Odyssey Marine Exploration Reports First Quarter 2021 Results
Odyssey Marine Exploration (NASDAQ: OMEX) reported Q1 2021 results and outlined plans for growth. The company aims to enhance financial stability by developing existing projects and acquiring new ones. A significant focus is on the ExO Phosphate Project, which has faced delays due to NAFTA-related issues with Mexico. Despite these challenges, Odyssey remains committed to building a strong mineral resource portfolio. The company is preparing rebuttals to Mexico's claims and seeks to recover its project's value. Odyssey emphasizes environmentally responsible exploration for vital global resources.
- Plans to enhance financial stability and reduce debt.
- Focus on expanding mineral portfolio with new projects.
- Commitment to responsible exploration of deep-ocean resources.
- Delays in ExO Phosphate Project due to NAFTA claim against Mexico.
- Uncertainty surrounding the potential recovery of project value.
TAMPA, Fla., May 17, 2021 (GLOBE NEWSWIRE) -- Odyssey Marine Exploration, Inc. (NASDAQ:OMEX), a deep-ocean exploration pioneer engaged in the discovery, validation and development of subsea minerals deposits in an environmentally responsible manner, reported results for the first quarter ended March 31, 2021, and provided an update on current projects and future plans.
“In 2020 we set and achieved a series of ambitious goals. Building on this momentum, we have outlined a series of new goals for 2021, focused on increasing the value and financial stability of our company. We plan to add projects to our expanding mineral portfolio while simultaneously increasing the value of our existing projects by further advancing their development stages. We are working on plans to reduce our debt and enhance our financial strength. We will also be focused on increasing communication of our progress with shareholders and the investment community,” commented Mark D. Gordon, Chairman and CEO of Odyssey
“While some investors may be focused solely on the outcome of the NAFTA claim currently in process against Mexico, Odyssey remains focused on continuing to build a strong portfolio of valuable mineral resource projects around the world in a variety of mineral sets. Our mission is to provide access to critically needed deep-ocean resources in an environmentally responsible manner. As we develop and de-risk these projects, our portfolio will increase in value, not only creating shareholder value but also providing significant benefits to society,” said Gordon. “Through our research, project development and environmental studies, we are committed to responsible exploration of the subsea mineral resources that are required to power the e-revolution, build vital infrastructure and in the case of phosphorite, feed the world's growing population.”
“We have made significant progress with our Global Prospectivity Program, a proprietary system designed to add new mineral projects to our portfolio. While continuing to research future mineral deposits that can transform societies and economies for generations to come, we are actively preparing applications for multiple new projects. Planning and budgeting have also been underway for offshore expeditions to advance and increase the value of two existing projects. Additionally, we are continuing to increase our ownership interest in existing projects through strategic investments, or a leveraged contracting model, trading our ocean exploration expertise for equity stakes in projects of interest to us.
“To date, the ExO Phosphate Project has been our most significant and potentially valuable project. Although we had planned for this deposit to be delivering phosphorite for fertilizers by now, Mexico’s actions, which we believe are in violation of the North American Free Trade Agreement (NAFTA), have prevented the project from moving into production. After thoroughly reviewing Mexico’s Counter Memorial with our expert team, we remain extremely confident in the merits of our case and the value of the deposit. We will continue to pursue every action we believe is necessary to recover the full value of our ExO Phosphate project,” concluded Gordon.
In September 2020, Odyssey’s legal team filed a strong and compelling First Memorial in the NAFTA case. The Memorial demonstrates the merits of the case, the strategic size and grade of the resource, the operational viability of the project, and the project’s value. The document is available https://www.odysseymarine.com/nafta. In February 2021, Mexico filed its Counter Memorial. Odyssey’s legal team is currently preparing a robust rebuttal to Mexico’s filing and expects to have it submitted to the Tribunal in accordance with the current procedural schedule issued by the Tribunal. The NAFTA hearing is scheduled for January 2022 unless the case is settled earlier by the parties.
Additional information about the NAFTA case and consolidated financial statements are incorporated into Odyssey’s Quarterly Report on Form 10-Q for the period ended March 31, 2021, which is available on the company’s website at www.OdysseyMarine.com as well as at www.sec.gov.
About Odyssey Marine Exploration
Odyssey Marine Exploration, Inc. (Nasdaq:OMEX) is engaged in ocean exploration using innovative methods and state-of-the-art technology to provide access to mineral resources worldwide. Our core focus is the discovery, validation and development of subsea mineral resources. Odyssey also provides marine services for private clients and governments. For additional details, please visit www.odysseymarine.com.
Forward Looking Information
Odyssey Marine Exploration believes the information set forth in this Press Release may include "forward looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. Certain factors that could cause results to differ materially from those projected in the forward-looking statements are set forth in "Risk Factors" in Part I, Item 1A of the Company's Annual Report on Form 10-K for the year ended December 31, 2020, which was filed with the Securities and Exchange Commission on March 31, 2021. The financial and operating projections as well as estimates of mining assets are based solely on the assumptions developed by Odyssey that it believes are reasonable based upon information available to Odyssey as of the date of this release. All projections and estimates are subject to material uncertainties and should not be viewed as a prediction or an assurance of actual future performance. The validity and accuracy of Odyssey's projections will depend upon unpredictable future events, many of which are beyond Odyssey's control and, accordingly, no assurance can be given that Odyssey's assumptions will prove true or that its projected results will be achieved.
Cautionary Note to U.S. Investors
The U.S. Securities and Exchange Commission (SEC) permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms in this press release, such as "measured", "indicated," "inferred" and "resources," which the SEC guidelines strictly prohibit us from including in our filings with the SEC. "Inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. U.S. investors are cautioned not to assume that part or all of the inferred mineral resource exists, or is economically or legally mineable, and are urged to consider closely the disclosures in our Form 10-K which may be secured from us or from the SEC's website at http://www.sec.gov/edgar.shtml.
CONTACT:
Laura Barton
Odyssey Marine Exploration, Inc.
(813) 876-1776 x 2562
laura@odysseymarine.com
FAQ
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