The contrast media market is a large global market valued at $4.7 billion and is forecasted to grow at a CAGR of 7.7% through 2028. Contrast media are used in 189 million procedures annually.

Voyageur Pharmaceuticals Ltd. (TSXV: VM) is working to become the only fully integrated company in the radiographic contrast media business by developing barium and iodine contrast media. Voyageur owns a 100% interest in the Frances Creek Barium Project, suitable in grade for the pharmaceutical marketplace, with additional interests in a high-grade iodine, lithium & bromine brine project located in Utah, USA.

Voyageur will use barium from the Frances Creek Project and refine it to a barium product (SmoothX™) at their planned carbon-neutral pharmaceutical plant. Until the plan is completed they will rely on a third party. Voyageur has received Health Canada licenses for barium contrast media and has begun to produce and market products for Canada as they prepare to launch Canadian sales.

Voyageur’s Frances Creek is a Source of Barium and ULI is a Source of Iodine

Source: Voyageur company presentation

As announced early this month, Voyageur is preparing to launch its first product, SmoothX™ barium sulfate CT contrast media oral suspension for the CT imaging market in Canada. To advance sales in Canada, Voyageur has appointed a new Canadian Sales Manager, Ethan Mohan. Voyageur stated: “Ethan will be responsible for executing the Company’s sales program and has already begun meeting with Government Health Service agencies and private clinics across Canada.“

Health Canada licenses have already been approved for barium contrast media use in Canada. The next steps are the USA and international markets.

Voyageur continues to advance its applications with the U.S. Federal Drug Agency (“FDA”) for approvals to market barium contrast products in the USA. Voyageur states that they are “also advancing the development and testing of four additional imaging products and is moving forward positively as it relates to its first product application for approval from the FDA.“

Voyageur has a pipeline of 7 barium products and 3 iodine products all at various stages of approval, all of which aim to serve the West’s unmet need for contrast media products.

Voyageur Plans to Meet the West’s Demand for Non-Chinese Barium and Iodine Contrast Media

Source: Voyageur company presentation

Vertical integration strategy

Voyageur owns its own barium and iodine resource which means it can eliminate all middlemen in the supply chain to reduce overall costs. Once this strategy is accomplished, Voyageur aims to achieve the highest profit margin possible.

This is a prudent strategy but it just takes some time to fully develop it. In the meantime, Voyageur will use third parties where needed.

Voyageur Proposed Timeline: Barium and Iodine contrast media sales to expand globally using Voyageur’s integrated model by 2025-27

Source: Voyageur company presentation

Closing remarks

Voyageur recently raised approximately C$1.2 million in funds to be allocated toward the Company’s near-term goals. With Canadian sales just around the corner and potentially soon USA FDA approval, Voyageur looks set to sail in 2023.

Voyageur Pharmaceuticals trades with a market cap of C$13 million.

Barium and iodine-based radiographic contrast media (RCM) are types of RCM used in diagnostic imaging. Both work by attenuating X-rays to create clearer images of the body’s internal structures. Barium-based RCM is injested orally and used most often for gastrointestinal (GI) radiography and CT , while iodine-based RCM is injected and used primarily for gastrointestinal (GI) radiography and computed tomography (CT) and vascular radiography. These materials are critical for diagnostics and testing in the medical industry.

The Canadian radiology pharmaceutical industry is highly reliant on foreign suppliers, particularly in China. Geopolitical and supply chain issues can drive prices up significantly. Canada is vulnerable to disruptions in the Chinese supply chain. Moreover, quality control issues and intellectual property concerns have also been raised with respect to Chinese-made products.

As a result, the Canadian government has been working on a national strategy to de-couple from China for critical minerals and pharmaceuticals. In order to reduce reliance on foreign suppliers, the industry needs more low-cost producers. One of the companies that is working to reduce this reliance is Voyageur Pharmaceuticals Ltd. (TSXV: VM).

