Orsu Metals Orsu Metals Corporation results for the period ended September 30, 2015 (Unaudited)

 
TIDMOSU 
 
Orsu Metals Corporation results for the period ended September 30, 2015 (Unaudited) 
FOR:  ORSU METALS CORPORATION 
 
TSX, AIM SYMBOL:  OSU 
 
November 11, 2015 
 
Orsu Metals Corporation results for the period ended September 30, 2015 (Unaudited) 
 
LONDON, UNITED KINGDOM--(Marketwired - Nov. 11, 2015) - Orsu Metals Corporation ("Orsu" or the "Company"), the dual- 
listed (TSX:OSU)(AIM:OSU) London-based base and precious metals exploration and development company, today reports its 
unaudited results for the quarter ended September 30, 2015 ("Q3 2015"). A full Management's Discussion and Analysis of 
the results ("MD&A") and Consolidated Financial Statements (Unaudited) for Q3 2015 (the "Financials") will soon be 
available on the Company's profile on SEDAR (www.sedar.com) or on the Company's website (www.orsumetals.com). Copies 
of the MD&A and Financials can also be obtained upon request from the Company Secretary. 
 
The Financials have been prepared in accordance with applicable International Financial Reporting Standards ("IFRS"). 
 
All amounts are reported in United States Dollars ($) unless otherwise indicated. Canadian Dollars are referred to 
herein as CAD$ and British Pounds Sterling are referred to as GBP. 
 
The following information has been extracted from the MD&A and the Financials. Reference should be made to the 
complete text of the MD&A and the Financials. 
 
2015 THIRD QUARTER HIGHLIGHTS 
 
A year on year reduction of $0.7 million in net losses to $2.6 million for the nine months ended September 30, 2015, 
from $3.3 million for the nine months ended September 30, 2014, along with a year on year reduction of $0.7 million in 
net cash outflows. 
 
As at September 30, 2015 the Company had cash and cash equivalents of $5.5 million and estimates to have sufficient 
working capital to fund its exploration and administration obligations for the next 12 months. 
 
In September 2015, the Company announced the grant of a total of 15.7 million stock options (each an "Option") to 
directors, employees and consultants, with each Option entitled to purchase one common share of the Company (each 
a "Common Share") at an exercise price of CAD$0.02. Each Option vested with immediate effect and will expire on 
September 2, 2020. 
 
FINANCIAL RESULTS FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2015 
 
For the Q3 2015 the Company reported a net loss of $1.2 million compared to a net loss of $1.1 million for the three 
months ended September 30, 2014. 
 
The net loss of $1.2 million for Q3 2015 consisted of: administrative costs of $0.6 million ($0.62 million for the 
three months ended September 30, 2014), legal and professional costs of $0.1 million ($0.12 million for the three 
months ended September 30, 2014), exploration costs of $54,000 ($0.33 million for the three months ended September 30, 
2014), a stock based compensation charge of $0.1 million (nil for the three months ended September 30, 2014), a net 
foreign exchange loss of $0.3 million (nil for the three months ended September 30, 2014) and a net loss of $72,000 in 
relation to the disposal group asset held for sale (nil for the nine months ended September 30, 2014). 
 
As at September 30, 2015 the Company had net assets of $18.6 million ($21.1 million as at December 31, 2014) of which 
$5.5 million was held in cash and cash equivalents ($7.6 million as at December 31, 2014). 
 
Liquidity and capital resources 
 
As at September 30, 2015 the Company's main source of liquidity was unrestricted cash and cash equivalents of $5.5 
million, compared with $7.6 million as at December 31, 2014. 
 
The Company measures its consolidated working capital as comprising free cash, accounts receivable, prepayments and 
other receivables, less accounts payable and accrued liabilities. As at September 30, 2015 the Company's consolidated 
working capital was $5.1 million (compared with a consolidated working capital of $7.7 million as at December 31, 
2014). 
 
The Company's working capital needs as at September 30, 2015 included the funding for its exploration and development 
activities, future expenditure obligations of the Kogodai Project, its corporate and administrative expenditures 
requirements and potential contributions towards project finance, if and when arranged, in relation to the Karchiga 
Project, as deemed appropriate. The Company expects to fund its working capital requirements for 2015, other than as 
set out below for the Karchiga Project, and be able to contribute towards the pursuit of future growth opportunities 
(which may include acquiring one or more additional assets), if and when such opportunities arise, from its 
unrestricted cash of $5.5 million as at September 30, 2015 and potential net proceeds, if any, from the sale of the 
Akdjol-Tokhtazan Project. 
 
During the nine months to the end of Q3 2015 the net cash used by the Company's operating expenditures was $2.1 
million, compared to $2.8 million for the nine months ended September 30, 2014. 
 
The minimum working capital the Company estimates for the year is set out below: 
 
 
Estimated working capital requirements for 2015                         $000 
=--------------------------------------------------------------      ------- 
 
Estimated corporate and administration expenditure (1)                 2,760 
Estimated exploration expenditure for the Kogadai Project (2)            304 
                                                                     ------- 
Total                                                                  3,064 
 
Notes: 
 
(1)  Includes office expenditure at the Karchiga Project. 
(2)  Total expenditure obligation of $3.75 million over five years. 
 
