Halifax, Nova Scotia--(Newsfile Corp. - May 18, 2022) - Metalo Manufacturing Inc. (CSE: MMI) (the "Issuer" or "MMI") has filed its quarterly unaudited consolidated financial statements and management discussion and analysis for the period ended March 31, 2022. Both are available under the Issuer's profile on SEDAR at www.sedar.com and on the CSE at www.thecse.com.
BUSINESS UPDATE
MMIcontinues to evolveand is in advanced assessments with potential partners and investors to use its mineral sands resource for downstream production. First, a sanitaryware product with electric kilns with near-zero CO2 emissions. Canada is 100% import-dependent with $300 million of annual imports. Secondly, development efforts are underway with a team of technical advisors to establish a solution for producing silicon carbide (SiC) using a biomass as its carbon source thus avoiding carbon taxes - this would be globally unique. Silicon carbide is under global supply challenges due to high CO2 emissions and with increased market demand. MMI has also initiated discussions for joint ventures using the sands for Canadian production of glass containers (annual imports of $500 million) and ceramic tiles (annual imports of $225 million). All development efforts may require further capital from MMI.
Discussions also continue with investors using the same iron smelter plant design that is hydrogen ready when the solution becomes viable. Discussions remain on going with a strategic partner(s) and private equity to finalize the last major stage of permitting. Global supply of pig iron for steel mills and foundries has seen prices substantially increase.
MMI announces that it has issued 185,234 common shares to Forest Lane Holdings Limited ("FLH"), a company controlled by an insider of the Issuer, in satisfaction of its quarterly interest payment of $25,000 due pursuant to the terms of the previously announced convertible debenture. This issuance is made at a deemed price of $0.1350 per share which is the volume- weighted trading price for the 20 trading days ending April 8, 2022. The securities are subject to a four-month hold period.
MMI announces that it has extended the maturity date of a previously announced loan agreement with an arms-length lender (the "Lender") to October 16, 2022. In consideration of the extension, subject to CSE approval, the Issuer will issue 50,000 share purchase warrants to the Lender which will entitle the holder to purchase one common share of the Corporation at an exercise price of $0.16 for a period of two years.
MMI announces it has granted 40,000 incentive stock options to its newest director at an exercise price of $0.16 (the "Options") in accordance with the Issuer's fixed stock option plan. The Options are exercisable for a five-year term expiring May 18, 2027.
ABOUT METALO MANUFACTURING INC.
MMI's focus remains on investments in energy intensive production projects with near-zero CO2 emissions using its minerals sands resource or Canadian iron ore. MMI is a 44% shareholder of Grand River Ironsands Incorporated ("GRI"). GRI owns a 100% interest in Pure Fonte Ltée (pig iron production). GRI owns 90% (fully dilutable) of Labrador Sands Inc. which owns the mining rights for a resource near Happy Valley-Goose Bay, NL. The Corporation has 20,050,426 issued and outstanding common shares.
Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
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The Corporation seeks Safe Harbour.
For additional information contact:
Liz MacKenzie, Corporate Communications
(902) 233-7255
info@metalo.ca
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/124562
