Olive Resource Capital Announces August 31, 2024 NAV of C$0.064 per Share

Rhea-AI Summary

Olive Resource Capital Inc. (TSXV: OC) has announced its unaudited Net Asset Value (NAV) per share of C$0.064 as of August 31, 2024. The company's share price at the end of August was C$0.025. The NAV breakdown includes investments in various companies, with the largest being Black Sheep Income Corp. at C$1,262,649. Working capital and liquid investments account for C$1,777,859. The company's President, CEO, CIO, and Director, Samuel Pelaez, noted that gold prices rallied to fresh all-time highs in August, outperforming other commodities. The company's NAVPS decreased by 3.7%, primarily due to a pullback in one of its best-performing investments, Midnight Sun Mining. Olive Resource Capital did not repurchase any common shares in August under its Normal Course Issuer Bid (NCIB).

Positive

• Gold prices rallied to fresh all-time highs in August, potentially benefiting gold-related investments
• The company maintains a diverse portfolio of investments across various resource sectors
• Working capital and liquid investments account for C$1,777,859, providing financial flexibility

Negative

• Company's NAVPS decreased by 3.7% in August
• Significant pullback in Midnight Sun Mining investment impacted overall portfolio performance
• Company's share price (C$0.025) is trading at a significant discount to its NAV (C$0.064)

Toronto, Ontario--(Newsfile Corp. - September 9, 2024) - Olive Resource Capital Inc. (TSXV: OC) ("Olive" or the "Company") is pleased to provide investors an updated, unaudited Net Asset Value ("NAV") per share. Management has estimated the NAV of the Company at C$0.064 per share for August 31, 2024 (Table 1). At the end of August, the Company's price per share was C$0.025.

Table 1: Olive NAV Breakdown

Name	Ticker	Value	Value per Share ($)
Black Sheep Income Corp.	Private	$1,262,649	0.012
Guided Therapeutics Inc.	Private	$402,574	0.004
Omai Gold Mines Corp.	OMG: TSXv	$288,000	0.003
Silver47 Exploration Corp.	Private	$237,500	0.002
Mawson Gold Ltd.	MAW: TSXv	$225,000	0.002
Working Capital and Liquid Investments (1)(2)	-	$1,777,859	0.017
Other Public Equity Investments	-	$1,770,883	0.017
Other Private Equity Investments	-	$695,036	0.007
Other Merchant Banking Investments	-	$94,580	0.001
Total		$6,754,080	0.064

 

1. Working Capital is calculated as cash, adjusted for management's estimate for known liabilities and is subject to change with future estimates or financial reports.
2. Olive defines Liquid Investments as investments whose position can be liquidated in less than one day's average trading volume for that security.

Samuel Pelaez, the Company's President, CEO, CIO, and Director stated: "Gold prices rallied to fresh all-time highs in August, outperforming the rest of the commodity complex. Copper prices were relatively flat, and oil prices dropped anticipating an increase in OPEC output. Major resource equities underperformed their respective commodities. The US dollar dropped to a strong resistance level and so far has held it, suggesting a short term rebound in the US dollar is possible. While Olive remains well deployed into both the larger and the junior resource space, we are cautious heading into the September through November period which typically marks a weak season for risk appetite and commodity returns."

Derek Macpherson, Executive Chairman stated: "Olive's NAVPS, was down 3.7%, driven by one of our best performing investments in July, Midnight Sun Mining, having a material pullback in August. While we had been able to reduce a portion position prior to the pullback it still had a significant impact on our NAVPS, despite the rest of the portfolio performing well."

Normal Course Issuer Bid ("NCIB")

During the month of August, the Company did not repurchase common shares pursuant to its NCIB. As of the date of this release, the Company holds 3,030,000 common shares in treasury pending cancellation.

As of the date of this release Olive Resource Capital Inc. has 109,174,709 common shares outstanding.

