EDMONTON, ALBERTA -- July 29, 2009 -- Titanium Corporation Inc. (the "Company") (TSX-V: TIC) today released its financial results for the three and nine month periods ended May 31, 2009. The Company carried out a high level of R&D activity and spending during the period. Programs are advancing on track with solid progress in bitumen removal and recovery.
For the third fiscal quarter of 2009:
Scott Nelson, the Company's President and Chief Executive Officer stated "We are very pleased with our progress this past quarter and are well positioned with Government support for our programs." He also commented that "In addition to the progress with R&D, we continue to focus our attention on reducing our G&A overhead costs. The Company moved its head office to Edmonton, Alberta and hired a new CFO located in Edmonton in May 2009. The move will consolidate functions and more efficiently support the progress of our Alberta based Oil Sands Project."
R&D -- During the quarter, the technical programs continued to focus on the challenges of removing residual bitumen from the heavy minerals and recovering bitumen from the tailings stream. R&D expenses, net of the government grant, increased significantly in the quarter to $738 thousand from $205 thousand in the comparable quarter of fiscal 2008 and reflect a higher number of research projects and increased research activity.
Bitumen Removal and Recovery -- During the current quarter, the Company completed a 4 week continuous pilot program which was aimed at testing a flow sheet for bitumen recovery. The preliminary results are encouraging and will assist in the design of a larger-scale demonstration pilot planned for 2010.
Minerals Concentration and Separation -- During the current quarter, the Company continued the on- going work to process cleaned heavy mineral concentrate and minerals separation at its Regina facility.
G&A -- General & Administrative (G&A) expense decreased from $621 thousand for the three months ended May, 2008 to $551 thousand for the three months ended May, 2009 with reductions in most cost categories. For the nine month period of 2009, G&A expenses have been reduced to $1.8 million from $2.1 million in the 2008 nine month period.
Cash & Interest income -- The Company's cash position at May 31, 2009 was $16.6 million (including short-term investments and $3.6 million in restricted cash relating to the Alberta Government grant). This compares to $17.8 million at the end of the February, 2009 (the fiscal second quarter) and $20.6 million at August 31, 2008. Interest income decreased during the quarter due to continued lower interest rates and lower cash balances.
To view the Company's Management Discussion and Analysis and Financial Statements for the quarter ended May 31, 2009, please visit our website at www.titaniumcorporation.com or SEDAR at www.sedar.com.
About Titanium Corporation Inc.
Titanium Corporation Inc. is developing the technology necessary to recover heavy minerals and bitumen contained in the waste tailings streams from oil sands mining operations near Fort McMurray, Alberta. The potential benefits from this "Creating Value from Waste TM" proposition are twofold. First, the recovered minerals will have intrinsic value and will provide shareholders with a source of revenue. Second, by using an integrated approach to recovering minerals and bitumen, there is potential for industry-wide environmental benefit. The Company's shares trade on the TSX-V under the symbol TIC. For more information visit the Company's website at www.titaniumcorporation.com.
Disclosure regarding forward-looking statements
Certain statements contained herein regarding the Company and its plans constitute "forward-looking statements" within the meaning of Canadian securities laws. By their nature, forward-looking statements require the Company to make assumptions and are subject to inherent risks and uncertainties. There is a significant risk that predictions, forecasts, conclusions, projections, and other forward-looking statements will not prove to be accurate. We direct you to our statement of risks and uncertainties more particularly described and updated in the Company's Management Discussion and Analysis filed for the period ended May 31, 2009 on SEDAR (www.sedar.com). Most notably these risks include, but are not limited to risks associated with the advancement of research and development programs including the successful commercial recovery of bitumen and heavy minerals and operating or technical difficulties in connection with development activities.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information, contact:
President & CEO
Tel: (403) 561-0439
Vice President Finance & CFO
Tel: (780) 760-0512 ext 302
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