- Estimated savings of $37 million for Argex.
MONTREAL, Nov. 5, 2013 /CNW Telbec/ - Argex Titanium Inc. (TSX: RGX) ("Argex" or the "Company") is pleased to announce that it is eligible for a 10-year provincial income tax holiday. Last year, the Government of Quebec announced such an incentive program for companies in certain industrial sectors that make a minimum capital investment of $300 million in the province of Quebec. This threshold was recently reduced by the Quebec Government to $200 million.
Argex now qualifies for this 10-year income tax holiday, which is limited to 15% of the projected eligible capital investment in the province. This equates to approximate tax savings to Argex of $37 million.
"The Argex team is very pleased with this change by the Government of Quebec," commented Mark Billings, Chief Financial Officer of Argex. "This will result in significant tax savings for Argex once we begin production of titanium dioxide at our first industrial-sized facility at Salaberry-de-Valleyfield. These tax savings will be realized in the early years of production. This is very good news for the Company and its shareholders."
About Argex Titanium Inc.
ARGEX Titanium Inc. is a near-term producer of Titanium Dioxide (TiO2) pigment. With a primary goal of advancing rapidly towards production, Argex has adopted a simple and low-risk strategy for the scale-up of its proprietary process.
Argex is pleased to have selected Valleyfield, Quebec as the location for its Research & Development centre and first industrial-sized production facility. The location of the site can be viewed at Argex Valleyfield.
This news release contains statements that may constitute "forward-looking information" or "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking information and statements may include, among others, statements regarding the future plans, costs, objectives or performance of Argex, or the assumptions underlying any of the foregoing. In this news release, words such as "may", "would", "could", "will", "likely", "believe", "expect", "anticipate", "intend", "plan", "estimate" and similar words and the negative form thereof are used to identify forward-looking statements. Forward-looking statements should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether, or the times at or by which, such future performance will be achieved. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, or if any of them do so, what benefits Argex will derive. Forward-looking statements and information are based on information available at the time and/or management's good-faith belief with respect to future events and are subject to known or unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond Argex's control. These risks, uncertainties and assumptions include, but are not limited to, those described under "Risk Factors" in Argex's Annual Information Form for the fiscal year ended December 31, 2012, which is available on SEDAR at www.sedar.com; they could cause actual events or results to differ materially from those projected in any forward-looking statements. Argex does not intend, nor does Argex undertake any obligation, to update or revise any forward-looking information or statements contained in this news release to reflect subsequent information, events or circumstances or otherwise, except if required by applicable laws.
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SOURCE Argex Titanium Inc.