SOURCE: Pacific Coast Nickel Corp.

July 16, 2007 16:08 ET

Pacific Coast Nickel Corp. Announces Approval of Name Change

VANCOUVER, BC--(Marketwire - July 16, 2007) - Pacific Coast Nickel Corp. (TSX-V: NKL) (formerly Fargo Capital Corp.) (FGO.P) is pleased to announce that it has completed the transaction constituting its qualifying transaction and the change of the Company's name to "Pacific Coast Nickel Corp."

The TSX Venture Exchange has accepted for filing the company's qualifying transaction described in its filing statement dated June 15, 2007. As a result, at the open on Monday, July 16, 2007, the company will no longer be considered as a capital pool company.

The qualifying transaction consists of the acquisition of 100% of the shares of PCNC Holdings Corp. (formerly Pacific Coast Nickel Corp.) through the issuance of a total of 17,525,000 common shares of the company at a deemed issue price of 40 cents per share.

A total of 4,430,002 shares issued to Pacific Coast Nickel's Shareholders are escrowed pursuant to an Exchange Tier 2 value escrow agreement. In addition 10,149,000 shares held by the Fargo Principals will be held in escrow for a total of 14,579,002 shares held in escrow which will be released 10% on listing and 15% every six months thereafter.

The Company also announces that it has closed a brokered Private Placement consisting of 1,000,000 Flow Through Shares at $0.50 per share for total proceeds of $500,000, Canaccord Capital acted as broker in this transaction and will receive commission of $40,000 and 100,000 agents warrants.

In addition the Company has closed non-brokered Private Placement of 4,200,000 shares at $0.40 per share for total proceeds of $1,680,000 and 1,000,000 flow through shares for proceeds of $500,000. Finder's fees in the amount of $140,800 and 415,000 Finders Warrants are payable on the non-brokered financing.

Concurrent with these transactions, Robert Dzisiak, Rahoul Sharan, Joseph Charland and Barry Sheahan have resigned from the board of directors and all previously held positions as officers of the Company and a new Board of Directors and officers of the Company was appointed as follows:

Michael Sweatman    President, Director
Murray McClaren     Vice President Director
John Kerr           Director
Shaun Maskerine     Director
Mike Elson          Director
The Company will trade under the symbol NKL

Additionally, 1,392,000 of the escrowed common shares of the Company owned by the principals and seed shareholders of the Company were sold to Longview Capital Partners Incorporated ("Longview") at prices of $0.10 per share and $0.15 per share. The 1,391,000 escrowed shares sold to Longview will continue to be held in escrow pursuant to the terms of the existing escrow agreement between the Company, the vendors of the shares and the Company's transfer agent.

About Pacific Coast Nickel Corp.

Pacific Coast Nickel Corp holds several properties which are prospective for Nickel and Copper. The Company's major property is the Big Nic property located approximately 20 km North West of Hope BC immediately West of the former the Giant Mascot Mines a former nickel producer.

To date the Company has conducted and is contemning to conduct exploration consisting of Geophysical surveys and prospecting. A drilling program is scheduled for later this year on the Big Nic property to test several areas.

For Further information please contact Michael Sweatman President, 604-684-4312 or 604.681.5755.

For further information, please refer to the company's filing statement dated June 15, 2007, which is available on SEDAR. (www.sedar.com)

The TSX Venture exchange has not reviewed the contents of this news release.

Contact Information

  • Contact:

    Pacific Coast Nickel Corp.
    Suite 605 475 Howe Street
    Vancouver, BC
    V6C 2B3
    604-684-4312
    fax 604-608-3294