This company has recently hit a large milestone that will help the company achieve its long-term goals. They recently finished a production test batch of their barium contrast suspension for computed tomography imaging, known as SmoothX. This testing batch was completed with their contract manufacturer, who recently received their FDA site registration.

The production test batch is an essential milestone in the development of Voyageur’s barium contrast agent, which is being developed as a potential alternative to current products on the market. Barium contrast agents are used in CT scanning to improve the visibility of certain structures and tissues. The successful production of SmoothX opens up the possibility of commercialization in Canada.

Achieving commercial volumes is a key milestone for the company as it looks to establish itself as a major player in the radiology pharmaceutical industry. The company is excited about the potential of SmoothX and believes that it has the potential to be a best-in-class contrast agent. Voyageur is committed to bringing this important new product to market and will continue to invest in its development and commercialization.

The company also holds Health Canada-approved licenses for a total of five barium contrast media products. These licenses give it a great opportunity to expand in the Canadian market. The long-term goal is to develop a fully integrated supply chain for barium and iodine contrast media in Canada. The company has the scale and scope to achieve this. It has a strong product portfolio and a robust research and development pipeline. These capabilities will enable the company to meet the needs of the Canadian market and potentially create shareholder value.

FDA approval is one of the next steps for Voyageur to begin sales in the US. They are also working on building a GMP barium contrast plant to process barium sulfate that would be supplied from their own Frances Creek barium project. This capability would allow them to produce their own product instead of relying on a third party. By controlling all aspects of its carbon footprint, Voyageur will be able to offer a completely carbon-neutral product to its customers.

The company has a 100% controlling interest in three barium sulfate projects, including the Frances Creek property. The Frances Creek property is suitable in grade for the pharmaceutical barite marketplace. In addition, Voyageur has an interest in a high-grade iodine, lithium, and bromine brine project located in Utah. This capability enhances the company’s unique sourcing capability to create its products from its own mineral deposits.

Voyageur’s objective is to become a leading global provider of pharmaceutical barite and high-grade iodine products by leveraging its extensive knowledge of geology, mineral processing, and product formulation. The company plans to achieve this by expanding its production capacity to meet growing demand from the medical imaging industry and continue to explore and develop its portfolio of mineral projects.

Did you know that when you go to the doctor and require an X-Ray or scan in many cases they use what’s known as ‘contrast media’ to help diagnose the problem? Today’s company is working to become the only fully integrated company in the radiographic contrast media field, by developing barium and iodine generic radiographic contrast media.

The company is Voyageur Pharmaceuticals Ltd. (TSXV: VM) (Voyageur). Voyageur’s long-term vision is to serve both the barium and iodine contrast media markets, from a fully integrated supply chain: “From The Earth To The Bottle”. Voyageur also has potential with ‘fullerene-based’ contrast agents with Voyageur recently signing an MOU with Rain Cage Carbon Inc. to develop the product.

Voyageur owns the mineral projects and is now building out the next steps towards the commercialization of their barium and iodine products.

Voyageur state:

“We have assembled a team of contrast media experts and world leading radiologists to drive our decision making for this important patient-led initiative, the starting point being several Health Canada licenses already approved for barium contrast media. Voyageur is now working with the FDA to register our products in the US market, whilst creating a drug dossier for the European and International markets. “

Voyageur previously guided that U.S FDA approval could potentially come about 120 days after a June FDA meeting, effectively by October to November 2022, which would be right about now. Of course, this is subject to delay or change.

Voyageur is building a fully integrated supply chain, delivering high quality products to the market

Source: Voyageur Pharmaceuticals website

Voyageur’s roadmap towards barite start of production in 2024

In a significant step forward towards achieving their vertical integration goal, Voyageur announced on September 22, 2022, that they have submitted a ‘notice of work’ with the BC Ministry of Mines for the removal of 2,000 tonnes of barite in 2023 from their Frances Creek Project. Upon approval, Voyageur intends to use the 2,000 tonne barite sample for testing on a new active pharmaceutical plant, tentatively scheduled to begin construction in 2023.

