TORONTO, ONTARIO--(Marketwired - June 11, 2015) - EPM Mining Ventures Inc. ("EPM" or the "Company") (TSX VENTURE:EPK)(OTCQX:EPKMF) today announced the creation of the "Utah High Cost Infrastructure Development Tax Credit," (the "Infrastructure Tax Credit"), which was passed during the Utah 2015 annual legislative session. The bill could have a direct positive impact on the Company's Sevier Playa Sulphate of Potash ("SOP") Project located in southwestern Utah (the "Project").
"The state of Utah has demonstrated its intention to aggressively retain its title as one of the best states for business," said Lance D'Ambrosio, Chief Executive Officer of EPM. "The Infrastructure Tax Credit was tailor-made for companies like ours which are looking to develop Utah's rich mineral resources and to expand Utah's economic future. The impact of the Infrastructure Tax Credit is very significant because the qualifying utility infrastructure costs under the incentive are projected to be as much as $150 million so the program has the potential to substantially reduce net capital expenditure costs."
Senate Bill 216 ("SB 216") was signed into law by Utah Governor Gary Herbert on March 30, 2015, creating the Infrastructure Tax Credit. The Infrastructure Tax Credit is a post-performance tax credit for all state taxes generated by a new business or expansion of an existing business in the state of Utah and provides for a total tax incentive over a twenty-year period of up to 50% of "qualifying infrastructure" costs incurred by the business. "Qualifying infrastructure" is defined to include, among other things: transmission lines, power substations, gas lines, rail facilities, road improvement projects, water self-supply projects, and water removal system projects.
"This bill was the culmination of several years of work to provide a robust incentive for businesses looking to locate in rural Utah," said Senate Majority Leader, Ralph Okerlund, who sponsored SB 216. "The Sevier Lake Playa potash project was one of several key businesses that were contemplated in the design of the Infrastructure Tax Credit due to their enormous economic potential to the state of Utah."
"The Infrastructure Tax Credit created by SB 216 has the potential to change the economic landscape of rural Utah," said Utah Lieutenant Governor Spencer Cox. "As a state, we have made the conscious decision to invest in Utah's future and SB 216 unequivocally targets rural Utah where developments like the Sevier Playa Project, among others, have historically had high barriers to entry due to the remoteness of their locations and the unavailability of essential infrastructure."
Jason Chang, Managing Director and CEO of EMR Capital said, "From an investor's perspective, the Infrastructure Tax Credit demonstrated two key points to our company. First, the state of Utah is seeking to pursue economic development across the state, and second, from a financial perspective, the Infrastructure Tax Credit reduces Sevier Playa Project risk. These factors played a role in our company's decision to take an equity position in EPM."
The Infrastructure Tax Credit became effective on May 12, 2015 and the Utah Office of Energy Development ("OED") will serve as the hosting government agency to process the application and issuance of tax credits. The Company will be working closely with OED to maximize the timing and financial benefit of the program.
About EPM Mining Ventures
EPM is a development-stage company focused on specialty fertilizers. Through Peak Minerals Inc., its indirect wholly owned subsidiary, EPM controls directly or through agreement, mineral leases on more than 124,000 acres on its Sevier Lake Playa property in Millard County, Utah. With a brine resource known to contain potassium, magnesium, sulphate, lithium, and a suite of other beneficial minerals, EPM is targeting the development and production of specialty fertilizers, including SOP, through the use of a cost-effective solar evaporation process. SOP and other specialty fertilizers are used in the production of high value, chloride-sensitive crops such as fruits, vegetables, and tree nuts. With the completion of a Preliminary Feasibility Study, EPM is currently engaged in engineering and analysis designed to support a feasibility study, environmental permitting, and ultimately mineral production.
For more information, please visit our web site at www.epmmining.com.
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Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, information with respect to the Offering and the closing thereof, the entry by the parties into a Relationship Agreement, the exercise of Warrants, the exercise by EMR of its Investment Right and obtaining any applicable regulatory approvals therefor, the appointment of the Subscription Nominees and EPM's future business. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of EPM to be materially different from those expressed or implied by such forward-looking information, including risks associated with the future business and development of EPM and the actual terms of any agreement that would be entered into in respect of the transactions described in this press release. Although EPM has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. EPM does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Contact Information:
Lance D'Ambrosio
Chief Executive Officer
801-485-0223