Toronto, Ontario, Canada. Red Tiger Mining Inc., (TSXV:RMN), (the “Company” or “Red Tiger”) today reported that the quarterly unaudited Consolidated Financial Statements and Management’s Discussion and Analysis report for the nine and three months ended September 30, 2011 have been filed on SEDAR, The Company’s new website is currently under construction.
Activity in the third quarter was focused on the completion of the conditions for the release from escrow of the Private Placement of $25 million in equity units, along with a bank financing of $30 million. Mexican courts approved the creditors’ settlement agreements which ended the Mexican litigation, and the necessary filings were made in certain courts and registries that will result in the removal of liens on the mining concessions where the Company’s Luz del Cobre Copper Project is located. Funds were released from escrow on July 20, 2011, completing the financing.
Effective August 10, 2011, the Company’s shares commenced trading on the TSX Venture Exchange as a Tier 1 Mining Company and currently trade under the new name under the symbol RMN.
The net loss for the nine months to September 30, 2011 was reduced by $1,345,000 to $498,000 during the quarter as a result of beneficial adjustments resulting from the financing, as well as adjustments made to the provisions previously made to settle with the creditors. These settlements have progressed to the extent that management does not expect to incur additional costs in settling the remaining accounts.
Working Capital at September 30 was $7.2 million and Shareholders’ Equity was $20.3 million.
Senior personnel for the Copper Project and all heads of departments are on site. Contracts for the development and construction of the project have been signed and the Company projects that it will be producing copper cathodes by the second quarter of 2012. Planned production is 15 million pounds of copper per year at a cash cost of production (cash cost before interest, taxes, and amortization) of $1.20 per pound.
On November 7, the Company filed Articles of Amendment effecting a consolidation of its outstanding shares on a one new share for ten existing shares basis and changing the name of the Company to Red Tiger Mining Inc.
Red Tiger is listed on the TSX Venture Exchange (symbol RMN). Common shares outstanding after giving effect to the consolidation will be 65,232,029, subject to adjustment for fractional shares.
This News Release contains forward-looking statements which are typically preceded by, followed by or including the words “believes”, “expects”, “anticipates”, “estimates”, “intends”, “plans” or similar expressions. Forward-looking statements are not guarantees of future performance as they involve risks, uncertainties and assumptions.
For further information, please contact:
Red Tiger Mining Inc.
20 Toronto Street
12th Floor
Toronto ON, M5C 2B8 Canada
Fax: 416 367 3638
Dr. Thomas Utter
President and CEO
Tel.: +1 521 662 311 8839
[email protected]
Frank van de Water
CFO and Secretary
Tel.: 416 869 0772
[email protected]
