Canaf Group Inc.
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 March 20, 2017
Canaf announces financial results for Q1 2017

 March 20, 2017, Vancouver, British Columbia - Canaf Group Inc. (TSXV: CAF), ("Canaf") the Canada-registered mining related group, is pleased to announce the release of its Financial Statements, and Management Discussion and Analysis for the 3-month period ended January 31 2017.

The Corporation is very pleased to confirm the expected positive results for the quarter, which demonstrates the continued strong turnaround of the Corporation's South African business, Quantum.

Revenue for the quarter increased to $2,991,706; an increase of 193% compared to the same quarter last fiscal year, and up 67% from the previous quarter ended January 31, 2017. The Corporation expects sustained levels of revenue during Q2 2017, as demand for Quantum's product remains strong in South Africa. The Corporation continues to work on allocating all of its production for the rest of the fiscal period, by securing long-term contracts with key customers.

During the quarter, the Corporation recorded a net income of $197,691 (C$259,579), in comparison to a net loss of $294,482 for the same quarter the previous year. Adjusted EBITDA rose to $569,300 (C$747,517) for the quarter.

The Corporation intends to continue to generate positive free cash flow during the fiscal year-end 2017 and, as it accumulates cash, will continue to look at either investment to improve the efficiency of its older facilities, or investment in related business opportunities in South Africa.

For more details and discussion on the results, the Financial Statements and Management Discussion and Analysis can be viewed on www.sedar.com or the Company's website, www.canafgroup.com. All references to dollars herein are to US dollars.

About Canaf

Canaf is a junior mining related group based in Vancouver, Canada, and with subsidiary offices in the United Kingdom and South Africa. Canaf owns 100% of Quantum Screening and Crushing (Pty) Ltd., ("Quantum"), a South African based company that produces a high carbon, de-volatised anthracite.

About Quantum

Quantum produces calcined anthracite, a product used primarily as a substitute to coke in sintering processes. Quantum produces calcined anthracite by feeding washed anthracite coal through a rotary kiln, at temperatures between 900 and 1100 degrees centigrade; the volatiles are driven off and the effective carbon content increased.

Quantum's two largest clients are African leaders in steel and ferromanganese production. Quantum has an operation near Newcastle, KwaZulu Natal, where its three kilns operate; the majority of Quantum's feedstock anthracite is supplied from local anthracite mines in KwaZulu Natal.

Quantum, through its wholly owned subsidiary Southern Coal has been profitably carrying on this business since 2004.

Forward-Looking Statements

Certain information regarding Canaf contained herein may constitute forward looking statements. Forward looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although Canaf believes that the expectations reflected in such forward looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. These statements are subject to certain risks and uncertainties and may be based on assumptions that could cause actual results to differ materially from those anticipated or implied in the forward looking statements. Canaf is under no obligation to update or alter any forward looking statement. These risks include operational, political, currency and geological risks and the ability of Canaf to raise or obtain funds for its operations. Canaf's forward-looking statements are expressly qualified in their entirety by this cautionary statement.

For further information on Canaf Group, visit www.canafgroup.com or see contacts below.

UK Office:
Christopher Way
Canaf Group Inc.
Phone: +44 1273 492100
Fax: +44 1273 492175
E: info@canafgroup.com

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
 
 

You can view the Next News Releases item: Fri Jun 16, 2017, Canaf announces financial results for Q2 2017

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