Dundee Resources Limited

May 04, 2007 16:39 ET

Interest In Mirabela Nickel Limited

TORONTO, ONTARIO--(CCNMatthews - May 4, 2007) - In accordance with regulatory requirements, Dundee Resources Limited ("Dundee Resources") announced today that its affiliate, Goodman & Company, Investment Counsel Ltd. ("Goodman") has, on behalf of mutual funds or client accounts managed by it, acquired an aggregate of 2,615,000 ordinary shares ("Shares") of Mirabela Nickel Limited ("Mirabela") at a price of C$5.30 per share, representing an approximate 2.13% interest in Mirabela. The Shares were purchased pursuant to the initial Canadian public offering, which was previously announced by Mirabela, and which closed on May 2, 2007 (the "Offering").

Immediately prior to the closing of the Offering, Dundee Resources owned an aggregate of 2,200,000 ordinary shares, representing an approximate 2.49% interest in Mirabela, Goodman had control or direction over an aggregate of 13,706,808 ordinary shares representing an approximate 15.50% interest in Mirabela and Dundee Securities Corporation, also an affiliate of Dundee Resources, owned warrants convertible into 250,000 ordinary shares of Mirabela at an exercise price of AUD$0.95, expiring on October 6, 2007 (the "Warrants"), representing an approximate 0.28% interest in Mirabela on a partially diluted basis.

Following the completion of the Offering, Dundee Resources and its affiliates own or have control and direction over an aggregate of 18,521,808 ordinary shares and 250,000 Warrants, representing an approximate 15.06 % interest in Mirabela on an undiluted basis or a 15.24% interest assuming the conversion of all Warrants held.

The position in Mirabela was acquired for investment purposes and may be increased or decreased in the future as considered appropriate in light of investment criteria, market conditions and other factors and in accordance with the provisions of applicable securities legislation.

Dundee Resources Limited is a wholly owned subsidiary of Dundee Corporation (TSX:DC.A) and carries out Dundee Corporation's resource investments and initiatives.

Contact Information

  • Dundee Resources Limited
    Ned Goodman
    (416) 365-5665
    Dundee Resources Limited
    Murray John
    President & Chief Executive Officer
    (416) 365-5645