleu. The concentrate
graded 3.01% copper, 2.30% nickel and 25.90% iron. Preliminary
results indicate a 91% and 92% recovery rate for the nickel and the
iron, respectively.
“The partnership with CVMR will enable Sama to complete technical
studies for a proposed open pit operation at Samapleu with higher
returns compared to a simple flotation process,” said Dr.
Marc-Antoine Audet, P.Geo, President and Chief Executive Officer,
Sama Resources. “We expect to complete the Samapleu feasibility study
by year-end 2017.”
“The geological formation of the Samapleu deposit is ideally suited
to CVMR’s nickel and iron powder production technology. The
manufacture of metal components and additives has undergone a
paradigm shift in the past ten years as 3D printing and metal
injection moulding are replacing many other manufacturing methods.
Accordingly, the demand for nickel and iron powders is increasing
more rapidly than most optimistic forecasts. Sama Resources is well
positioned to take advantage of this major shift in the manufacturing
industry,” said Kamran M. Khozan, Chairman and Chief Executive
Officer, CVMR (http://www.cvmr.ca).
The Licensor authorizes Sama to use CVMR’s patents and technology to
operate nickel and iron powder manufacturing plants in the Ivory
Coast (the “Plants”), to be built, commissioned and delivered on a
turn-key basis by CVMR, following a positive feasibility study. The
Plants will be dedicated to the production of metal powders used in a
variety of products and manufacturing processes, including: 3D
printing (additive manufacturing), aerospace and automotive parts
manufacturing, medical instruments, computer and electronic parts,
super alloys, sophisticated net shapes for use in the defence and
space industries, metal injection molding (MIM), anti-seize
lubricants, chemicals and catalysts, etc.
In consideration of the License, Sama has agreed to pay CVMR
CA$5,000,000 either in cash or, subject to approval from the TSX
Venture Exchange (the “Exchange”), through the issuance of an
equivalent value of common shares of Sama within 90 days of the
granting of the mining license. Share price will be based on the
average closing price of those shares on the Exchange for each day
during the three months of trading prior to issuance. In addition,
CVMR will receive a royalty equal to 15% of the sale price of metal
powders produced by the Plants in excess of the London Metal Exchange
price of the elements contained in such powders.
Sama and CVMR will negotiate a project construction agreement with
respect to the Plants.
Sama has also retained CVMR to perform a detailed technical study to
confirm the commercial viability of producing nickel and iron powders
from nickel-iron concentrate obtained from the flotation of the
mineralized material of the Samapleu deposits. Sama will apply to the
Department of Mines in Ivory Coast to transform the current
exploration permit #123 (“PR123”) into a mining license.
A Proven Process with In-Demand Products
Global nickel carbonyl powder production capacity is approximately
37,000 metric tons per year, with the main producers being Vale
(Inco) in Canada and Wales, Jilin Jien and Jinchuan in China and
Norilsk in Russia. Iron powder production capacity is reported to be
around 29,000 metric tons per year, with BASF of Germany being the
largest manufacturer followed by Ashland in USA, Sintez in Russia,
CVMR in Canada and Jilin Jien in China.
About Sama Resources Inc.
Sama is a Canadian-based mineral exploration and development company
with projects in West Africa. For more information about Sama, please
visit Sama’s website at http://www.samaresources.com.
About CVMR Corporation
CVMR Corporation is a privately held multinational,
multi-disciplinary, organization operating in four continents, with
offices in Canada, US, UAE and Turkey, and representative offices in
Indonesia, Australia, and a number of Latin American countries. The
company specializes in manufacture of metal powders, nano-powders,
alloys, super alloys and net shapes based on its proprietary vapour
metallurgy. It designs mineral processing plants, constructs and
commissions the plants on behalf of its clients. It conducts
metallurgical tests and piloting of various minerals.
CVMR’s vapour metallurgy processes and technologies have been
developed over 20 years and are continuously upgraded and improved as
new complementary technologies evolve. CVMR’s refining/manufacturing
processes are capable of producing pure metal products with very high
degree of purity.
