Iberian Minerals Corp.

Iberian Minerals Corp.

November 17, 2006 14:29 ET

Iberian Minerals Corp.: Further Update concerning Subscription Receipts

TORONTO, ONTARIO--(CCNMatthews - Nov. 17, 2006) - Iberian Minerals Corp. ("IZN") (TSX VENTURE:IZN) announces that:

While the resolutions ratifying the permit required for the construction of the ore processing plant and tailings deposit at Aguas Tenidas (Ampliacion de la Actividad en Mina de Aguas Tendias con La Construccion de una Planta de Tratameinto y un Deposito de Esteriles) were not received by the close of business yesterday, all remaining escrowed subscription receipts were voluntarily exercised by the holders and have been converted into common shares in accordance with their terms.

The receipt of this permit was the remaining condition required for the release from escrow of the proceeds of the Company's subscription receipt financing (previously announced on April 28th, 2006).

About Iberian Minerals Corp.

Iberian Minerals Corp. through its wholly owned subsidiary Minas de Aguas Tenidas S.A.U. ("MATSA") is currently proceeding with the re-opening of the Aguas Tenidas copper/zinc project located in the Region of Andalucia, SW Spain. In January this year a feasibility report on the project was prepared by SRK Consulting of Cardiff UK, which demonstrated the technical feasibility and economic viability of the project (press release January 20th, 2006). The project has sufficient reserves for a 13 year operating life at a production rate of 1.60 million tonnes annually. The Company has also signed a long term offtake agreement with Trafigura Beheer AG for the sale of all its metal concentrates from Aguas Tenidas.

The Company is in the process of arranging a financing package for the project through a combination of project bank debt, subordinated debt, and equity. Construction is expected to begin in the fourth quarter of 2006, with initial commercial production of metal concentrates commencing in 2008.

In addition to the Aguas Tenidas project the Company, through MATSA, holds an extensive land position of exploration properties within the Iberian Pyrite Belt.

Iberian Minerals Corp. trades on the TSX-V under the symbol IZN, as of November 15, 2006 there were 159,646,614 shares issued and outstanding.

This press release includes certain "Forward-Looking Statements" within the meaning of the US Private Securities Reform Act of 1995. Other than statements of historical fact, all statements are "Forward-Looking Statements" that involve such various known and unknown risks, uncertainties and other factors. There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this press release are cautioned not to place undue reliance on these "Forward-Looking Statements". All dollar amounts are in Canadian dollars unless otherwise noted.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Iberian Minerals Corp.
    Peter Miller
    (416) 815-8558
    Iberian Minerals Corp.
    Norm Brewster
    (416) 815-8558