As announced on October 31, 2022 Voyageur has now completed the design of its carbon neutral pharmaceutical plant, with the total capital cost to be C$30M (excluding land). Voyageur states:

“The manufacturing facility is designed to produce revenue streams from pharmaceutical barium and iodine contrast media products for the radiology drug market. The plant is expected to produce additional revenue stream from industrial barite sales and produce carbon fullerene allotropes for the new drug development program. Voyageur has chosen to set up operations in Alberta, Canada…….The added benefit of de-carbonizing our customer base by utilizing our carbon credits will make our product line unique and attractive to ensure potential high growth…….The timeline for construction of the pharmaceutical manufacturing and R&D facility will take an estimated 18 months to complete, subject to financing. Upon completion of the facility, the processing of Frances Creek barium will commence.”

Once the Frances Creek Project pilot plant is completed Voyageur will then submit a new ‘notice of work’ for a Small Quarry to the BC Ministry of Mines, with plans for full production in 2024.

By 2025 Voyageur plans to achieve ‘full’ vertical integration of barium and iodine contrast media products.

Voyageur’s timeline to achieve revenues and vertical integration

Source: Voyageur company presentation

Voyageur’s business strategy

Voyageur intends to initially generate positive cash flow from operations using third party contract pharmaceutical manufacturers in Canada and internationally. Next Voyageur has plans to build all the required infrastructure to become 100% self-sufficient with all manufacturing.

Voyageur Pharmaceuticals aims to be the only company in the world to develop barium sulfate & iodine contrast products from 100% natural resource

Source: Voyageur company presentation

Certainly, if Voyageur can pull off their ambitious plans to become a vertically integrated barium and iodine manufacturer then there is potentially good money to be made. The global addressable market for contrast media is forecast to grow from US$4.7 billion in 2021 to US$7 billion by 2028, at a CAGR of 7.7%.

Based on the PEA, the Frances Creek Project has a NPV of $344 million with an IRR of 137%.

Voyageur Pharmaceuticals trades on a market cap of only ~C$10M.

In this InvestorIntel interview with host Tracy Weslosky, Voyageur Pharmaceuticals Ltd.‘s (TSXV: VM) President and CEO Brent Willis, discusses supply chain shortages of vital imaging contrast agents for the medical radiology marketplace

In the interview, which can also be viewed in full on the InvestorIntel YouTube channel (click here), Brent talks about how contrast agents are used in radiology to allow medical professionals to detect the disease and tumors inside the body, but scans are currently “being canceled across North America because the majority of iodinated contrast comes out of China,” and now “we cannot supply our own hospitals with very much needed drugs just based on a few port closures in China.”

Brent talks about Voyageur’s plans to build all the required infrastructure to become 100% self-sufficient with a processing plant and its ownership of three barium sulphate projects including its Frances Creek property, as well as its recent $1 million capital raise to be used to advance the roll out of Health Canada licensed products for sales in Canada.

To access the full InvestorIntel interview, click here

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About Voyageur Pharmaceuticals Ltd.

Voyageur is a Canadian public company listed on the TSXV under the trading symbol VM. Voyageur is focused on the development of barite and iodine Active Pharmaceutical Ingredients (“API”) and high-performance cost-effective imaging contrast agents for the medical radiology marketplace. Voyageur’s goal is to initially generate positive cash flow from operations using third party GMP pharmaceutical manufacturers in Canada and internationally. Ultimately, Voyageur has plans to build all the required infrastructure to become 100% self-sufficient with all manufacturing. Voyageur owns a 100% interest in three barium sulphate (barite) projects including the Frances Creek property, suitable in grade for the pharmaceutical barite marketplace, with interests in a high-grade iodine, lithium & bromine brine project located in Utah, USA.

