MGX Minerals, Inc. (CNSX: MGX), a diversified Canadian mining company, is engaged in the acquisition and development of industrial mineral deposits that offer near-term production potential, minimal barriers to entry and low initial capital expenditures. The long-term strategic business objectives of the company, including constructing a quarry mine and processing plant to produce magnesium oxide from Driftwood Creek, the company’s flagship project, is presenting very promising opportunity within the mining sector.
Large quantities of magnesite, a mineral that occurs as veins in ultramafic rocks and serpentinite, are burnt to make magnesium oxide, a macromineral that is frequently used to treat heartburn, indigestion and low magnesium levels.
Major Plans (and Growth) in the Works
Currently controlling the majority of known magnesite occurrences in British Columbia, the Vancouver-based mining company’s goal for the Driftwood Creek project is to construct a quarry mine processing plant to produce magnesium oxide. Driftwood Creek is located in the Brisco-Driftwood mining district of Southeastern British Columbia.
“Despite rough markets and slipping commodity prices,” said Jared Lazerson, President & CEO of MGX, “the MGX stock price has reflected our success in the field. In fact, our stock is one of the best performing gainers on the Canadian Securities Exchange thus far in 2015 and our market cap has grown to over $15 million as we continue to follow through on strategic plans and build value for our shareholders.”
A Year of Progress
Last year proved to be defined by major milestones and strategic partnerships for MGX. Some operational highlights include:
- Acquiring Haig Magnetite Prospect in British Columbia.
- Entering into an Acquisition Agreement with American Manganese Inc. ($AMY) to acquire a 100% interest in 166 contiguous hectares covering a known high-purity silica prospect.
- Closing the third and last tranche of a non-brokered private placement, raising $116,577.50 through the issuance of 466,310 common shares at a price of $0.25 per share.
- Entering into a Partnering Agreement with Eaton Industries (Canada) Corporation (NYSE: ETN) and Highbury Energy Inc. to develop MGX’s flagship Driftwood Creek magnesium property.
- Entering into a Memorandum of Understanding with Industrial Furnace Company in which the company will provide engineering services and calcining equipment for MGX’s flagship Driftwood Creek magnesium property.
- Entering into a Mining Lease Agreement to explore, develop and mine the Needles magnesite deposit located in San Bernardino County, California.
- Being added to the Canadian Securities Exchange Composite Index.
- Entering into a Purchase Agreement with Zimtu Capital Corp. (TSX.V: ZC) to acquire a 100% undivided interest in the Longworth silica property.
- Completing final land survey for its flagship Driftwood Creek magnesium project.
- Entering into Definitive Agreement with Tembec ($TSX: TM) to acquire the Cranbrook mill site in Cranbrook, British Columbia for $3.7 million.
- Receiving the necessary permits from the Archaeology Branch of the British Columbia Ministry of Forests, Lands and Natural Resource Operations to conduct an Archaeological Impact Assessment on their flagship Driftwood Creek magnesium project
- Reporting 98 meters grading 44% magnesium oxide from Phase II drilling at Driftwood Creek.
- Completed Phase II drilling at its flagship Driftwood Creek magnesium project.
- Beginning site evaluation and engineering studies at its proposed mill site located in Cranbrook, British Columbia.
Furthermore, the company received final approval of land survey for Driftwood Creek from the British Columbia Surveyor General under Section 42 of the Mineral Tenure Act. MGX’s lease application will now be reviewed by the Chief Gold Commissioner of the Province of British Columbia in regards to issuance.
A Unique Opportunity
Sure, there’s gold, silver, copper, and, since this is the tech age, lithium; however, MGX Minerals’ progression of their Driftwood Creek Project not only ensures that magnesium oxide will be readily available to ease the everyday aches and discomforts of those who suffer from indigestion and heartburn, it also presents a unique investment opportunity to those interested in the mining sector.
“As great as 2015 has been, we have set our sights on an even bigger year in 2016 as we build momentum at Driftwood Creek and begin to develop our other strategic assets including silicon,” said Lazerson. “We look forward to your continued support as a shareholder and invite prospective investors to join us on our journey to build a leading industrial minerals company.”
For more information about MGX Minerals, visit www.mgxminerals.com.
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