Vulcan Minerals is engaged in the evaluation, acquisition and exploration of mineral and petroleum and natural gas properties in Newfoundland and Labrador. Co. is considered to be in the exploration stage and has not determined whether these properties contain reserves that are economically recoverable. The recoverability of exploration costs are dependent upon the existence of economically recoverable reserves, the ability of Co. to obtain financing to fund and complete the development of such reserves, and the ability of Co. to satisfy obligations as they come due and upon future profitable production from the properties or proceeds from disposition.
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