CALGARY, Alberta, Canada (Marketwired – August 8, 2014) – New Millennium Iron Corp. (“NML” or the “Corporation”) (TSX: NML) (OTCQX: NWLNF) today announced its financial results for the second quarter ended June 30, 2014.
The following review of the Company’s financial performance is based on the unaudited Condensed Interim Consolidated Financial Statements (“Financial Statements”) and Management’s Discussion and Analysis (“MD&A”), which have been filed on the SEDAR website at www.sedar.com.
Progress continued in the second quarter in NML’s principal areas of activity, two of which involve projects being carried out with strategic partner and shareholder Tata Steel Limited.
The Direct Shipping Ore Project through a 20% ownership interest in Tata Steel Minerals Canada Ltd. (“TSMC”), operator of the Project: (1) Continued construction of the ore processing plant which included significant progress on the sizing stations and processing complex plus work on physical logistics infrastructure with completion of the rail loop and links to main rail lines; and (2) Recommencement of drilling program for the Howse Joint Venture targeting an additional 3,500 meters of exploration drilling.
On NML’s Taconite Project, filing on the SEDAR website of the NI 43-101 compliant Technical Reports on the Feasibility Study techno-economic results presenting a compelling case for a profitable, successful, long-term operation.
At the general NML corporate level, the Company announced the results of the Annual General Meeting held June 25, 2014, in Toronto.
For the three months ended June 30, 2014, the Company realized a net loss of $1,817,000 ($0.01 per share) compared to a net loss of $2,244,000 ($0.01 per share) for the comparative period in 2013. This loss represents expenses of $2,010,000 (2013 - $2,508,000), net of investment income of $186,000 (2013 - $228,000).
The Company’s working capital at June 30, 2014 is $32,793,000 (December 31, 2013 - $35,291,000).The net loss for the six months ended June 30, 2014, is $3,552,000 ($0.02 per share) compared to a net loss of $4,256,000 ($0.02 per share) for the comparative period in 2013. This loss represents general and administrative expenses of $4,044,000 (2013- $4,821,000) partially offset by investment income of $469,000 (2013 - $422,000). The most significant components of the general and administrative expenses were: stock based compensation of $1,309,000 (2013 - $2,732,000) and professional fees of $816,000 (2013 – $498,000). During the six months ended June 30, 2014, NML recorded an amount of $730,000 (2013 – $1,099,000) received from Tata Steel Global Minerals Holdings PTE Ltd. in relation to its option on the LabMag Project and KéMag Project as a reduction of general and administrative expenses on its statement of comprehensive income.
As at June 30, 2014, the Company’s mineral exploration and evaluation assets increased to $62,862,000 from $61,138,000 as of December 31, 2013, or by $1,724,000. The components of mineral properties at June 30, 2014, were: mineral licences of $2,980,000, drilling of $35,444,000, resource evaluation of $39,279,000, environmental of $18,807,000, and amortization of property and equipment of $167,000, net of tax credits and mining duties of $14,043,000 and the Tata Steel payments of $19,772,000.
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