Pasinex Confronts Trading Restrictions Amid Financial Delays
Today, Pasinex Resources Limited (CNSX: PSE, Frankfurt: PNX) faces a significant setback as the British Columbia Securities Commission has issued a Failure to File Cease Trade Order (FFCTO). This order prohibits trading of the company's securities throughout Canada, impacting the ability to trade common shares specifically on the Canadian Securities Exchange (CSE).
Reasons for the Issuance of the Cease Trade Order
The FFCTO arises from a delay in submitting Pasinex's audited annual consolidated financial statements, which were due by April 30 of this year. This include the essential Management’s Discussion and Analysis (MD&A) and other necessary certifications, collectively referred to as the "Required Documents".
One of the main factors contributing to this delay is the recent change in leadership within the organization, specifically the resignation of the Chief Financial Officer (CFO) in late 2024. The transition of appointing a new auditor and a new CFO in Canada has also exacerbated the situation.
Internal Changes Impact Audit Completion
Moreover, changes in leadership at Pasinex A?, the company's Turkish subsidiary, have further complicated the situation. These changes have led to extended timelines for the audit of the Turkish subsidiary, which ultimately caused unforeseen delays in preparing the consolidated financial statements.
Commitment to Filing and Future Updates
Pasinex is actively collaborating with both internal accounting teams and external auditors to hasten the completion of the audit process. The company is optimistic about filing the Required Documents soon. Until these documents are submitted, the FFCTO will remain in effect. However, the company assures stakeholders that the cease trade order will be lifted promptly once the necessary filings are completed, and they will continue to provide updates as new information becomes available.
Understanding Pasinex Resources Limited
Pasinex Resources Limited is a mining entity located in Canada, dedicated to developing a lucrative zinc mining operation. The company focuses on acquiring and developing high-grade zinc deposits in Türkiye, where zinc grades range between 25 to 50%, and in Nevada, where grades fluctuate from 14 to 24% zinc.
Over the past decade, Pasinex has established a joint venture in Türkiye that has successfully produced over 160 million pounds of zinc, translating to sales exceeding $125 million CAD, derived from mining over 200,000 tonnes of ore with remarkable zinc grades ranging from 30% to 50%.
Current Mining Projects and Future Potential
Currently, Pasinex is prioritizing efforts on advancing properties like Sarikaya, already in operation at attractive zinc grades. Furthermore, it's noteworthy that the company holds a 51% interest in the Gunman Project, a high-grade zinc exploration initiative situated in Nevada.
Pasinex boasts a robust management team with extensive experience in mineral exploration and mining project advancement. Their mission revolves around extracting high-grade ore and driving growth, benefiting shareholders, employees, and the communities surrounding operations while maintaining a strong commitment to health, safety, and environmental responsibilities.
Company Contact Information
For more details about the company, interested parties may reach out to:
Ian D. Atacan
Chief Financial Officer
Phone: +1 416.562.3220
Email: ian.atacan@pasinex.com
Evan White
Manager of Corporate Communications
Phone: +1 416.906.3498
Email: evan.white@pasinex.com
Frequently Asked Questions
What is the current status of Pasinex Resources Limited?
Pasinex is currently facing a cease trade order due to delays in filing its financial statements, but is actively working to resolve this situation.
Why was the cease trade order issued?
The cease trade order was issued due to a delay in the submission of required audited financial documents, caused by internal leadership changes.
How does Pasinex report its performance in zinc mining?
Over the last decade, Pasinex has produced significant amounts of zinc, totaling over 160 million pounds, generating substantial sales and establishing a strong operational presence.
What actions is Pasinex taking in response to the FFCTO?
Pasinex is collaborating with its accounting team and external auditors to expedite the audit process and ensure the required documents are filed promptly.
What are the key projects of Pasinex Resources Limited?
The company is focused on advancing its high-grade zinc properties in Türkiye and holds a significant interest in the Gunman Project located in Nevada.