Such high-purity metal was used by CVMR to produce nickel tubes for
the Sudbury Neutrino Observatory (SNO), through the Canadian
Department of Defense. These tubes are the only nickel tubes with
minimum radioactive emission needed to be used for the detection and
measurement of neutrinos being emitted from the sun.
CVMR Corporation was one of the very few privately held corporations
to have contributed to this scientifically valuable project in
partnership with the governments of Canada, US and UK. The SNO
project was the precursor to the European Organization for Nuclear
Research, at CERN, in Switzerland, which is probing the fundamental
structure of the universe.
Readers are invited to visit CVMR’s website at: http://www.cvmr.ca.
Neither the 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.
The technical information in this release has been reviewed and
approved by Dr. Marc-Antoine Audet, P.Geo and President and CEO of
Sama, and a ‘qualified person’, as defined by National Instrument
43-101, Standards of Disclosure for Mineral Projects.
Forward-Looking Statements
Certain statements in this press release may be forward-looking. Such
statements include those with respect to the constructions of the
Plants and the anticipated benefits of the Licensor to Sama. Although
the Company believes the expectations reflected in such
forward-looking statements are based on reasonable assumptions, it
can give no assurances that its expectations will be achieved. Such
assumptions, which may prove incorrect, include the following: (i)
the parties will successfully negotiate a project construction
agreement, (ii) the construction of the Plants will not encounter any
legal, technical or other obstacle that will delay or otherwise make
that construction unfeasible, (iii) Sama will obtain any required
TSXV approval for the issuance of common shares to CVMR(R), (iv) the
patents licensed to Sama are in good standing and will remain so, (v)
CVMR(R) will at no time be unable or unwilling to perform its
contractual obligations under the License or any other agreement
entered into between the parties, (vi) the technology licensed to
Sama will produce the desired results and perform as anticipated, and
(vii) the price of nickel will remain sufficiently high and the costs
of advancing the Company’s projects sufficiently low so as to permit
Sama to implement its business plans in a profitable manner. Factors
that could cause actual results to differ materially from
expectations include (i) CVMR’s inability or unwillingness to fulfill
its contractual obligations, in whole or in part, (ii) the failure of
the construction of the Plants, for technical, legal, logistical,
labour-relations or other reasons, (iii) deficiencies arising in the
patents licensed to Sama under the License, (iv) the licensed
technology failing to perform as anticipated for whatever reason, (v)
the Company’s inability to obtain any necessary TSXV approval for the
issuance of shares to CVMR(R), (vi) a decrease in the price of nickel
below what is necessary to sustain the Company’s operations, (vii) an
increase in the Company’s operating costs above what is necessary to
sustain its operations, (viii) accidents, labour disputes or the
materialization of similar risks, (ix) a deterioration in capital
market conditions that prevents the Company from raising the funds it
requires on a timely basis and (x) generally, the Company’s inability
to develop and implement a successful business plan for any reason.
A description of other risks affecting Sama’s business and activities
appears under the heading “Risks and Uncertainties” on pages 31 to 33
of Sama’s 2016 annual management’s discussion and analysis, which is
available on SEDAR at www.sedar.com. No assurance can be given that
any events anticipated by the forward-looking information in this
press release will transpire or occur, or if any of them do so, what
benefits that Sama will derive therefrom. In particular, no assurance
can be given as to the future financial performance of Sama. Sama
disclaims any intention or obligation to update or revise any
forward-looking statements in order to account for any new
information or any other event, except as required under applicable
law. The reader is warned against undue reliance on these
forward-looking statements.
Contacts:
Sama Resources Inc.
Dr. Marc-Antoine Audet
President and CEO
(514) 726-4158
Sama Resources Inc.
Mr. Matt Johnston
Corporate Development Advisor
(604) 443-3835 or Toll Free: 1 (877) 792-6688, Ext. 5
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