Voyageur is moving forward with its business plan of becoming the only fully integrated company in the radiology medical field, by controlling all primary input costs under the motto of: “From the Earth to the Bottle”.

To learn more about Voyageur Pharmaceuticals Ltd., click here

Disclaimer: Voyageur Pharmaceuticals Ltd. is an advertorial member of InvestorIntel Corp.

This interview, which was produced by InvestorIntel Corp. (IIC) does not contain, nor does it purport to contain, a summary of all the material information concerning the “Company” being interviewed. IIC offers no representations or warranties that any of the information contained in this interview is accurate or complete.

This presentation may contain “forward-looking statements” within the meaning of applicable Canadian securities legislation. Forward-looking statements are based on the opinions and assumptions of the management of the Company as of the date made. They are inherently susceptible to uncertainty and other factors that could cause actual events/results to differ materially from these forward-looking statements. Additional risks and uncertainties, including those that the Company does not know about now or that it currently deems immaterial, may also adversely affect the Company’s business or any investment therein.

Any projections given are principally intended for use as objectives and are not intended, and should not be taken, as assurances that the projected results will be obtained by the Company. The assumptions used may not prove to be accurate and a potential decline in the Company’s financial condition or results of operations may negatively impact the value of its securities. Prospective investors are urged to review the Company’s profile on Sedar.com and to carry out independent investigations in order to determine their interest in investing in the Company.

If you have any questions surrounding the content of this interview, please contact us at +1 416 792 8228 and/or email us direct at [email protected].

Radiographic contrast media are substances used in diagnostic imaging tests such as ultrasound, X-rays, CT scans and MRI to enhance the visibility of internal structures. Iodine and barium sulfate are the typically used substances to provide the contrast media. According to IQ41 Research & Consultancy Pvt. Ltd: The global addressable market for contrast media is forecast to grow from US$4.7 billion in 2021 to US$7 billion by 2028, at a CAGR of 7.7%.

As of April 2022, Voyageur Pharmaceutical reports that barium sulfate prices are up 300% in the past 12 months, to $17,000/tonne; due to a worldwide shortage of high-quality natural USP pharmaceutical barium sulfate which has forced most manufacturers to use synthetic, high-cost barite for their products.

Voyageur Pharmaceuticals Ltd. (TSXV: VM) (Voyageur) is advancing its plan to become the only fully integrated company in the radiographic contrast media field, by developing barium and iodine generic radiographic contrast media. Voyageur is unique, as it plans to source its own raw materials (barium sulfate & iodine) from its own mineral deposits located in Canada and USA respectively.

Progressing towards potentially achieving FDA approval in the USA

As announced on May 18, 2022, Voyageur has recently completed a milestone with their FDA submission. According to Voyageur: “Based on preliminary discussions with the FDA, Voyageur has submitted extensive documentation for the first barium contrast product license application. Voyageur is currently scheduled to meet with the FDA in June, to finalize submission requirements for this product and once this application is approved, the Company plans on submitting applications for additional products. Upon receipt of the application, the FDA may grant the license within 120 days, thus giving Voyageur the approval to market its first barium sulfate contrast agent in the United States.”

The current timeline suggests the potential FDA licensing approvals may be obtained by October to November 2022, all going well.

Product development

Voyageur recently completed the design and testing of the first batch of its smoothie product line of barium sulfate contrast agent. Voyageur says that “once this testing is completed, the data will be used to support the initial marketing and sale of the Company’s line of barium sulfate imaging products that are approved for the Canadian market and in tandem will be used for the Food and Drug Administration (FDA) submission.”

Voyageur plans to achieve initial cash flow through third-party pharmaceutical manufacturing, sourcing third-party minerals, turnkey manufacturing, bottling, and distribution of barium and iodine radiographic pharmaceutical drugs. The longer-term plan is to be vertically integrated.

