ARSMF - Ares Strategic Mining Announces it has been allocated a US$10000000 Tax-Exempt Bond from the State of Utah
(TheNewswire)
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Government allocates Ares US$10,000,000 to Ares’sbond issuer.
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Ares commences due diligence work with several privateplacement agents to receive a tax-free bond distributed formanufacturing operations in Utah.
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The bond will cover all expected manufacturing costs ofAres’ fluorspar acidspar processing facility and its equipment.
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Ares receives county and state board approval andsupport for manufacturing project.
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Non-dilutive financing to progress the Company withoutincreasing outstanding shares.
Vancouver, B.C. - TheNewswire - April 19th, 2022 — Ares Strategic Mining Inc. (the “Company”) (CSE: ARS) (OTC:ARSMF) (FRA: N8I1), isvery pleased to announce that after the Company’s submission to thePrivate Activity Bond (PAB) Program (the “Program”), establishedby Utah State to support new manufacturing enterprises, the Companywas granted the maximum manufacturing bond allocation availablethrough the program.
The Private Activity Bond (PAB) Program is Utah’stax-exempt bonding authority creating a lower cost, long-term sourceof capital under the Federal Tax Act of 1986. The Company was referredto the Program by the State of Utah through its business developmentchannels, to help support and realize the Company’s project.
The Company intends to use the proceeds for equipmentpurchases and construction costs at its manufacturing facilities, andat its second plant – a flotation facility designed to produceacidspar. Acidspar is principally used in the chemical, aluminum,and refrigeration industries. Acidspar is the highest-grade fluorsparproduct produced for industry and is one of the most ubiquitously usedindustrial minerals in manufacturing.
Ares Acidspar ProductionFacility
In 2018 the U.S. government classified fluorspar as aCritical Mineral, “deemed critical to U.S. national security and theeconomy”. Fluorspar remains the only non-metallic Critical Mineralwhich is 100% imported in the entire country. Fluorspar’sclassification as a Critical Mineral in the United States translatesto a faster permitting period, enabling mining operations to initiatemore quickly than operations for conventional minerals.
James Walker, President and CEO of the Company said,“This is a major step for our Company and business. The financingwill enable the completion of a large processing facility and give theCompany the financial reach to accelerate construction, move forwardour acidspar production plans, and install amodern, well-designed industrial infrastructure at our Utahmanufacturing site. The Company would also like to thank the State ofUtah and the local support we have received.”
Lost Sheep Fluorspar Project – Delta, Utah
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100% owned – 5,982 acres – 353 Claims
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Located in the Spor Mountain area, Juab County, Utah,approximately 214 km south-west of Salt Lake City.
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Fully Permitted – including mining permits.
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NI 43-101 Technical Report identified extensivehigh-grade fluorspar with low levels of impurities.
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Mining plan approved by BLM 1
First approved by Rex Rowley – Area Manager, Bureauof Land Management – 24th August 1992.
Renewed by Paul B. Baker – Minerals ProgramManager, Bureau of Land Management – 12th December 2016.
ON BEHALF OF THE BOARD OF DIRECTORS OF
ARES STRATEGIC MINING INC.
James Walker
Chief Executive Officer and President
For further information, please contact James Walker byphone at 604-345-1576 or by email at jwalker@aresmining.com
DISCLOSURE AND FORWARD-LOOKINGSTATEMENTS:
Companies typically rely oncomprehensive feasibility reports on mineral reserve estimates toreduce the risks and uncertainties associated with a productiondecision. Historically, situations where the issuer decides to put amineral project into production without first establishing mineralreserves supported by a technical report and completing a feasibilitystudy have a higher risk of economic or technical failure, though someindustrial mineral ventures are relatively simple operations with lowlevels of investment and risk, where the operating entity hasdetermined that a formal prefeasibility or feasibility study inconformance with NI 43-101 and 43-101 CP is not required for aproduction decision. Based on historical engineering work, geologicalreports, historical production data and current engineering workcompleted or in the process by Ares, the Company intends to moveforward with the development of its Utah asset.
Certain information in this newsrelease may contain forward-looking statements that involvesubstantial known and unknown risks and uncertainties. Forward-lookingstatements are often identified by terms such as “will”,“may”, “should”, “anticipate”, “expects” and similar expressions. All statementsother than statements of historical fact included in this news releaseare forward-looking statements that involve risks and uncertainties.There can be no assurance that such statements will prove to beaccurate and actual results and future events could differ materiallyfrom those anticipated in such statements. Important factors thatcould cause actual results to differ materially from the Company’sexpectations include the failure to satisfy the conditions of therelevant securities exchange(s) and other risks detailed from time totime in the filings made by the Company with securities regulations.The reader is cautioned that assumptions used in the preparation ofany forward-looking information may prove to be incorrect. Events orcircumstances may cause actual results to differ materially from thosepredicted, as a result of numerous known and unknown risks,uncertainties, and other factors, many of which are beyond the controlof the Company. The reader is cautioned not to place undue reliance onany forward-looking information. Such information, although consideredreasonable by management at the time of preparation, may prove to beincorrect and actual results may differ materially from thoseanticipated. Forward-looking statements contained in this news releaseare expressly qualified by this cautionary statement. Theforward-looking statements contained in this news release are made asof the date of this news release and the Company disclaims anyintention or obligation to update or revise such information, exceptas required by applicable law.
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