Dacha Strategic Metals Incorporated : Dacha Realizes $5.1 Million on Sale of 2.9 Tonnes of Lutetium Oxide
04/23/2012| 10:06am US/Eastern
TORONTO, ONTARIO--(Marketwire - April 23, 2012) - Dacha
Strategic Metals Inc. ("Dacha" or the
"Company")Singapore at a price of US$1,750 per kg
for gross proceeds of US$5,075,000. Based on the original
purchase price of US$309.60 per kg, the Company realized a
pre-tax gain of $4.1 million. As at March 31 2012, Dacha held
Lutetium at a mark-to-market price of $1,600 per kg.
This transaction marks the 13th consecutive sale of inventory
by Dacha above its mark to market carrying value of its
Scott Moore, President and CEO commented, "Dacha has
continually provided investors with a transparent valuation
of its inventory based on the published pricing available in
Metal Pages and Asian Metals. In addition Dacha has a
consistent track record of selling inventory above the
carrying value of the inventory at the time. This transaction
should further reinforce to shareholders that our inventory
has realizable value at or above its published value and that
the current discount attributed to our share price is not
reflective of the true value of the NAV".
As at March 31, 2012 Dacha's inventory was valued at
$84.8 million or Net Assets of $1.16 per share.
Dacha Strategic Metals Inc. is an investment company focused
on the acquisition, storage and trading of strategic metals
with a primary focus on Rare Earth Elements. Dacha is in the
unique position of holding a commercial stockpile of Physical
Rare Earth Elements. Its shares are listed on the TSX Venture
Exchange under the symbol "DSM" and on the OTCQX
exchange under the symbol "DCHAF".
Except for statements of historical fact relating to the
Company, certain information contained herein constitutes
"forward-looking information" under Canadian
securities legislation. Forward-looking information includes,
but is not limited to, statements with respect to the
Company's ability to trade in rare earth elements, the
realization value of Dacha's physical inventory
portfolio, proposed investment strategy of the Company, and
general investment and market trends. 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",
"intends", "anticipates" or "does
not anticipate", or "believes", or variations
of such words and phrases or statements that certain actions,
events or results "may", "could",
"would", "might" or "will be
taken", "occur" or "be achieved".
Forward-looking statements are based on the opinions and
estimates of management as of the date such statements are
made. Forward-looking information is subject to known and
unknown risks, uncertainties and other factors that may cause
the actual results, level of activity, performance or
achievements of Dacha to be materially different from those
expressed or implied by such forward-looking information.
Although management of Dacha 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 statements will prove to be accurate,
as actual results and future events could differ materially
from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
information. Dacha does not undertake to update any
forward-looking information, except in accordance with
applicable securities laws.
The market value of the Company's physical inventory is
estimated using price quotes published by two of the largest
independent news sources for the metals industry, namely,
Asian Metal (www.asianmetal.com) and
Metal-Pages (www.metal-pages.com). In
cases where these websites do not provide a price quote on
the type or quality of metal held in the Company's
physical inventory, the Company relies on a price quote
provided by independent third-party industry participants.
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 PLEASE CONTACT:
Dacha Strategic Metals Inc.
President and CEO
Source: Dacha Strategic Metals Inc.