Petaquilla Copper Ltd.

Petaquilla Copper Ltd.

December 28, 2007 02:00 ET

Petaquilla Copper Ltd. Announces Listing on the Toronto Stock Exchange

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 28, 2007) - Petaquilla Copper Ltd. ("PTC" or the "Company") today announced that its common shares have been approved for listing on the Toronto Stock Exchange ("TSX") under the stock symbol "PTC". The Company's common shares will be listed and posted for trading on the TSX with the opening of trading on December 31, 2007.

The Company's Management and Board of Directors are pleased to have secured a listing on the Toronto Stock Exchange as another step in the Company's corporate development strategy.

The Company was incorporated on March 15, 2006, in order to participate in a proposed Plan of Arrangement (the "Arrangement") with Petaquilla Minerals Ltd. ("PTQ"). Subsequent to shareholder and court approval, PTQ transferred its indirect 52% interest in the world-class Petaquilla Copper Project to the Company on October 18, 2006 (the "Effective Date").

PTQ shareholders of record as at 12:01 a.m. on the Effective Date became shareholders of two separate companies: PTQ and PTC. On the Effective Date, each shareholder of PTQ received, in addition to the common share of PTQ already held, one common share of the Company. Pursuant to the Arrangement, PTQ became and remains the largest shareholder of PTC with 22,189,434 shares.

The Company presently holds a 52% equity interest in Minera Petaquilla, S.A., the Panamanian company that holds the Petaquilla Copper Project in Panama. Inmet Mining Corporation ("Inmet") holds the remaining 48% equity interest. Teck Cominco Limited ("Teck Cominco") has the right to acquire from the Company a 26% equity interest in Minera Petaquilla, S.A. in return for funding 52% of all of the development costs for the project through to commercial production. If Teck Cominco funds those development costs, it will recoup 26 percent of the development costs, plus interest at US prime plus two percent per annum, prior to any distributions to the Company. In lieu of receiving funding from Teck Cominco, the Company may opt to finance the development costs for its 26% equity interest in the project. Pursuant to a Memorandum of Understanding dated May 3, 2007, the parties have agreed that Teck Cominco will, by March 31, 2008, make a one-time election to either exercise its option to acquire one half of PTC's interest in the project, or to terminate its interest in the project.

On May 7, 2007, the Company and its joint venture partners announced a comprehensive work program to facilitate the rapid development of the Petaquilla Copper Project. The agreed work program will advance the project through to completion of a Front-end Engineering and Design ("FEED") Program and an updated Social Environmental Impact Assessment for the project. The work includes programs to advance the dialogue with local communities and other affected stakeholders. The budget for the Work Plan is estimated to be US$24 million and, apart from certain minor shared costs, the Work Plan will be funded by Teck Cominco.

The parties have also agreed that the Company shall have the right to present proposals for the construction of the power plant and port facilities for the project, and associated infrastructure, including a road from the concession to the Caribbean coast. To the extent that the Company's proposals are technically, economically and commercially equivalent to or more attractive than the base case contemplated by the FEED program, the Company's proposals will be incorporated in the development of the project, and the Company will receive a management fee for preparing the proposals.

The entire Petaquilla area mineral concession lands total 795 square kilometres, of which 136 square kilometres comprise the Petaquilla Concession held by Minera Petaquilla, S.A. The remaining lands are held by PTQ. The Petaquilla concession currently has a total of 11 drill rigs working 24 hours per day with three additional drill rigs arriving shortly for a total of 14 working drill rigs.

A new National Instrument 43-101 resource study is currently being conducted for PTC by Behre Dolbear and is expected to be completed in the first half of 2008.

Further to the Company's recent news releases dated December 14, 2007, and December 24, 2007, the Company has negotiated a non-brokered private placement (the "Private Placement") offering of up to 14,500,000 Units at a price of $3.50 per Unit for maximum gross proceeds in the amount of $50,750,000 CAD. The first tranche of the Private Placement has closed, with the Company issuing a total of 6,571,200 Units at a price of $3.50 per Unit and raising gross proceeds of $22,999,200.00. The second tranche of a minimum of 3,600,000 Units for gross proceeds of $12,600,000.00 is scheduled to close prior to year end.

For further details on Petaquilla Copper Ltd., please visit the Company's website at www.petaquillacopper.com or contact its Shareholder Communications Centre at (604) 694-0021 or within North America at 1-877-694-0021. Public filings can be reviewed at www.sedar.com.

The statements contained in this news release that are not purely historical are forward-looking statements. Forward-looking statements may relate to the success of any of the Company's strategic initiatives, the Company's expectations, beliefs, growth and future prospects, and the Company's position in the market and future opportunities therein. Forward-looking statements may also include, without limitation, any express or implied statement relating to future events, industry performance, general business and economic conditions or circumstances, regulatory and legal requirements, and other matters, many of which are beyond the control of the Company. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. All forward looking statements included in this news release are based upon information available to the Company as of the date hereof and the Company does not undertake any obligations to update forward-looking statements should circumstances or management's beliefs or opinions change.

On behalf of the Board of Directors of PETAQUILLA COPPER LTD.

John Cook, President and Director

No stock exchange has approved or disapproved the information contained herein.

Contact Information

  • Petaquilla Copper Ltd.
    John Cook
    President and Director
    (604) 694-0021 or Toll Free: 1-877-694-0021
    (604) 694-0063 (FAX)
    Website: www.petaquillacopper.com