Business
Centurion Provides Ana Sofia Operational Update and Initiates Assessment of Strategic Alternatives
Vancouver, British Columbia--(Newsfile Corp. - April 1, 2019) - Centurion Minerals Ltd. ( TSXV...
About this update from Centurion Minerals Ltd.
[{"type":"text","content":"Centurion Provides Ana Sofia Operational Update and Initiates Assessment of Strategic AlternativesVancouver, British Columbia--(Newsfile Corp. - April 1, 2019) - Centurion Minerals Ltd. (TSXV: CTN) (\"Centurion\", or the \"Company\") wishes to update investors on current activities:ANA SOFIA UPDATE The Company's Ana Sofia Agri-Gypsum Project (\"Ana Sofia\"), continues to be plagued by unfavorable external market conditions. Initially it was extreme weather conditions that reduced demand and currently it is severe economic conditions, specifically credit markets and inflation that have severely restricted the agriculture industry's ability to access credit.The Company does not anticipate much activity in the industry until such time as the market for fertilizers normalizes and the availability of credit returns. The Company and its partner, Demetra Fertilizantes (\"DFSA\") anticipate both issues will be resolved within 2019. In the interim, the Company has taken steps to reduce the Ana Sofia overhead and the project is on standby mode while it continues to pursue the following initiatives:1) The 7,500 tonnes purchase order from a Paraguayan distributor remains committed (see news releases dated September 12, November 14, and December 24, 2018) and regular communication is occurring between DFSA and the distributor. Agronomists responsible for overseeing gypsum application with the underlying agricultural client continue to delay applications until local conditions have improved.2) Due to the ongoing currency crisis in Argentina, credit markets remain muted. DFSA has received multiple inquiries from Argentine distributors interested in supplying agri-gypsum fertilizer to their clients provided DFSA extends 90 to 120-day credit facilities to the underlying clients. Given the uncertainty related to inflation rates in Argentina, DFSA is not able to provide, or secure such credit facilities. As such, DFSA is continuing to work with distributors to identify clients with an ability to pay in a temporary credit-constrained economy.\"The Company is committed to ensuring the Ana Sofia project can be restarted immediately upon an improvement in the fertilizer and credit markets. In the interim we have been actively seeking strategic alternatives to revalue the Company, \" said David Tafel, President and Chief Executive Officer of Centurion....