Hopefully we can find a better deal now for shareholders or atleast put alittle panic into the chineese while we're at it. I think that there are a few companies out there phoning our CEO this morning. THis is a once in a life time opportunity. Sorry we do not have better news though. Still holding and as long as ever!!
CHIP OFF THE OLD BLOCK!!!!!!!!!!
TORONTO, ONTARIO -- (Marketwire) -- 11/30/09 -- MagIndustries Corp. ("MagIndustries" or the "Company")(TSX: MAA) reports that Sinohydro Corporation Limited ("Sinohydro"), the counterparty to the Memorandum of Understanding (the "MOU") signed and disclosed on June 12, 2009, is continuing with its internal decision process with respect to the investment proposal under the MOU. MagIndustries understands that the investment has been recommended at several levels of Sinohydro and that a final decision rests with Sinohydro's Board of Directors. While respecting the Sinohydro process and remaining optimistic as to its outcome, MagIndustries has elected not to extend the exclusivity provided to Sinohydro by the MOU.
Mr. William Burton, CEO of MagIndustries, noted, " We have had a constructive dialogue with Sinohydro and have seen progress in a decision process, which by all indications still has the potential for a positive conclusion. In the meantime, other parties aware of the merits of our Kouilou Potash Project ("the Project") have approached us with expressions of interest."
With the expiry of the Sinohydro exclusivity period, MagIndustries has started discussions with several other parties, interested in investing in the Company or directly in its MagMinerals potash subsidiary and/or the construction of the Company's Project as EPC (Engineering, Procurement and Construction) Contractor and arrangement of the debt associated with the Project.
The Company will evaluate any resulting investment proposals with a view to building the Project as soon as possible with minimum dilution to MagIndustries shareholders. Interest in the project is happening in the context of a potash market that is showing signs of renewed demand growth and a view that in time potash buyers may once again be confronted by supply constraints with MagIndustries as the only realistic near term new entrant to the industry.
About MagIndustries Corp.
MagIndustries is a Canadian company whose common shares are listed on the TSX and trades in Canadian currency under the symbol "MAA". The Company has 360,522,462 shares outstanding on an undiluted basis. MagIndustries' resource subsidiaries are operating and developing major industrial projects in the Republic of Congo and the Democratic Republic of Congo. More information on the Company is available at its website, www.magindustries.com.
Except for historical information, this press release contains forward-looking statements, which reflect the Company's current expectation regarding future events. These forward-looking statements involve risks and uncertainties, which may cause actual results to differ materially from those statements. Those risks and uncertainties include, but are not limited to, changing market conditions, and other risks detailed from time-to-time in the Company's ongoing filings. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events in this press release might not occur.