 
In the Company's view, the consolidated working capital as at Q3 2015 is sufficient to satisfy its working capital 
needs, other than as described below in relation to the Karchiga Project, for at least the next twelve months. 
 
In order to achieve the Company's planned construction of mining facilities and commencement of mining operations at 
the Karchiga Project, if any, the Company will require an estimated initial CAPEX of $115 million for which the 
Company will be required to raise additional financing in the future. If the Company secures the required debt 
financing on acceptable commercial terms then it may also apply a proportion of its available unrestricted cash and if 
any, from the sale of the Akdjol-Tokhtazan Project, towards the project financing requirements as the Company 
determines necessary. To date the Company has been unable to secure the necessary finance required and as a result is 
also looking at alternative solutions, in addition to raising the complete finance for the necessary construction at 
the project, which include potential joint venture agreements, revenue sharing arrangements, off-take arrangements or 
the sale of part or all of the project. Whilst the Company has been successful in raising debt and other financing in 
the past, the Company's ability to raise additional debt and other financing may be affected by numerous factors 
beyond the Company's control, including, but not limited to, adverse market conditions and/or commodity price changes 
and economic downturn and those other factors that are listed under "Risks and Uncertainties" in the Company's 2014 
annual MD&A. 
 
 
Consolidated statements of net loss and comprehensive loss (Unaudited) 
(Prepared in accordance with IFRS) 
=--------------------------------------------------------------------------- 
 
                                    Three months ended    Nine months ended 
                                         September 30,        September 30, 
                                        2015      2014       2015      2014 
                                        $000      $000       $000      $000 
Operating expenses 
Administration                          (585)     (623)    (1,652)   (2,058) 
Legal and professional                  (115)     (122)      (326)     (406) 
Exploration                              (54)     (331)      (134)     (682) 
Stock based compensation                 (95)        -        (95)        - 
Stock based compensation - non 
 employees                                (5)        -         (5)        - 
Net foreign exchange losses             (323)      (21)      (360)     (191) 
Net loss from disposal group asset 
 held for sale                           (72)      (11)      (148)      (58) 
                                   -------------------- -------------------- 
                                      (1,249)   (1,108)    (2,720)   (3,395) 
                                   -------------------- -------------------- 
Unrealized (loss)/ gain on share 
 warrant liability                        (4)       36         36        69 
Finance income less finance 
 (expense)                                14        12         58        15 
                                   -------------------- -------------------- 
                                          10        48         94        84 
 
                                   -------------------- -------------------- 
Net loss and comprehensive loss       (1,239)   (1,060)    (2,626)   (3,311) 
                                   -------------------- -------------------- 
                                   -------------------- -------------------- 
 
Net loss attributable to: 
Owners of the parent                  (1,187)   (1,038)    (2,495)   (3,269) 
Non-controlling interest                 (52)      (22)      (131)      (42) 
                                   -------------------- -------------------- 
                                      (1,239)   (1,060)    (2,626)   (3,311) 
                                   -------------------- -------------------- 
                                   -------------------- -------------------- 
 
Loss per share (US dollar per 
 share) 
Basic                                 $(0.01)   $(0.01)    $(0.01)   $(0.02) 
Diluted                               $(0.01)   $(0.01)    $(0.01)   $(0.02) 
 
Weighted average number of common 

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 shares (in thousands)               182,696   182,696    182,696   182,696 
 
 
Consolidated Balance Sheets (Unaudited) 
(Prepared in accordance with IFRS) 
=--------------------------------------------------------------------------- 
 
                                               September 30     December 31 
                                                       2015            2014 
Assets                                                 $000            $000 
Current assets 
Cash and cash equivalents                             5,517           7,606 
Prepaid expenses and receivables                        612             545 
Assets of Akdjol-Tokhtazan Project held for 
 sale                                                 4,472           4,583 
                                            -------------------------------- 
                                                     10,601          12,734 
                                            -------------------------------- 
 
Non-current assets 
Property, plant and equipment                         9,021           9,036 
Other assets                                            500             832 
                                            -------------------------------- 
                                                      9,521           9,868 
 
                                            -------------------------------- 
Total assets                                         20,122          22,602 
                                            -------------------------------- 
                                            -------------------------------- 
 
Liabilities 
 
Current liabilities 
Accounts payable and accrued liabilities                665             377 
Deferred income                                         400             400 
Liabilities of Akdjol-Tokhtazan Project held 
 for sale                                               225             187 
Lease obligations                                       265               - 
                                            -------------------------------- 
                                                      1,555             964 
 
Non-current liabilities 
Share warrant liability                                  10              46 
Other liabilities                                         -             509 
                                            -------------------------------- 
                                                      1,565           1,519 
                                            -------------------------------- 
 
Equity 
Share capital                                       382,576         382,576 
Share purchase options                                  216           5,601 
Contributed surplus                                  34,045          28,560 
Non-controlling interest                               (700)           (569) 
Deficit                                            (397,580)       (395,085) 
                                            -------------------------------- 
                                                     18,557          21,083 
 
                                            -------------------------------- 
Total equity and liabilities                         20,122          22,602 
                                            -------------------------------- 
                                            -------------------------------- 
 
 
Consolidated Statements of Cash Flows (Unaudited) 
(Prepared in accordance with IFRS) 
=--------------------------------------------------------------------------- 
 
                                            Nine months ended September 30, 
                                                       2015            2014 
                                                       $000            $000 
Cash flows used by operating activities 
Net loss and comprehensive loss for the 
 period                                              (2,626)         (3,311) 
Items not affecting cash: 
  Depreciation                                           84              62 
  Unrealized exchange (gains)/ losses on 
   cash and cash equivalent balances                    (33)             19 
  Onerous lease provision release                      (244)              - 
  Share based payments                                  100               - 
  Unrealized derivative gain on share 
   warrant liability                                    (36)            (69) 
  Foreign exchange losses                               370             199 
                                            -------------------------------- 
                                                     (2,385)         (3,100) 
Changes in non-cash working capital: 
  Accounts receivable and other assets                    5             (76) 
  Accounts payable and accrued liabilities              326             513 
                                            -------------------------------- 
Net cash used by operating activities                (2,054)         (2,663) 
 
Cash flows used by investing activities 
  Expenditures on property, plant and 
   equipment                                            (68)           (124) 
                                            -------------------------------- 
Net cash used by investing activities                   (68)           (124) 
 
                                            -------------------------------- 
Net decrease in cash and cash equivalents in 
 the period                                          (2,122)         (2,787) 
                                            -------------------------------- 
 
  Cash and cash equivalents - Beginning of 
   period                                             7,607          11,343 
  Exchange gains/ (losses) on cash and cash 
   equivalent balances                                   33             (19) 
                                            -------------------------------- 
  Cash and cash equivalents - End of period           5,518           8,537 
                                            -------------------------------- 
                                            -------------------------------- 
 
Cash and cash equivalents per the 
 consolidated balance sheets                          5,517           8,536 
Included in the Akdjol-Tokhtazan Project 
 classified held for sale                                 1               1 
 
 
FORWARD-LOOKING INFORMATION 
 
This press release and the Company's MD&A contains or refers to forward-looking information. All information, other 
than information regarding historical fact that addresses activities, events or developments that the Company 
believes, expects or anticipates will or may occur in the future is forward-looking information. Such forward-looking 
information includes, without limitation, statements relating to: development and operational plans and objectives, 
including the Company's expectations relating to the continued and future maintenance, exploration, development and 
financing for, as applicable, of the Karchiga Project, and the Kogodai Project and the timing related thereto and its 
acquisition and development of new mineral exploration licenses, properties and projects; the Company's ability to 
satisfy certain future expenditure obligations; mineral resource and mineral reserve estimates; estimated project 
economics, cash flow, costs, expenditures, revenue, capital payback, performance and economic indicators and sources 
of funding; the estimate, use and sufficiency of the Company's working capital and the Company's ability to fund its 
working capital requirements; the re-negotiation of a new debt mandate with UniCredit and/or another senior debt 
provider and the potential participation by other debt providers; the potential raising of additional funding through 
the disposition of the Akdjol-Tokhtazan Project and the proposed uses thereof; the estimated mine life, NPV and IRR 
for, and forecasts relating to tonnages and amounts to be mined from, and processing and expected recoveries and 
grades at, the Karchiga Project as well as the other forecasts, estimates and expectations relating to the Karchiga 
Definitive Feasibility Study Report; the mine design and plan for the Karchiga Project, including mining at, and 
production from the Karchiga Project; the Company's intention to recognize the $400,000 non-refundable deposit from 
the Potential Buyers as income in the future; the future political and legal regimes and regulatory environments 
relating to the mining industry in Kazakhstan and/or Kyrgyzstan; the Company's expectations and beliefs with respect 
to the waiver of the State's pre-emptive right with respect to the Karchiga Project and the past placements of the 
Common Shares being covered thereby; the significance of any individual claims by non-Ontario residents in relation to 
a class action in June 2008 brought against the Company in the Ontario Superior Court of Justice which was settled by 
the Company in 2010 (the "Claim"); and the Company's future growth (including new opportunities and acquisitions) and 
its ability to raise or secure new funding. 
 
The forward-looking information in this press release and the Company's MD&A reflects the current expectations, 
assumptions or beliefs of the Company based on information currently available to the Company. With respect to forward- 
looking information contained in this press release and the Company's MD&A, the Company has made assumptions 
regarding, among other things, the Company's ability to generate sufficient funds from debt sources and/or capital 
markets to meet its future expected obligations and planned activities (including, with respect to financing for the 
Karchiga Project, the ability of the Company to obtain such financing on terms acceptable to the Company or 
otherwise), the Company's business (including the continued exploration and development of, as applicable, the 
Karchiga Project and the Kogodai Project and the timing and methods to be employed with respect to same), the 

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