Benz Capital Corp.
TSX VENTURE : BZ

January 09, 2015 16:23 ET

Benz Capital Corp. Receives TSXV Approval for the Acquisition of Up to a 100% Interest in the San Javier Copper Project

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan. 9, 2015) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN.

Benz Capital Corp. (the "Corporation" or "Benz") (TSX VENTURE:BZ) is pleased to announce that it has received final approval from the TSX Venture Exchange (the "TSXV") for the acquisition of up to a 100% interest in the San Javier Copper Project in Sonora, Mexico pursuant to an option agreement (the "Option Agreement") with Tusk Exploration Ltd., a private British Columbia company ("Tusk").

Pursuant to the terms of the Option Agreement, Benz has made the initial cash payment of $200,000 and issued to Tusk 8,571,428 common shares in the capital of Benz at a deemed price of $0.35 per share, to earn an initial 30% interest in the San Javier Copper Project. The shares issued to Tusk are subject to an escrow agreement in accordance with the TSXV's value securities escrow policy.

"The receipt of TSXV approval of the San Javier Option Agreement brings us closer to becoming a copper producer," said Miloje Vicentijevic, President and CEO of Benz. "Following the closing of the transaction, we have retained a conservative share structure that will enable Benz to continue developing the project as well as building our portfolio of copper assets."

Next Steps

Benz believes that considerable potential exists to upgrade the existing 6 million tonnes of Inferred Mineral Resources (grading 0.39% copper) into the total of 54 million tonnes of Indicated Mineral Resources (grading 0.32% copper). Benz plans to commence a Preliminary Feasibility Study ("PFS") during 2015. In addition, Benz plans to initiate environmental assessment study and permitting processes during the same time frame.

This news release contains forward-looking statements or information (collectively referred to herein as "forward-looking statements") about the Corporation's expectations regarding the Transaction and the Property's mineral resources that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties. Although the Corporation believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them as actual results may differ materially from the forward-looking statements and there can be no assurance that such expectations will prove to be correct. Risks, uncertainties and factors that could cause the actual results to differ materially from those in forward-looking statements include failure to complete the Transaction for any reason whatsoever, including that the shareholders and/or the Exchange may not approve the Transaction or the Corporation may not be able to complete the Financing, the mineral resource estimate for the Property may be substantially less than as indicated in the technical report and the potential development of the Property to a producing mine may not occur as planned or at all. Readers are cautioned that the foregoing list of risks, uncertainties and other factors is not exhaustive. Unpredictable or unknown factors not discussed could also have material adverse effects on forward-looking statements. The impact of any one factor on a particular forward-looking statement is not determinable with certainty as such factors are dependent on other factors, and the Corporation's course of action would depend on its assessment of the future considering all information then available.

The forward-looking statements contained in this news release are made as of the date hereof, and the Corporation undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

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.

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