KIRKLAND LAKE, ONTARIO–(Marketwired – Nov. 4, 2015) – NORDEX EXPLOSIVES LTD. (TSX VENTURE:NXX) (“Nordex” or the “Corporation”) is pleased to announce an update on current activities and ongoing operations in regional locations with a focus on the quarry and construction sectors. In addition to new activities, the Corporation remains focused on optimization of the manufacturing and supply of Nordex products and services to existing customers.
Chief Financial Officer Sean Conroy states; “We are pleased with the cost cutting initiatives undertaken by our management team that will allow us to provide competitive bidding on new and existing projects. These initiatives and the negotiation of new favourable long-term raw material contracts provide the ability to return to being competitive and profitable.”
Regional Quarry and Construction Initiatives
Nordex implemented expansion efforts during 2014 / 2015 which focused on the set-up and operation of new distribution and storage facilities in strategic locations in the Province of Ontario. These facilities focused on construction and quarry customers in the Ottawa and Kingston region, the Sudbury and Timmins region and the Muskoka region. With the expansion of these facilities, Nordex is positioned to supply its proprietary line of explosive products and services for new quarry and construction operations. Combined with anticipated increases in capital expenditures by various levels of government for new infrastructure projects Nordex is better positioned to competitively bid on new business opportunities previously unavailable due to transportation and storage constraints.
Nordex continues to analyze potential opportunities in Western Canada with NorLand Limited (formerly known as Pacific Group of Companies) in locations that are proximate to current NorLand operations. As previously announced in 2014, Nordex and NorLand management have agreed to work cooperatively to identify potential opportunities for the sale, distribution and manufacture of Nordex products in Western Canada. Although new mining sector activity in these regions has recently been delayed or slowed down, an increase in construction activity is being recognized. Nordex and NorLand will continue to evaluate and assess new construction and mining project opportunities, with the intent to jointly bid on any appropriate new long term explosive projects.
Jim Taylor, President/CEO stated, “The last year has been very challenging for Nordex with drastic increases in foreign exchange rates, escalating raw material costs and depressed market conditions all impacting our operations and bottom line. As a result we have focused our efforts in recent months on affecting changes to overcome these difficulties. We have been successful in implementing a number of initiatives which have better positioned Nordex. Our management and staff should be commended for their dedication and commitment to Nordex through the tough decisions and transitions that are now positively affecting our current and future operations.”
About Nordex Explosives Ltd.
Nordex Explosives Ltd. is a Canadian based manufacturer and distributor of explosives for the mining, quarry and construction industries since 1970. Its manufacturing operations and distribution centre is strategically located in one of the world’s largest mining regions near Kirkland Lake, Ontario. Additional information can be found at www.nordexexplosives.com.
Additional Information relating to the Corporation is available on SEDAR at www.sedar.com.
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President and CEO