TORONTO, ONTARIO--(Marketwire - April 23, 2012) - Cadillac Ventures Inc. (TSX VENTURE:CDC) ("Cadillac" or the "Company") announces that it has entered into a letter agreement with Iberian Minerals Corp. ("Iberian") to sell the Company's 90% joint venture interest in the Spanish Joint Venture with Minas de Aguas Tenidas, S.A. ("MATSA", a wholly owned subsidiary of Iberian) for Cdn$2,500,000.
Cadillac acquired its 90% interest in the joint venture pursuant to an agreement with MATSA entered into in December 2008 (see the Company's press release dated December 17, 2008).
Norman Brewster, President and CEO of Cadillac stated "At this time Cadillac is selling its interest in the Spanish Joint Venture in order to focus the Company's resources on the Thierry Project in NW Ontario, a copper/nickel project which is very advanced and continuing to develop. Planning is now underway to commence definition drilling and new exploration on the 5,422 hectare Thierry Property as soon as site conditions permit."
Completion of the transaction is subject to conditions, including execution of a definitive agreement among the parties, completion of due diligence and TSXV acceptance.
Pursuant to Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"), the transaction constitutes a "related party transaction" for Cadillac because Iberian is an affiliated entity of Trafigura Beheer B.V., which, indirectly beneficially owns or controls, approximately 25% of the Cadillac's outstanding shares. Cadillac is exempt from obtaining both a formal valuation and minority shareholder approval in connection with the transaction because neither the fair market value of Cadillac's 90% interest in the joint venture nor the proposed consideration for the interest exceeds 25% of the Company's market capitalization as calculated in accordance with MI 61-101.
About Cadillac
Cadillac is a development-focused copper company currently advancing its 100% owned Thierry Property, near Pickle Lake, Ontario. The Thierry Property consists of the past producing Thierry Mine and hosts two NI 43-101 compliant resources: Thierry Mine and K1-1.
Thierry Mine Deposit
The Thierry Mine is a past producing mine with a current resource estimate consisting of 8.8 million tonnes Measured and Indicated grading 1.66% Cu, 0.19% Ni, 4 g/t Ag, 0.05 g/t Au, 0.04 g/t Pt and 0.13 g/t Pd and 14.9 million tonnes Inferred grading 1.64% Cu, 0.16% Ni, 6.4 g/t Ag, 0.10 g/t Au, 0.07 g/t Pt, 0.21 g/t Pd using a cut-off NSR of C$41/tonne. The deposit remains open at depth and to the west.
K1-1 Deposit
The K1-1 is an open-pit, large tonnage, low grade deposit located approximately 3 km from the past producing Thierry Mine. The Inferred mineral resource estimate for K1-1 within a Whittle pit shell consists of the following: 53,614,000 tonnes grading 0.38% Cu, 0.10% Ni, 1.83 g/t Ag, 0.03 g/t Au, 0.05 g/t Pt, and 0.14 g/t Pd at an NSR cut-off of $11/tonne.
For more information regarding Cadillac, please visit the Company's website at www.cadillacventures.com.
Neither 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.
Contact Information:
Norman Brewster
President and Chief Executive Officer
416 203-7722
www.cadillacventures.com