VANCOUVER, Feb. 26, 2013 /CNW/ - El Niño Ventures Inc.
("ELN" and the "Company") (TSX.V: ELN) (Frankfurt: E7Q) (OTCQX:
ELNOF) is pleased to announce a non-brokered flow-through and
non flow-through private placement of up to a combined 33,333,333
units for gross proceeds up to $2,000,000.
Each non flow-through unit ("NFT Unit") at a
price of $0.06 per NFT Unit will
consist of one common share and one-half of one non-transferable
share purchase warrant ("Warrant"). Each Warrant will entitle the
holder to purchase one common share of the Company at a price of
$0.12 per share for 18 months from
closing.
Each flow-through unit ("FT Unit") will consist
of one common share and one-half of one non flow-through,
non-transferable share purchase warrant at a price of $0.065 per FT Unit. Each Warrant will
entitle the holder thereof to purchase one additional non
flow-through common share of the Company at $0.13 for a period of 18 months from closing.
The proceeds from the private placement received
from the sale of the flow-through units will be used for the
further development and exploration of the Murray Brook
Polymetallic project and exploration of adjacent Camel Back
property (Figure 1), both located in the in Bathurst mining camp, New Brunswick. The proceeds from the
sale of NFT Units will be used as working and general working
capital.
The private placement and any finder's fees
payable are subject to regulatory approval. Any securities
issued pursuant to the offering shall be subject to a four month
and a day hold period commencing on the closing date.
Work in 2013 will include an amended Resource
Estimation, refinement to Phase 1 Metallurgy Study, Preliminary
Economic Assessment Study and phase 2 Metallurgy Study (pilot
plant) of Murray Brook project and Property scale exploration
including geophysical surveys and drilling at adjacent Camel Back
project.
About El Niño Ventures Inc. Bathurst
Projects
El Niño Ventures Inc. has two active projects in
the Bathurst Mining Camp:
1. Murray Brook Project
The Murray Brook project is a polymetallic,
massive sulfide deposit and is one of the largest deposits
discovered to date in the Bathurst Mining Camp, New Brunswick. The Murray Brook property
is located 60 km west of Bathurst. It is supported by excellent
infrastructure, including paved roads, grid electricity and
communities to provide goods, services and skilled
labour.
A $3 million
exploration budget was approved for the 2012 exploration program.
It included $2.5 million for drilling
to bring resources into the measured category at the Murray Brook
deposit and $500,000 for exploration
of the Murray Brook and Camel Back properties, both of which are
covered by the option agreement with Murray Brook Minerals. To
date, more than 28,000 metres of drilling has been completed with
encouraging results. In February
2012, an NI43-101 compliant resource estimation was
announced (see news release. The technical report is filed on
SEDAR.com and also available on ELN's website.
An updated NI43‐101 mineral resource estimation and
metallurgical test results are slated for completion by the end of
March 2013. Results of these reports
will be incorporated in a Preliminary Economic Assessment "PEA"
that is slated for completion in the first quarter of 2013.
ELN and Votorantim Metals Canada (VMC) currently own 70% of
the project, of which 35% is held by each of the two parties.
Under a purchase agreement signed by VMC on August 28, 2012 with MBM and Murray Brook
Resources Inc. (collectively the owners), VMC acquired the right to
purchase the additional 30% of the Murray Brook Project from the
owners. ELN has been provided the option to purchase an
additional 15% in the project.
Although the terms of the Participation
Agreement provided for a three-year period to earn the initial 50%
and two years to earn the additional 20%, ELN and VMC completed
their earn-in in less than 18 months.
Figure 1 - Exploration of Murray Brook and adjacent Camel Back
properties for additional VMS deposits
(http://www.elninoventures.com/s/NewsReleases.asp?ReportID=573973)
2. Bathurst Option Joint Venture Project
(BOJV)
Consists of an initial 4,712 claims in the
Tri‐Party Agreement with Xstrata & VM Canada whereby VM Canada
may incur exploration expenditures of $10
million over a period of 5 years to earn a 50% interest. VM
Canada may further increase its interest to 70% by spending an
additional $10 million over 2
years.
Qualified Person Statement
This news release has been reviewed and approved
for technical content by Ali Hassanalizadeh
M.Sc. MBA
P.Geo a qualified Person under the provisions of
National Instrument 43‐101.
About El Niño Ventures Inc.
El Niño Ventures Inc. is an international
exploration company, focused on exploring for lead, zinc, copper,
gold and silver in New Brunswick,
Canada and copper in the Democratic Republic of Congo ("DRC").
On behalf of the Board of Directors
(signed)
Harry Barr
Chairman & CEO
El Niño Ventures Inc.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
Cautionary Note Regarding Forward Looking
Statements. Note: This release contains forward-looking
statements that involve risks and uncertainties. These
statements may differ materially from actual future events or
results and are based on current expectations or beliefs. For
this purpose, statements of historical fact may be deemed to be
forward-looking statements. In addition, forward-looking
statements include statements in which the Company uses words such
as "continue", "efforts", "expect", "believe", "anticipate",
"confident", "intend", "strategy", "plan", "will", "estimate",
"project", "goal", "target", "prospects", "optimistic" or similar
expressions. These statements by their nature involve risks
and uncertainties, and actual results may differ materially
depending on a variety of important factors, including, among
others, the Company's ability and continuation of efforts to timely
and completely make available adequate current public information,
additional or different regulatory and legal requirements and
restrictions that may be imposed, and other factors as may be
discussed in the documents filed by the Company on SEDAR
(www.sedar.com), including the most recent reports that identify
important risk factors that could cause actual results to differ
from those contained in the forward-looking statements. The
Company does not undertake any obligation to review or confirm
analysts' expectations or estimates or to release publicly any
revisions to any forward-looking statements to reflect events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated events. Investors should not place undue
reliance on forward-looking statements.
SOURCE El Nino Ventures Inc.