VANCOUVER, BRITISH COLUMBIA -- July 9, 2018 -- InvestorsHub
NewsWire -- Nevada Clean Magnesium, Inc. (TSX-V:NVM; Frankfurt-M1V; OTCQB:MLYFF) (the "Company") is
pleased to announce that it has completed the definitive agreements
and entered into a Sublicense Agreement and a Joint Services
Agreement, both with Big Blue Technologies LLC of Colorado
("BBT").
BBT has recently signed an exclusive license with the University
of Colorado respecting certain patents and processes owned by the
University relating to producing magnesium, primarily using the
chemistry known as carbothermal reduction which BBT developed
together with the University (the "BBT Process"). Under the
Sublicense Agreement, NCM and BBT will jointly develop the BBT
Process and NCM will have an exclusive sublicense to utilize the
BBT Process so long as it pays license fees and meets certain other
conditions.
Under the Joint Services Agreement, BBT and its scientific team
will assist the Company in further developing and commercializing
the Company's own process of producing magnesium, which unlike the
BBT Process, uses either a silicothermic process or a proprietary
reductant (the "NCM Process"). The Company considers that by
developing various processes at once, information learned and
discoveries made in respect of one process may equally assist in
developing the other process, increasing the chances in at least
one continuous thermo reduction magnesium production process. In
payment for BBT's services for the joint development of the NCM
Process, the Company will pay BBT in stock, issuing up to
22,876,717 common shares to BBT as against valid accounts for
services rendered at a deemed price of $0.05 per share.
The Company believes that the combination of the Sublicense
Agreement and the Joint Services Agreement gives it access to the
best, cutting edge technology and some of the best human resources
available to develop a clean, commercially viable, cost-effective
process for the production of magnesium from dolomite, and the
opportunity to commercialize and start sales from its world class
dolomite deposit located at the Tami-Mosi Project in Nevada.
Edward Lee, President and CEO of the Company remarked "We see
these agreements as paving the future and security for Nevada Clean
Magnesium and its shareholders. This gives our company an advanced
state of the art technology to process magnesium metal, and it also
gives us a dedicated, young scientific team from Colorado that,
combined with our own expertise, should make significant progress.
We know the demand for magnesium within the United States is there,
we just have to get the process finished to supply it profitably.
If we do that successfully, we expect to see a lot more demand from
end users in order to supply their magnesium metal needs."
Aaron Palumbo, the CEO of BBT, stated "Our team at BBT is
excited to advance the prospect of magnesium production in North
America with Nevada Clean Magnesium. The combined team is now a
powerhouse of technical expertise in thermochemical production
methods, bridged by a universal condenser design. We aim to
leverage carbothermal and silicothermal operating methods as a
means of reducing technical risk for scale-up and commercial
implementation. Our immediate goal is to start making magnesium,
but now we have a way to realize a long-term vision of establishing
a sustainable and cost-competitive business enterprise."
The Sublicense Agreement and the Joint Services Agreement are
subject to TSX Venture Exchange approval.
Also, effective immediately the Board of directors has
accepted the resignation of Scott Rowe as director of the
company.
Mr. Rowe has elected to pursue a teaching career. The Company
would like to thank him for his contributions and wish him the best
with his future endeavors.
About Nevada Clean Magnesium, Inc.
Nevada Clean Magnesium is focused on becoming a major U.S.
producer and distributor of primary, high grade, low cost magnesium
metal extracted from its 100% owned Tami-Mosi property located in
North Central Nevada. Based on the Company's NI 43-101 Preliminary
Economic Assessment Report published in September 2011 and amended
in July 2014, the Tami-Mosi Project has an inferred resource of 412
million tonnes with an average grade of 12.3% Mg for a contained
metal content of 111 billion pounds of magnesium using a 12%
cut-off grade contained within a high purity dolomite block. For
more information, please visit www.nevadacmi.com.
The technical portion of this press release was prepared under
the supervision and review of James Sever, P. Eng., and COO for
Nevada Clean Magnesium. Mr. Sever is a non-independent qualified
person within the meaning of National Instrument 43-101
standards.
Forward-Looking Statement
Statements in this news release that are not historical facts
are forward-looking statements that are subject to risks and
uncertainties. Forward-looking statements in this news release
include that we can become a major U.S. producer and distributor of
primary, high grade, low cost magnesium metal; and that we
can develop a clean, commercially viable, cost-effective
process for the production of magnesium from dolomite and the
opportunity to commercialize and start sales, that our team should
make significant progress in coming up with a cost effective
magnesium producing process, that if that happens, there will be
more demand from magnesium end users, and that we can establish a
sustainable and cost-competitive business enterprise. Actual
results may differ materially from those currently anticipated due
to a number of factors, including that the TSXV may not approve the
agreements, the Company's dolomite resource may not be mined
because of technical, regulatory, financing or other obstacles, the
market price for magnesium may make our resources uneconomic, the
BBT Process may not be able to be commercially developed, none of
our processes may result in cost-effective magnesium production, we
may not be able to protect our intellectual property and keep out
competition, we may not be able to comply with our obligations
under the BBT agreements, we may not be able hire and retain
skilled employees, no market for our or BBT's process may develop
from other resource owners, anticipated demand may not materialize,
and other general risks associated with being a mineral exploration
and development company. The Company undertakes no obligation to
update forward-looking information except as required by law. The
reader is cautioned not to place undue reliance on forward-looking
statements. These forward-looking statements are made as of the
date of this news release and NCM undertakes no responsibility to
update these forward looking statements except as required by
law.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
To Reach Nevada Clean Magnesium Please Contact:
Edward Lee, CEO at (604) 210-9862
For additional information please visit our website at
http://www.nevadacmi.com or view our profile
at http://www.sedar.com.
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