Trench Metals Corp (TMC)

[Golden Cross]

Novateqni Corporate Update and Board and Management Changes
https://backend.otcmarkets.com/otcapi/company/dns/news/document/34372/content
FOR IMMEDIATE RELEASE

December 24, 2018 – Calgary, Alberta – NovaTeqni Corporation (“NovaTeqni” or the "Company") (TSXV
- NTQ: OTCQB – NVTQF) provides the following update on Board, Management and Operations changes
Board Changes
The Company announces today that Gerhard Mynhardt has resigned as President, Chief Executive
Officer and Director of Novateqni Corporation effective immediately.
Mr. Jean Pomerleau has been appointed to the Board of Directors to fill the vacancy created by the
resignation of Mr. Mynhardt. Mr. Pomerleau will also serve as the Company’s President and Chief
Executive Officer.
Mr. Pomerleau has been involved in public markets for over 20 years. Mr. Pomerleau has his own
consulting company that assists companies in raising capital and development of their core assets.
Mr. Pomerleau along with the rest of the Board will be examining the current business of the Company
and looking at other opportunities to move the Company forward.
Corporate Update
The Company has been examining various alternatives to reduce overhead and increase profitability. As
a result, the Company has decided to return to an outsourcing model for any development and for any
contracts that it is awarded in the future. The Company’s reliance on winning tenders, which are
unpredictable, makes it very difficult to forecast revenues and to fund operations in between the
winning of tenders which also vary in amounts.
As a first step to achieve the switch to an outsourcing model, Mr. Mynhardt, the Company’s former
President and CEO, will be taking over ownership of the subsidiaries of the Company being Novateqni
South Africa (Pty) Limited, Novateqni Hong Kong Limited and Novateqni USA LLC. Novateqni South
Africa (Pty) Limited and Novateqni USA LLC will be transferred with an effective date of November 1,
2018 and Novateqni Hong Kong Limited will be transferred on or near January 1, 2019. In addition,
Novateqni South Africa will be transferred the Company`s current Long Term Award contracts (“Long
Term Awards”) and the warranty, service and support requirements of the Company’s recently
completed Burkina Faso contract in addition to the Burkina Faso Contract itself in the event any future
sales are generated from the award. No additional sales are anticipated from the Burkina Faso Contract
at this time and all contract transfers are subject to approval by the awarding party. Novateqni South
Africa (Pty) Limited will fund and execute any purchase orders received under the Long Term Awards
and will fund and execute any additional sales under the Burkina Faso Contract. For transferring the
various contracts, the Company will receive a 5% royalty on sales under the contracts. Novateqni South
Africa (Pty) Limited will also fulfill all warranty and service and support requirements for the sales
completed during 2018 at no cost to Novateqni. These actions reduce the monthly overhead of the
Company and will help improve profitability while the Company pursues other contracts and reviews
alternatives. In addition it removes any liability for warranty and service and support of the Burkina
Faso contract from the Company. Novateqni will still be able to participate in the execution and funding
of any outsourced contracts with terms to be negotiated on a case by case basis over and above the
royalty indicated above.
About Novateqni
NovaTeqni is a technology based company that is focusing on biometrics and financial technologies.
NovaTeqni provides solutions and products for voter validation, voter registration, financial transactions
and biometric solutions.
For further information,