COTEC HOLDINGS CORP Stock Price, News & Analysis

CoTec Holdings Corp (CTHCF) reported Q3 2024 financial results with a comprehensive loss of $2.19 million for the quarter and $0.78 million for the nine months ended September 30, 2024. The loss was mainly due to adverse exchange rate impacts on investments ($381k) and equity incentive unit vesting ($822k). Key developments include filing a Preliminary Economic Assessment for Lac Jeannine Iron Tailings Project, showing pre-tax NPV7% of US$93.6M and IRR of 38%, progress on HyProMag USA's feasibility study, and raising $2.75 million through private placement. The company expects to begin project build-out in H2 2025 with first revenue anticipated by end of H2 2026.

Maginito (79.4% owned by Mkango, 20.6% by CoTec) has secured an exclusive agreement with Inserma Anoia S.L to commercialize automated pre-processing technologies for HyProMag in the UK, Germany, US, and other regions. The collaboration focuses on optimizing and rolling out technologies for hard disc drives (HDDs), loudspeakers, and electric motors.

Key points:

• Inserma's mobile unit can rapidly remove voice call motors containing rare earth magnets from HDDs in <3 seconds
• The technology provides a steady neodymium magnet scrap feed for HyProMag's HPMS process
• Initial purchase of three units for HDD pre-processing in UK, Germany, and US
• Collaboration aims to deploy hundreds of pre-processing units across multiple jurisdictions
• Agreement includes exclusive rights and intellectual property sharing

CoTec Holdings Corp. (TSXV:CTH)(OTCQB:CTHCF) has filed an independent National Instrument 43-101 technical report for its Lac Jeannine Iron Tailings Project in Québec, Canada. The report, dated August 5, 2024, with an effective date of March 19, 2024, includes a Mineral Resource Estimate and Preliminary Economic Assessment (PEA). The PEA results, previously announced on June 27, 2024, remain unchanged, with no material differences between the filed report and the earlier release. The company confirms that no new information materially affects the previously disclosed PEA results. The full technical report is now available on SEDAR+ and CoTec's website for public access.

CoTec Holdings Corp. (TSXV:CTH)(OTCQB:CTHCF) has filed its Q2 2024 financial results, reporting comprehensive income of $1.45 million for the quarter and $1.42 million for the six months ended June 30, 2024. Key highlights include:

1. Completion of the Lac Jeannine Iron Tailings Project PEA, showing an Initial Inferred Mineral Resource of 73 million tonnes at 6.7% total Fe and a pre-tax NPV7% of US$93.6 million.

2. Progress on the HyProMag USA Feasibility Study, on track for release by the end of fiscal 2024.

3. MagIron's signing of long-term mineral leases to support Plant 4 restart.

4. Appointment of Linda Lourie to HyProMag USA 's Board.

5. Raised $2.6 million through a non-brokered private placement.

The company aims to generate first revenue from HyProMag USA in 2026, demonstrating its strategy to bring production and revenues to market quickly with reduced environmental impact and capital intensity.

CoTec Holdings Corp. (TSXV:CTH)(OTCQB:CTHCF) has engaged San Diego Torrey Hills Capital, Inc. to provide market awareness and investor relations services, subject to TSX Venture Exchange acceptance. Torrey Hills, led by Cliff Mastricola, specializes in small and microcap companies. The firm will increase awareness about CoTec through its established relationships with investment professionals.

The engagement terms include:

• US$5,000 monthly rate for an initial six-month term
• Automatic extension with a 30-day termination notice
• One-time grant of 150,000 incentive stock options at C$0.50 per share for three years

Torrey Hills currently holds no direct or indirect interest in CoTec's securities, except for the potential exercise of the granted options.

Mkango Resources has provided an update on the commissioning of its short-loop rare earth magnet recycling and manufacturing plant at Tyseley Energy Park in Birmingham, UK. The plant, operated by HyProMag, is expected to start commercial operations in Q1 2025. Key milestones include:

- Magnet manufacturing presses commissioned in December 2023
- Powder processing plant delivered in July 2024
- HPMS vessel expected in September 2024
- Infrastructure development to commence in September 2024

Initial production is targeted at 25-30 tonnes per year of recycled NdFeB, with potential to scale up to 100-330 tonnes annually. The project aims to establish a domestic source of recycled rare earths in the UK, important for clean energy technologies and electronic devices.

CoTec Holdings Corp. (TSXV:CTH)(OTCQB:CTHCF) has announced the granting of stock options to company officers and a director. A total of 532,301 options were granted to an officer and director, while an additional 350,000 options were granted to other officers. The options, effective July 15, 2024, have a three-year vesting period and a ten-year validity. Of these, 682,301 options are exercisable at $0.50 per share, while the remaining 200,000 are exercisable at $0.75 per share. These options are governed by the company's Omnibus Equity Incentive Plan and are subject to TSX Venture Exchange policies.

CoTec Holdings Corp. (TSXV:CTH)(OTCQB:CTHCF) and Mkango Resources (MKA) have announced mid-project findings for HyProMag USA's bankable feasibility study. The study, 50% complete, aims to establish rare earth magnet recycling plants in the United States. Key points include:

- Targeted production of 500-800 tonnes per annum of NdFeB magnets
- Four shortlisted 'hub' sites in Fort Worth, Texas
- First U.S. magnet production targeted for H2 2026
- Discussions with U.S. government for funding support
- Project aligns with U.S. Defense Production Act requirements

The study, conducted by BBA USA Inc. and PegasusTSI Inc., is set to complete in Q4 2024, with site selection finalized and permitting to begin in Q1 2025.

CoTec Holdings Corp. (CTHCF) and Mkango Resources announce mid-project findings for HyProMag USA's bankable feasibility study on REE magnet recycling plants in the United States. Key points include:

1. Study is 50% complete, targeting completion in Q4 2024
2. Production capacity of 500-800 tonnes per annum of NdFeB magnets
3. Four shortlisted 'hub' sites in Fort Worth, Texas
4. First U.S. magnet production targeted for H2 2026
5. Discussions with U.S. government for funding support
6. Project aligns with U.S. Defense Production Act requirements

The study aims to establish a sustainable, domestic supply of NdFeB permanent magnets using HPMS recycling technology.