Newlox Gold Fiscal Year 2020 Review
Vancouver, BC – The press wire – August 6, 2021 – Newlox Gold Ventures Corp. (“Newlox” or the “Company”) (CSE:LUX) | (Frankfurt / Stuttgart: NGO) | PINK (OTC:NWLXF) | (CNSX: LUX.CN) has filed its annual financial statements and is pleased to provide investors with an overview of the progress made in fiscal 2020. While fiscal 2020 has been filled with unforeseen challenges to overcome, the Company has made significant progress in operations, R&D, market development and financing.
Highlights of the year
– Establishment of gold production at the first processing plant
– Completion of an oversubscribed private placement in June 2020
– Signed agreements and obtained all permits for the Boston expansion project
– Completion of the historical geological examination of the Boston project and the Juntas gold camp
– Formalized Research & Development Program in Subsidiary; Newlox Research & Development Corp.
– Almost 100% gold recovery during laboratory testing using the patented Organic Aqua Regia (OAR) non-toxic gold leaching technology
– Overcome COVID-19 related closures to restart gold production at first processing plant
– Plant One infrastructure significantly improved to support growth
– Implementation of a successful market awareness campaign
– Joined the CSE composite index
– Completion of a $ 4 million financing to fully fund the productivity increase of the first plant and the construction of the Boston expansion project
– Welcome of Dr Marcello Veiga as head of research and development
– Construction begins on the Boston expansion project
– 5.6 times share price appreciation
– Achieved a growth of 7.4 times the market capitalization
Overcome COVID-19 and Establish Business Operations
The Company started the year with a recently updated processing plant that actively recovers gold and silver.
To support the ramp-up of Plant 1, Newlox Gold closed an oversubscribed private placement in June 2020 and raised gross proceeds of $ 557,500.00. These funds were allocated to operating capital to increase the throughput of Plant 1.
Like many of its peers, Newlox Gold has seen setbacks in 2020 due to the global COVID-19 pandemic. Due to an alarming increase in COVID-19 infections, the Company temporarily suspended gold production in June 2020, which is particularly frustrating following the successful funding designed to support the ramp-up program.
Newlox Gold has shown itself to be adaptable and decisive, allowing the Company to continue to progress despite the interruption linked to the pandemic. Working closely with local regulators, the Company took advantage of the unplanned shutdown to execute a long-term plan to move the first processing plant to a more favorable permanent location in line with long-term growth. objective. A restart of operations limited to the first treatment plant in winter 2020 benefited from the significantly improved facility.
The new, larger site facilitates future growth while accommodating both the upgraded lab and the company’s base camp. The new location reduces transportation costs, improves project logistics, facilitates production growth and increases site safety. Additionally, the new location is outside of local municipal boundaries, in a less densely populated area, which alleviates concerns about COVID-19 and improves staff safety.
By the end of the Company’s fiscal year, Newlox’s first improved processing plant had started to speed up its processes with the intention of reaching full-scale plant operations later in the year.
Growth in Costa Rica – The Boston Project
Newlox Gold announced its second project in July 2020. The Boston project is located in Costa Rica’s Juntas Gold Camp, which has been in continuous operation since the early 1900s.
Newlox predicts that the Boston plant will process 150 tonnes per day of material grading + – 15 grams per tonne of gold with an expected gold recovery of 90%. The raw material must be supplied by the artisanal partners of Newlox. The profits will be divided equally between the parties.
Full-scale operation in Boston will follow engineering, development, construction, and commissioning over the 2021 schedule. Such an abbreviated schedule for the Boston project is facilitated not only by the fully licensed status of the project, but also by Newlox’s considerable experience with the local community. and by its internal analytical capacities
Advances in ESG-Gold technology
The operational progress was accompanied by the formalization of its research and development efforts by the company within Newlox Research & Development Corp., an R&D-focused subsidiary of Newlox Gold. The creation of the R&D company corresponds to the launch of a 12-month R&D program on Organic Aqua Regia (OAR) technology as a non-toxic and waterless alternative to cyanidation for the recovery of gold and metals. precious.
Newlox is developing OAR with the University of British Columbia in Canada and the University of Chiba in Japan, focused on leaching gold with an organic reagent, both non-toxic and widely used in other industries. The cost of the reagent is comparable to that of sodium cyanide, the conventional reagent in the gold mining industry. The notable advantages should be that it is non-toxic, recyclable, extracts gold faster than cyanide, does not use water, and does not require carbon or electrolysis.
OAR tests performed by Newlox on high grade gold ore samples reported gold recoveries of greater than 90% at ambient temperature and pressure and nearly 100% at elevated temperatures.
Huge potential is envisioned for this new leaching methodology which could be a paradigm-shifting technology applicable not only to advance the formal $ 180 billion global gold industry, but also to bring the informal gold mining industry in. $ 27 billion in the 21st century.
Newlox Gold launched its first formal market awareness campaign in 2020, focusing on digital marketing. Management has found that despite the pandemic’s limited opportunities for in-person marketing at traditional resource conferences, online conferences provide an astonishing return on investment and provide an opportunity to present the company to a large audience.
The current bull market for resources and the rapid progress in operations allows Newlox’s recently launched market awareness program to be highly effective and has resulted in increased liquidity and appreciation in the price of the shares. The company was proud to have been inducted into the CSE Composite Index in October 2020 and has now seen its stock price rise more than 10 times since the private placement in June 2020.
A message from Ryan Jackson, President and CEO:
“Fiscal 2020, despite all its challenges, has been a deeply progressive year for Newlox Gold. The company has made huge strides in all aspects of its business and has started to gain recognition in the markets.
The Company currently has four main initiatives underway: increasing productivity at the first plant, construction in Boston (the second plant), evaluating new projects in Brazil, and research and development. Since the end of our fiscal year, we have continued to advance these initiatives and expect to provide regular updates to shareholders.
In particular, we will be reporting on the ramp-up of Plant 1 next week and are happy to provide details regarding gold recovery operations. We have been able to increase productivity month after month since the start of the year and have recently taken further steps in this regard.
We would like to thank our longtime and high conviction shareholders for their support and we are delighted to welcome an influx of new shareholders to Newlox Gold who have proven to understand and appreciate Newlox Gold’s business model focused on ESG. “
The information contained in this press release includes certain information and statements about management’s view of future events, expectations, plans and prospects that constitute forward-looking information. Forward-looking information includes, but is not limited to, the completion of currently ongoing work programs and the results of such programs. These statements are based on assumptions which are subject to significant risks and uncertainties. As a result of these risks and uncertainties and due to various factors, actual results, achievements or performance may differ materially from those anticipated and indicated by these forward-looking statements. Significant risk factors that could cause actual results to differ include the risk that the work undertaken by the Company will have unintended effects, the risk of delays in the completion of the work and the risk that the Company will not be able to to raise sufficient funds and force majeure. . Although the Company believes that the expectations reflected in the forward-looking information are reasonable, it cannot guarantee that the expectations of any forward-looking information will prove to be correct. Unless required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking information to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting these forward-looking statements or others. Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release).
The Company informs that it does not base any decision to produce on a feasibility study of reserves demonstrating the economic and technical viability of the project and also informs that there is increased uncertainty and specific economic and technical risks of failure associated with any production decision. Stewart A. Jackson, Ph.D., P.Geo., A “qualified person” within the meaning of National Instrument 43-101, has prepared, supervised the preparation and approved the contents of this press release.
On behalf of the board, Newlox Gold Ventures Corp.
Contact Newlox Or
Newlox Gold Ventures Corp., President
E-mail: [email protected]
Telephone: +1 778 738 0546