Voyageur Pharmaceuticals completed milestones

Source: Voyageur Resources company presentation

Next steps and a positive PEA announced in January 2022

Voyageur has engaged an engineering firm to design and build the barium processing and contrast manufacturing plant and the pharmaceutical product manufacturing plant. According to Voyager: “These two facilities will become the foundation of the only fully integrated and totally controlled entry into the global imaging market for barium sulfate contrast agents. This control is intended to provide Voyageur with a low-cost advantage that should support the gaining of market share and improved margins.”

The master plan is for the plant to be fed by Voyageur’s 100% owned barium sourced from the Frances Creek Project. The Project is located near the town of Radium Hot Springs, British Columbia, Canada. All of the above is subject to funding.

The Frances Creek Pharmaceutical Barium Project Preliminary Economic Assessment (PEA) was announced in January 2022, resulting in a base case pre-tax net present value 8% (“NPV8%”) of C$464 million and an internal rate of return (IRR) of 168%, while the post-tax NPV8% was C$344 million with an IRR of 137%. The total capital required over 3 years for the Project was estimated at C$36 million. Operating gross margins were estimated to average 75% over the Project.

Voyageur Pharmaceuticals 2022 PEA for the Frances Creek Pharmaceutical Barium Project

Source: Voyageur Resources company presentation

Closing remarks

Voyageur Pharmaceuticals already has a very high grade (37.75%) barium sulfate Indicated Resource and has released a solid PEA for the integrated Frances Creek Pharmaceutical Barium Project.

The next major steps mostly revolve around further product development testing, FDA regulation in the USA, project funding, and finally getting into production. Beyond that is development of the Company’s Iodine-lithium-bromine brine project in Utah and potentially some battery mineral projects as you can read here.

2022 looks like being a key year for Voyageur Pharmaceuticals.

In a recent InvestorIntel interview, Tracy Weslosky spoke with Brent Willis, President and CEO of Voyageur Pharmaceuticals Ltd. (TSXV: VM) about Voyageur’s newly created Scientific Advisory Board of world-class leading physicians in the medical radiology industry, and about its going up against the monopoly in the barium sulfate medical radiology contrast media industry.

In this InvestorIntel interview, which may also be viewed on YouTube (click here to subscribe to the InvestorIntel Channel), Brent Willis highlighted the lack of advancement in the imaging contrast industry and said that Voyageur’s Scientific Advisory Board will help create new innovative products, which will change the medical radiological contrast industry and will help detect diseases earlier. With only a few major players in the barium sulfate space internationally, Brent said that Voyageur plans to become the only fully integrated company in the barium sulfate space with its own source minerals, and will also vertically integrate itself in the iodine contrast space.

To watch the full interview, click here

About Voyageur Pharmaceuticals Ltd.

Voyageur is a Canadian public company listed on the TSXV under the trading symbol VM. Voyageur is focused on the development of barite and iodine Active Pharmaceutical Ingredients (“API”) and high-performance cost-effective imaging contrast agents for the medical radiology marketplace.  Voyageur’s goal is to initially generate positive cash flow from operations using third party GMP pharmaceutical manufacturers both in Canada and internationally. Ultimately, Voyageur has plans to build all the required infrastructure to become 100% self-sufficient in all phases of product manufacturing. Voyageur owns a 100% interest in three barium sulfate (barite) projects including the Frances Creek property, suitable in grade for the pharmaceutical barite marketplace, with additional interests in a high-grade iodine, lithium & bromine brine project located in Utah, USA.

Voyageur is moving forward with its business plan of becoming the only fully integrated company in the radiology contrast media medical field, by controlling all primary input costs under the motto of: “From the Earth to the Bottle”.

To learn more about Voyageur Pharmaceuticals Ltd., click here

Disclaimer: Voyageur Pharmaceuticals Ltd. is an advertorial member of InvestorIntel Corp.

