Jupiter Gold Corporation Guides on Potential to Become Cash Flow Positive After First Royalty Project Starts Production
BELO HORIZONTE, Brazil, May 22, 2019 (GLOBE NEWSWIRE) -- via OTC PR WIRE -- Jupiter Gold Corporation (OTC: JUPGF, "Jupiter Gold" or the "Company") today reported that its first royalty project, the Pindaíba Project, operated by Brazil Minerals, Inc. (OTC: BMIX, "Brazil Minerals") is expected to begin production in the third quarter of 2019. The Company's gold recovery plant will be utilized in operations and Jupiter Gold will receive a 50% royalty on gold revenues. Brazil Minerals will retain the other 50% as well as 100% of diamond revenues.
The Jequitinhonha Valley has been mined for gold and diamonds since the 1700's and new localized discoveries of attractive deposits are still being made. Pindaíba is the name of one such deposit area. Over ten years ago, more than a thousand settlers were mining Pindaíba, and have since been entirely removed. Prior settler activity is one of the strongest markers for a quality mining site, and this information was one of the criteria used in evaluating this project against other opportunities prior to a drilling campaign. In 2018, Brazil Minerals completed 35 drill holes in a subsection of Pindaíba. All drilled holes were positive for gold and a majority of them also showed specific mineral markers for diamonds.
Jupiter Gold expects that, with revenues generated from the royalty received from the Pindaíba Project, there exists a good probability that it will become cash flow positive, although no definite assurance can be given. As previously disclosed, the Company has no long-term debt and its bylaws prohibit the issuance of variable-rate convertible debt.
About Jupiter Gold Corporation
Jupiter Gold Corporation (OTC:JUPGF) is a near-revenue gold royalty company that also fully owns several exploratory-stage projects in Brazil in gold, palladium, platinum, and manganese. Jupiter Gold will be receiving 50% of the gold revenues from the Pindaíba Project, its first royalty project. Additionally, Jupiter Gold owns 100% of six gold projects, 100% of a gold/palladium/platinum project, and 100% of a manganese project, all totaling an aggregate of 101,366 acres (for comparison: almost seven times the size of the island of Manhattan).
Jupiter Gold is audited by a U.S. auditor and files reports regularly with the Securities and Exchange Commission. Its common stock trades in the U.S. over-the-counter market under the ticker symbol JUPGF and its shares may be transacted through various brokers-dealers such as TD Ameritrade, Inc., Glendale Securities, Inc. and Charles Schwab Corp. https://www.nasdaq.com/press-release/jupiter-gold-corporation-guides-on-potential-to-become-cash-flow-positive-after-first-royalty-20190522-00266