Use of Non-GAAP Financial Measures:

This press release contains references to NAV or "net asset value per share" which is a non-GAAP financial measure. NAV is calculated as the value of total assets less the value of total liabilities divided by the total number of common shares outstanding as at a specific date. The term NAV does not have any standardized meaning according to GAAP and therefore may not be comparable to similar measures presented by other companies. There is no comparable GAAP financial measure presented in the Company's consolidated financial statements and thus no applicable quantitative reconciliation for such non-GAAP financial measure. The Company believes that the measure provides information useful to its shareholders in understanding the Company's performance, and may assist in the evaluation of the Company's business relative to that of its peers. This data is furnished to provide additional information and does not have any standardized meaning prescribed by GAAP. Accordingly, it should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP, and is not necessarily indicative of other metrics presented in accordance with GAAP. Existing NAV of the Company is not necessarily predictive of the Company's future performance or the NAV of the Company as at any future date.

About Olive Resource Capital Inc.:

Olive is a resource-focused merchant bank and investment company with a portfolio of publicly listed and private securities. The Company's assets consist primarily of investments in natural resource companies in all stages of development.

For further information, please contact:

Derek Macpherson, Executive Chairman at derek@olive-resource.com or by phone at (416)294-6713 or Samuel Pelaez, President, CEO & CIO at sam@olive-resource.com or by phone at (202)677-8513. Olive's website is located at www.olive-resource.com.

Neither the TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange Inc.) accepts responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange Inc. has in no way approved nor disapproved the information contained herein.

Cautionary Note Regarding Forward-Looking Statements: This press release contains "forward-looking information" within the meaning of applicable Canadian securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as "believes", "anticipates", "expects", "is expected", "scheduled", "estimates", "pending", "intends", "plans", "forecasts", "targets", or "hopes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "will", "should", "might", "will be taken", or "occur" and similar expressions) are not statements of historical fact and may be forward-looking statements.

This news release includes forward-looking statements that are subject to risks and uncertainties. Forward-Looking statements involve known and unknown risks, uncertainties, and other factors that could cause the actual results of Olive to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. All statements contained in this news release, other than statements of historical fact, are to be considered forward-looking. Although Olive believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to: past success or achievement does not guarantee future success; negative investment performance; downward market fluctuations; downward fluctuations in commodity prices and changes in the prices of commodities in general; uncertainties relating to the availability and costs of financing needed in the future; interest rate and exchange rate fluctuations; changes in economic and political conditions that could negatively affect certain commodity prices; an inability to predict and counteract the effects of COVID-19 on the business of the Company, including but not limited to the effects of COVID-19 on the price of commodities, capital market conditions, restriction on labour and international travel and supply chains; and those risks set out in the Company's public documents filed on SEDAR. Accordingly, readers should not place undue reliance on forward-looking information. Olive does not undertake to update any forward-looking information except in accordance with applicable securities laws.

This commentary is provided for general informational purposes only and does not constitute financial, investment, tax, legal or accounting advice nor does it constitute an offer or solicitation to buy or sell any securities referred to. The information provided in this recording has been obtained from sources believed to be reliable and is believed to be accurate at the time of publishing but we do not represent that it is accurate or complete and it should not be relied upon as such.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/222629

FAQ

What was Olive Resource Capital's (XTERF) NAV per share as of August 31, 2024?

Olive Resource Capital's (XTERF) NAV per share was C$0.064 as of August 31, 2024.

How did Olive Resource Capital's (XTERF) NAVPS change in August 2024?

Olive Resource Capital's (XTERF) NAVPS decreased by 3.7% in August 2024, primarily due to a pullback in its Midnight Sun Mining investment.

What was Olive Resource Capital's (XTERF) largest investment as of August 31, 2024?

Olive Resource Capital's (XTERF) largest investment as of August 31, 2024, was Black Sheep Income Corp., valued at C$1,262,649.

Did Olive Resource Capital (XTERF) repurchase any shares under its NCIB in August 2024?

No, Olive Resource Capital (XTERF) did not repurchase any common shares under its Normal Course Issuer Bid (NCIB) in August 2024.