This interview, which was produced by InvestorIntel Corp. (IIC) does not contain, nor does it purport to contain, a summary of all the material information concerning the “Company” being interviewed. IIC offers no representations or warranties that any of the information contained in this interview is accurate or complete.

This presentation may contain “forward-looking statements” within the meaning of applicable Canadian securities legislation.  Forward-looking statements are based on the opinions and assumptions of management of the Company as of the date made. They are inherently susceptible to uncertainty and other factors that could cause actual events/results to differ materially from these forward-looking statements. Additional risks and uncertainties, including those that the Company does not know about now or that it currently deems immaterial, may also adversely affect the Company’s business or any investment therein.

Any projections given are principally intended for use as objectives and are not intended, and should not be taken,  as assurances that the projected results will be obtained by the Company. The assumptions used may not prove to be accurate and a potential decline in the Company’s financial condition or results of operations may negatively impact the value of its securities. Prospective investors are urged to review the Company’s profile on www.Sedar.com and to carry out independent investigations in order to determine their interest in investing in the Company.

If you have any questions surrounding the content of this interview, please email [email protected].

In a recent InvestorIntel interview, Jack Lifton spoke with Brent Willis, President and CEO of Voyageur Pharmaceuticals Ltd. (TSXV: VM) about Voyageur’s unique business model that makes them ‘extremely competitive’ in the medical imaging contrast media space.

In this InvestorIntel interview, which may also be viewed on YouTube (click here to subscribe to the InvestorIntel Channel), Brent said that Voyageur has a high purity pharmaceutical grade barium sulfate deposit in Canada ,the kind of which is rarely found. Voyageur is creating a fully integrated domestic North American supply chain for both barium and iodine based contrast agents using its own natural supplies of barium sulfate and iodine. In the interview, Brent highlighted the shortage of high-quality natural barium sulfate in the global market that currently requires relying on just one Chinese company and explained how Voyageur is positioned to break the current monopoly in the market.

To watch the full interview, click here

About Voyageur Pharmaceuticals Ltd.

Voyageur is a Canadian public company listed on the TSXV under the trading symbol VM. Voyageur is focused on the development of barite and iodine Active Pharmaceutical Ingredients (API) and high-performance cost-effective imaging contrast agents for the medical radiology marketplace.  Voyageur’s goal is to initially generate positive cash flow from operations using third party GMP pharmaceutical manufacturers in Canada and internationally. Ultimately, Voyageur has plans to build all the required infrastructure to become 100% self-sufficient with all manufacturing. Voyageur owns a 100% interest in three barium sulfate (barite) projects including the Frances Creek property, suitable in grade for the pharmaceutical barite marketplace, with interests in a high-grade iodine, lithium & bromine brine project located in Utah, USA.

Voyageur is moving forward with its business plan of becoming the only fully integrated company in the radiology medical field, by controlling all primary input costs under the motto of: “From the Earth to the Bottle”.

To learn more about Voyageur Pharmaceuticals Ltd., click here

Disclaimer: Voyageur Pharmaceuticals Ltd. is an advertorial member of InvestorIntel Corp.

This interview, which was produced by InvestorIntel Corp. (IIC) does not contain, nor does it purport to contain, a summary of all the material information concerning the “Company” being interviewed. IIC offers no representations or warranties that any of the information contained in this interview is accurate or complete.

This presentation may contain “forward-looking statements” within the meaning of applicable Canadian securities legislation.  Forward-looking statements are based on the opinions and assumptions of management of the Company as of the date made. They are inherently susceptible to uncertainty and other factors that could cause actual events/results to differ materially from these forward-looking statements. Additional risks and uncertainties, including those that the Company does not know about now or that it currently deems immaterial, may also adversely affect the Company’s business or any investment therein.

