Monarch Announces First Quarter

MONTREAL, Nov. 11, 2022 (GLOBE NEWSWIRE) — MONARCH MINING CORPORATION (“Monarch“or the”society”) (TSX: GBAR) (OTCQX: GBARF) today announced its results for the first quarter ended September 30, 2022. Amounts are in Canadian dollars unless otherwise noted.

Summary of financial results

(In dollars except per share data) Three-month periods ended September 30
2022 2021
Revenue 2,005,605
Cost of sales (16,672,139 )
Loss from mining operations (14,666,534 )
Administration costs (928,785 ) (1,915,029 )
Exploration expenses (141,313 ) (1,729,695 )
Financial expenses (389,471 ) (136,972 )
Revaluation of financial liabilities on tonnes milled at the Beacon plant 480,084
Change in fair value of investments (179,218 )
Gain on disposal of assets 7,690,483
Impairment of property, plant and equipment (7,000,000 )
Deferred taxes and mining taxes (20,322 ) (1,740,726 )
Net profit (loss) and comprehensive income (loss) (22,315,593 ) 2,843,374
Net earnings (loss) per share, basic and diluted (0.20 ) 0.04
(in dollars) September 30, 2022 June 30, 2022
Cash and cash equivalents 2,466,986 10,339,558
Restricted cash 6,000,000 6,000,000
Total assets 80 155 434 93 895 219

For more information, please see the Company’s condensed consolidated interim financial statements and MD&A for the quarter ended September 30, 2022, which have been filed on SEDAR at and posted on the Company’s website. the Company at www.monarchmining. com.

The Company announced on September 27, 2022 that it had initiated a strategic review of its assets and operations with the aim of maximizing value for the Company and its stakeholders. On November 9, 2022, the Monarques Board of Directors formed a special committee to lead this strategic review to assess a range of alternatives, which could include the sale of part or all of the Company or its assets, a merger or other business combination with another party, a potential investment in Monarch or other strategic initiatives.

The Company will need additional financing before the end of 2022 to improve its working capital, meet its debt payment obligations and enter into payment agreements with its suppliers. Monarch management has made good progress in its discussions with suppliers and creditors. In addition, a number of selected parties have been contacted by management regarding the Company’s assets. However, there can be no assurance that the strategic review process will progress in such a way as to enable a transaction or transactions to be completed in a timely manner and generate sufficient value to meet the Company’s obligations.

About Monarch
Monarch Mining Corporation (TSX: GBAR) (OTCQX: GBARF) is a gold mining company with four projects, including the Beaufor Mine, which is currently in care and maintenance and has produced over one million ounces gold over the past 30 years. . Other assets include the Croinor Gold, McKenzie Break and Swanson properties, all located near the 100% owned Beacon mill by Monarch and with a nameplate capacity of 750 tpd. Monarch owns 29,504 hectares (295 km2) mining assets in the prolific Abitibi mining camp which contain combined measured and indicated gold resources of 666,882 ounces and combined inferred resources of 423,193 ounces.

Forward-looking statements
All statements, other than statements of historical facts, contained in this press release, including, but not limited to, those describing the timing of the initiatives described in this press release, the conclusion of one or more agreements sale, debt settlement agreements, merger or other combination commercial agreements, the Company’s commitments and initiatives described in the press release, the expected results of the initiatives described in this press release, the positive impact of what foregoing on the economics of the project, and statements that are discussed in the “About Monarch” paragraph and elsewhere in the press release that essentially describe the outlook and objectives of the Company, constitute “forward-looking information” or “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of Canadian law and are based on expectations, estimates and projects ions at the time of this press release. Forward-looking statements are necessarily based on a number of estimates and assumptions which, although considered reasonable by the Company at the time of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. These estimates and assumptions may prove to be incorrect.

Forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially from those anticipated or implied by the forward-looking statements. Risk factors that could cause actual results or events to differ materially from current expectations include, among others, the Company’s ability to continue as a going concern, the Company being a going concern capable of realizing its assets and discharge its debts in the normal course of its activities. as they mature in the foreseeable future, the generation of interest for its consideration of a range of alternatives, either the sale of part or all of the Company or its assets, a merger or other business combination with another party, a potential investment in Monarques, debt restructuring or other strategic initiatives with the objective of maximizing the return on the Company’s assets, the Company’s ability to implement successfully its strategic initiatives and whether these strategic initiatives will produce the expected benefits, the availability of financing or financing on favorable terms for the Company, the business conditions of the Company will not materially adversely affect the expectations that the activities of the Company will continue in the normal course, litigation as well as cash flow and capital structure risks and co general merchants. A more detailed description of the risks and uncertainties can be found in Monarques’ Annual Information Form dated September 28, 2022, including in the section thereof entitled “Risk Factors”, which is available on SEDAR at www. Unpredictable or unknown factors not discussed in this cautionary statement could also materially adversely affect any forward-looking statements.

Many of these uncertainties and contingencies may directly or indirectly affect, and could cause, actual results to differ materially from those expressed or implied by the forward-looking statements. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are provided for the purpose of providing information about management’s expectations and plans regarding the future. The Company disclaims any intention or obligation to update or revise any forward-looking statements or to explain any material differences between subsequent actual events and such forward-looking statements, except to the extent required by applicable law.

Neither TSX nor its Regulation Services Provider (as that term is defined in the TSX Handbooks) accepts responsibility for the adequacy or accuracy of this release.

Further information regarding the Company is available on the SEDAR database ( and on the Company’s website at:

Jean-Marc Lacoste
President and CEO
[email protected]
Mathieu Seguin
Vice President, Corporate Development
[email protected]

Table 1: Combined Monarques Gold Resources

Mineral Resource Estimates Tons
To note
Beaufor mine1
Resources measured 328,500 5.7 59,900
Indicated Resources 956,400 5.2 159,300
Total measured and indicated 1,284,900 5.3 219 200
Inferred total 818,900 4.7 122,500
Croinor Gold2
Resources measured 97,700 6.24 19,600
Indicated Resources 805 900 6.50 168,300
Total measured and indicated 903 600 6.47 187,900
Inferred total 200 100 6.19 39,800
McKenzie Break3
In pit
Total indicated 1,441,377 1.80 83,305
Inferred total 2,243,562 1.44 104,038
Total indicated 387,720 5.03 62,677
Inferred total 1,083,503 4.21 146,555
In pit
Total indicated 1,864,000 1.76 105,400
Inferred total 29,000 2.46 2,300
Total indicated 91,000 2.86 8,400
Inferred total 87,000 2.87 8,000
Measured and indicated resources
Inferred resources
423 193
1 Source: NI 43-101 Technical Report and Mineral Resource Estimate for the Beaufor Mine Project, October 13, 2021, Val-d’Or, Quebec, Canada, Charlotte Athurion, P. Geo., Pierre-Luc Richard, P. Geo. , and Dario Evangelista, P.Eng., BBA Inc.
2 Source: NI 43-101 Technical Report and Mineral Resource Estimate for the Croinor Gold Project, June 17, 2022, Val-d’Or, Quebec, Canada, Olivier Vadnais-Leblanc, P.Geo., Carl Pelletier, P.Geo. and Eric Lecomte, P.Eng., InnovExplo Inc.
3 Source: NI 43-101 Technical Evaluation Report on the McKenzie Break Property, October 14, 2021, Val-d’Or, Quebec, Canada, Alain-Jean Beauregard, P.Geo., Daniel Gaudreault, P.Eng., de Geologica Groupe-Conseil Inc., and Merouane Rachidi, P.Geo., Claude Duplessis, P.Eng., of GoldMinds GeoServices Inc.
4 Source: NI 43-101 Technical Report and Mineral Resource Estimate for the Swanson Project, January 22, 2021, Val-d’Or, Quebec, Canada, Christine Beausoleil, P. Geo. and Alain Carrier, geo., InnovExplo inc.
5 Numbers may not add due to rounding.

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