Geomega Resources: Innord purchases additional equipment to accelerate scale up
TSX VENTURE: GMA
MONTREAL, Nov. 20, 2018 (GLOBE NEWSWIRE) -- Geomega Resources Inc. (“GéoMégA” or the “Corporation”) (TSX.V: GMA) is pleased to announce that Innord Inc. (“Innord”), a private subsidiary controlled by GéoMégA, has purchased additional equipment to complete the current scale up activities to a 20 liter unit. The new equipment includes a 30 liter filtration system and pumps, larger capacity furnace and most importantly, a larger crusher with a working rate of 12 kg/hr to process some of the residues that the Corporation is receiving. All the equipment is expected to arrive in December and will be used to fully complete the scale up activities. Furthermore, the equipment was designed and manufactured such that it will be able to be used in future scale ups thereby reducing costs and significantly improving upon construction time.
Securing additional sources of supply
The management has had very productive meetings in Europe and Asia recently and is pleased to report that it has identified potential new sources of supply. As previously disclosed, the supply for Innord needs to be diversified. We are focusing on both magnet manufacturers and end of life recycling and we see significant progress in both supply sources. With China being the leader in magnet manufacturing, we are focusing on that region to supply a portion of the feed material that will be required for Innord’s planned commercial plant. We are continuing discussions with groups already identified with the objective to be in a position to secure a long-term steady supply source.
15th International Rare Earths Conference – November 2018
The annual event that was hosted in Hong Kong saw both existing rare earth producers and end users unite to discuss the events in the industry over the last 12 months. The main conclusions from the event were:
- The rare earths industry is increasingly orienting towards the permanent magnet realm with the focus on Neodymium (Nd), Praseodymium (Pr), Terbium (Tb) and Dysprosium (Dy). The magnet sector is growing at an average rate of 10-15% per annum. These magnetic rare earth oxides represent only 30% by volume but 80% by value of the market. In 2004, they represented 40% by value of the market. (Curtin-IMCOA, IREC15)
- Significant growth in demand for permanent magnets is building up from the electric vehicle industry which will continue for the next 5-10 years. (Curtin-IMCOA, IREC15)
- An increase in REE pricing, specifically those for the permanent magnet industry, is expected in the coming years as the demand starts outstripping supply. (Curtin-IMCOA, IREC15)
- Renewable energy, specifically wind power, is a major sector which requires large amounts of permanent magnets
- Recycling of neodymium permanent magnets is now in the spotlight and is expected to increase in the coming years
“With the major development events over the last 12 months for our separation technology and its application in the recycling of permanent magnets, Innord and Geomega are well positioned to become a leader in rare earth extraction and refining. As our technology matures and scales up, we should be in a position to supply rare earth oxides to North America and Europe and be ready to develop our rare earth Montviel project when the markets improve to justify new REE mining projects,” commented Kiril Mugerman, President and CEO of GéoMégA and Innord.
About GéoMégA (www.geomega.ca)
GéoMégA is a mineral exploration and evaluation company focused on the discovery and sustainable development of economic deposits of metals in Québec. GéoMégA is committed to meeting the Canadian mining industry standards and distinguishing itself with innovative engineering, stakeholders’ engagement and dedication to local transformation benefits. GéoMégA holds over 17.8M shares and over 20% of Kintavar Exploration Inc. who is advancing the Mitchi stratiform copper project in Quebec.
About Innord Inc.
Innord is a private subsidiary of GéoMégA of which GéoMégA owns 96.1%. The goal of Innord Inc. is to develop and optimize the proprietary separation process of rare earth elements based on electrophoresis, for which it holds all the rights. Electrophoresis is the migration of charged species (ions, proteins, particles) in solution in the presence of an electric field. Innord has filed patents in Canada and the United States to protect its novel separation process and is looking to file in other jurisdictions.
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This news release contains statements that may constitute “forward-looking information” or “forward-looking statements” within the meaning of applicable Canadian securities legislation. Forward-looking information and statements may include, among others, statements regarding future plans, costs, objectives or performance of the Corporation, or the assumptions underlying any of the foregoing. In this news release, words such as “may”, “would”, “could”, “will”, “likely”, “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate” “target” and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, including as regards the commercialization of any of the technology referred to above, or if any of them do so, what benefits the Corporation will derive. Forward-looking statements and information are based on information available at the time and/or management's good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Corporation’s control. These risks, uncertainties and assumptions include, but are not limited to, those described under “Risk Factors” in the Corporation’s annual management’s discussion and analysis for the fiscal year ended May 31, 2017, which is available on SEDAR at www.sedar.com; they could cause actual events or results to differ materially from those projected in any forward-looking statements. The Corporation does not intend, nor does the Corporation undertake any obligation, to update or revise any forward-looking information or statements contained in this news release to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws.