SIDEX and the Fonds de solidarité FTQ (the “Fonds”) are pleased to renew “FIELD-ACTION 2019,” a joint initiative designed to encourage junior mining companies to perform fieldwork in Québec while at the same time supporting their working capital.
The $4 million initiative is available for a limited time and is open to all companies with a project in Québec provided it is consistent with the missions of SIDEX and the Fonds.
Designed for prospecting, mapping, soil stripping, sampling and ground geophysical surveys, FIELD-ACTION offers financing of up to $200,000 per company, i.e. $100,000 for exploration and $100,000 in working capital.
SIDEX and the Fonds will offer equity or convertible debenture financing based on market conditions.
“The renewed involvement of the Fonds de solidarité FTQ for a second year is important for junior companies in this period where financing is difficult. This summer, companies will be able to focus on field exploration, discover showings and generate targets to pursue work in the fall while their working capital requirements is secured by the Fonds.”
Michel Champagne, President and Chief Executive Officer, SIDEX
“FIELD-ACTION is a transformative initiative for Québec’s junior mining companies, launched by SIDEX, a partnership with the Québec government that has been supported by the Fonds de solidarité FTQ since 2001. This investment reaffirms our long-standing commitment to a sector that is vital to the economy of many Québec regions.”
Dany Pelletier, Vice-president – Capital structurant, Énergie, Environnement et Mines, Fonds de solidarité FTQ
In order to qualify for financing, companies must meet certain criteria, among others:
- Be listed on the TSX-V or TSX;
- Have a positive working capital at the time of application;
- Have a sustainable development policy in place;
- Have an independent board of directors (as per Regulation 52-110 of the Securities Act);
- Have administrative expenses that are in line with the company’s size;
- Work performed by a member in good standing with the Ordre des géologues du Québec or the Ordre des ingénieurs du Québec;
Interested eligible companies are invited to submit an application containing the required information.
Complete files will be processed by date of receipt and accepted until October 31, 2019 or until the $4 million budget is exhausted. SIDEX and the Fonds will base their decision on the technical quality of the projects and the strategy of the management team.
A due diligence and approval process has been put in place to speed up the investments.
The proposed exploration program must be completed before November 30, 2019 and a summary of the work performed and a statement of expenses sent to SIDEX by December 31, 2019.
Applicants will be charged a 3% application fee, which includes preparation of the legal documentation by SIDEX and the Fonds.
HOW TO OBTAIN FINANCING
Please read the program description, which describes its objectives, duration and financing criteria.
The following documents must be submitted along with the application.
- A copy of the company’s sustainable development policy
- Documents on the company’s current financial situation:
- Last quarter
- Confirmation of positive working capital on the date of application and description of any type of obligation in respect of exploration expenses and payments to maintain an interest in the company’s properties in 2019
- Evaluation of the board of director’s independence in the information circular
- Summary report on the project, including:
- Brief background
- Property rights
- Work program and objectives
- Proposed budget
Post-investment, due by December 31, 2019
The work contemplated by the financing must be completed by November 30, 2019 and a summary report submitted by December 31, 2019 containing:
- A description of the work performed
- A statement of expenses
Created in 2001, SIDEX is an initiative of the Québec government and the Fonds de solidarité FTQ whose mission is to invest in companies engaged in mineral exploration in Québec in order to diversify the province’s mineral base.
SIDEX promotes new entrepreneurs and innovation in exploration and has invested more than $90 million to date in mineral exploration companies and their projects in Québec.
About Fonds de solidarité FTQ
The Fonds de solidarité FTQ is a capital development fund that channels the savings of Quebecers into investments.
With $14.8 billion in net assets as at November 30, 2018, the Fonds has helped create and protect over 194,000 jobs.
The Fonds has more than 2,800 partner companies and 667,000 shareholder-savers.
Information for mineral exploration companies:
President and CEO
Telephone: 514 383-2612
Conseiller principal aux investissements
Fonds de solidarité FTQ
Telephone: 819 762-1495
Information for journalists only:
Senior Advisor, Media Relations and Communications
Fonds de solidarité FTQ
Telephone: 514 850-4835