During the quarter, Mason Resources reported a working capital balance of US$6.3 million. The company has since agreed to be purchased by Hudbay Minerals.
Mason Resources (TSX:MNR) has released its financial results for the third quarter ended September 30, 2018 and revisited developments since then.
As highlighted in the press release:
- On October 31, 2018, Mason announced an arrangement agreement with Hudbay Minerals pursuant to which Hudbay will acquire the remaining 86 percent of the issued and outstanding common shares of Mason that it does not already own. Under the Hudbay arrangement, Mason shareholders will receive C$0.40 in cash for each Mason common share they own.
- Net loss for Q3 2018 was US$0.8 million which is a reduction of 38 percent compared to the same period of 2017 (US$1.3 million net loss). For the 2018 year to date, net loss was US$1.5 million which is a reduction of 38 percent compared to the comparative period of 2017 (US$2.4 million net loss). The reduction in the year to date net loss was due to one-time costs associated with the spin-out of the company from Entrée Resources in 2017 and foreign exchange variances between the Canadian dollar and United States dollar.
- The company’s cash balance at September 30, 2018 was US$6.3 million with no debt and the working capital balance was US$6.3 million.
- On September 25, 2018, Mason secured an option to acquire water rights further de-risking the Ann Mason copper project. Mason entered into a binding term sheet with Rightway Investments Smith Valley, pursuant to which Rightway will grant to Mason an exclusive seven-year option to purchase approximately 8,168 acre-feet per year of primary groundwater rights and certain real property known as the “Artesia Ranch”, located six kilometres south-west from the Ann Mason copper deposit in Douglas County, Nevada.