by Greg Klein | June 25, 2015
Initial results show progress in a plan to use alternative energy at the proposed Driftwood Creek magnesium project in southern British Columbia, MGX Minerals CSE:XMG reported June 25. The company also announced its addition to the Canadian Securities Exchange Composite Index and an increase in its private placement offer.
An initial desktop analysis indicated that biomass conversion could supply 93.3% of the heat energy necessary to conduct magnesia calcining in a multiple hearth furnace that would be installed at Driftwood Creek. Further analysis suggested that a specialized burner and fuel additive could supply the remaining energy, MGX added. The study was conducted by two strategic partners, Industrial Furnace Company and Highbury Energy.
MGX also announced its addition to the CSE Composite Index, “a broad measurement of market activity for securities” listed on the exchange. In addition the company doubled a private placement originally offered on June 2, now offered at up to two million shares at $0.30.
MGX issued 300,000 shares to the vendor of Driftwood Creek and 41,318 shares to the vendor of the Needles magnesite project, a California acquisition announced last week. Another 50,000 shares were issued to settle a $15,000 debt.
The company’s Driftwood Creek flagship currently undergoes permitting.