Any projections given are principally intended for use as objectives and are not intended, and should not be taken,  as assurances that the projected results will be obtained by the Company. The assumptions used may not prove to be accurate and a potential decline in the Company’s financial condition or results of operations may negatively impact the value of its securities. Prospective investors are urged to review the Company’s profile on www.Sedar.com and to carry out independent investigations in order to determine their interest in investing in the Company.

If you have any questions surrounding the content of this interview, please email [email protected].

Sourcing raw materials is one of today’s biggest problems, as a result companies are looking to have more localized supply chains. Some companies are going one step further and securing their own raw materials to become 100% vertically integrated. This typically removes most of the supply chain risk and lowers the products cost, making the company more resilient to supply chain disruptions and more competitive. In the case of pharmaceutical products it can also potentially remove any risks of contaminated or poor quality supply, a key factor for products going inside the human body.

Today’s company, Voyageur Pharmaceuticals Ltd. (TSXV: VM) (“Voyageur”) is doing this in the radiographic contrast medium business by developing barium sulphate and iodine generic radiographic products for the healthcare market (contrast medium in X-rays, MRI & CT Scans).

Voyager is building a vertically integrated contrast medium supply business

Voyageur is unique, as it plans to source its own main ingredients from its own mineral deposits. Voyageur is building a business model that will allow it to be a fully integrated company in the radiographic market place.

Voyageur plans to build all the required infrastructure to become 100% self-sufficient with all manufacturing. Voyageur owns a 100% interest in three barium sulfate projects and has interests in a potentially high-grade iodine, lithium & bromine brine project located in Utah, USA.

The Frances Creek Barium Sulfate Project

The Frances Creek Barium Sulfate Project is the most advanced of the barium sulphate projects and Voyageur has recently raised funds to progress the project including preliminary economic assessment, pre-feasibility and a Frances Creek development study. The Project has 700 m of strike and is open in all directions. It has been drilled along a total of 220 m of strike, 90 m of true vertical depth, resulting in 166,210 tonnes of Indicated Resource grading 37.75% barium sulfate and 195,578 tonnes of Inferred Resource grading 35.4% barium sulfate.

The Frances Creek Barium Sulfate Project is located near the town of Radium Hot Springs, British Columbia, Canada

Source: Company presentation

Health Canada approvals and USA FDA device registrations in the pipeline

Voyageur has already recently announced two Health Canada approvals and issuance of product licenses for MultiX Ba and Radiographic Barium Contrast and has received approval from Health Canada for MultiX thick barium sulfate suspension as well as plans to move forward with FDA device registrations for the U.S. market. The FDA has only recently changed barium sulphate from a drug to a device, thereby making it easier to get approval for its uses in humans for contrast material used in X-rays.

Voyageur’s business strategy

Voyageur’s strategy is to generate near-term cash flow while building out quarry operations.

• Phase 1: Source third party raw materials and use contract manufacturers to launch Voyageur’s brand. AVL Calgary facility to produce barium contrast, marketing and sales. Voyageur has begun to work on expansion of registrations in other jurisdictions outside of Canada. (USA, UK, Europe, Asia Pacific, Africa, Latin America, Australia).
• Phase 2: Prepare Frances Creek deposit for bulk sample and API/barium contrast manufacturing plant. Once achieved, bulk sample expected to replace all third-party barium and allow for 100% production of contrast media material to be controlled by Voyageur, resulting in potentially highly competitive pricing.

Current status of Voyageur’s projects

Next steps

Source: Company presentation

Closing remarks

As the global population ages demand for X-rays, CT-scans and MRI’s is only increasing and that also means demand for contrast media.

Voyageur is different from other contrast media suppliers in that they are building a vertically integrated business to source materials from the mine all the way to the X-ray center. Their strategy aims to control supply and reduce costs by removing all the middlemen; thereby reducing price, delivery risk and increasing profitability. Voyageur state once achieved that they will be “the only pharmaceutical radiographic contrast company to utilize its own mineral resource”.

It’s not every day you get to buy into a development stage mining and pharmaceuticals company with a low market cap. Investors get the opportunity to benefit from two developing businesses in one – the mines and the pharmaceuticals business. Most interesting, especially considering that Voyageur Pharmaceuticals Ltd. trades on a market cap of just C$13 million. One to watch.

With all the warnings issued in articles posted on InvestorIntel about rare earth supply security, the whole Suez Canal mess in March and vaccine supply issues surrounding the pandemic, supply chains have become a very real topic and very much in focus. Just in time management is being replaced by just in case management. As a Canadian with one AstraZeneca vaccine in me, I’m wondering if/when I’ll even get a second one given no vaccines are currently manufactured in Canada and many countries are becoming pretty possessive of this commodity at present. Whatever the science is around waiting too long or having your second vaccine be a different manufacturer, I’m at the mercy of “the system” as to what and when (or if) I get fully vaccinated for this incredibly annoying and very real virus.

Perhaps that was a little melodramatic but my point is, supply chain security is important and becoming a higher profile issue in the world today. So wouldn’t it be nice if a company had complete control of its destiny from the mine to the shelf, or in the case of Voyageur Pharmaceuticals Ltd. (TSXV: VM) – From the Earth to the Bottle. Voyageur has a somewhat unique business model in today’s world of niche focused companies but maybe setting a trend for the future as society realizes Amazon can’t overnight deliver everything you may need.

Voyageur is a drug manufacturing company focused on radiographic contrast media products, developing barium and iodine generic radiographic drugs, for the healthcare market. However, what separates Voyageur from most other companies is that it is sourcing its own main ingredients from its own mineral deposits. Voyageur is building a business model that will allow it to be a fully integrated company in the radiographic market place.

So let’s look a little closer at the different aspects of Voyageur. The Corporation manufactures radio-graphic contrast agents, which are substances used to enhance the visibility of internal structures in X-ray-based imaging techniques such as computed tomography, magnetic resonance imaging and fluoroscopy. Without getting into the weeds of the science here, suffice it to say these are products vital to specific medical procedures performed globally, every day. The Corporation recently announced two Health Canada approvals and issuance of product licenses for MultiX Ba; Radiographic Barium Contrast. Then on Monday Voyageur announced it has received approval from Health Canada for its fifth product, MultiXthick barium sulfate suspension as well as plans to move forward with FDA device registrations for the US market.

On the mining side, Voyageur owns a 100% interest in three barium sulfate (barite) projects including two properties suitable in grade for the industrial barite marketplace, with interests in a potentially high-grade iodine, lithium & bromine brine project located in Utah, USA. The most advanced of these projects is the Frances Creek project located 40km from Radium Hot Springs, BC and easily accessible. The Corporation has launched the Preliminary Economic Assessment (PEA) of its Frances Creek project with the goal of completion within the next three months. Subsequent to the completion of the PEA, the Corporation is planning on proceeding with a Prefeasibility Study that will be expected in the third quarter of the 2021 fiscal year.

So how does one go about evaluating a fully integrated entity like Voyageur? I don’t think there’s a PEA to Earnings metric and even if there was, would it be useful? Great drill results aren’t going to impact the demand for Barium radiographic contrast media products. So this is where you have to dig a little deeper and understand the full scope of what a company like this brings to the table. And there’s a lot to digest so I encourage you to go to their website and snoop around a little.

Nevertheless, key to investors is that there currently is no revenue and it’s going to cost money to get Voyageur to the next level. To that end, the Corporation recently announced it has closed the first tranche of a non-brokered private placement for gross proceeds of $1.4 million, which will go a long way to advancing Voyageur forward. The exciting aspect is that this only takes the shares outstanding to approximately 99 million making the market cap roughly $14.4 million based on yesterday’s closing price of $0.145/share.

With geopolitical risks rising all around the globe, Voyageur is diversifying itself to fill a void if supply chains become broken. It’s hard to assess what that will be worth in the future.