Pacific Imperial Mines Inc.
TSX VENTURE : PPM.H

Pacific Imperial Mines Inc.

September 27, 2010 12:53 ET

Pacific Imperial Mines Announces Sale of Goldchina

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 27, 2010) - PACIFIC IMPERIAL MINES INC. (TSX VENTURE:PPM.H) ("The Company") announces that it has entered into an agreement dated as of August 20, 2010 with Yunnan Nonferrous Metals Resources Group Ltd. ("Yunnan Non-Ferrous") pursuant to which the Company has agreed to transfer to Yunnan Non-Ferrous all of its interest in its 100% owned subsidiary, Gold China Holdings Group Limited, and thereby all of its interests in the Tangshang and Salachong mineral properties in Yunnan Province, China. In consideration for the transfer, Yunnan Non-Ferrous will pay to the Company a purchase price of $476,000. The full amount of the purchase price has been paid to the Company and is to be released following receipt of regulatory and shareholder approval to the Sale Agreement.

It is also a condition of the Agreement with Yunnan Non-Ferrous that the original owners of Goldchina return to the Company for cancellation, without payment or compensation of any sort whatsoever, a total of 15,104,760 common shares of the Company. These common shares were issued to the original owners pursuant to the reverse take-over of Goldchina in 2004. The certificates representing the common shares to be cancelled have been delivered to the Company in transferable form and will be returned to treasury following receipt of regulatory and shareholder approval to the Agreement with Yunnan Non-Ferrous. The shares to be cancelled represent 96.2% of the shares issued to the original owners pursuant to the 2004 reverse take-over.

As the sale by the Company of Goldchina represents the disposition of substantially all of the business undertaking of the Company, the Company is required to obtain a special resolution of disinterested shareholders pursuant to the provisions of the Business Corporation Act (British Columbia) before proceeding. Accordingly, the Company has called an annual and general meeting of its shareholders to be held on October 22, 2010 for the purposes of conducting its annual business and to seek a special resolution of disinterested shareholders approving the sale of Goldchina. The sale of Goldchina also remains subject to regulatory approval.

Further information with respect to the sale of Goldchina is contained in the Company's information circular dated September 24, 2010, available for review at www.sedar.com.

Upon completion of the sale of Goldchina, the Company will embark on a search for new business opportunities to pursue.

On behalf of the Board of Directors
PACIFIC IMPERIAL MINES INC.

 s/"H.Leo King" 
H. Leo King
President and Director

This news release has been prepared by management and no regulatory authority has approved or disapproved the information contained herein.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), accept responsibility for the adequacy or accuracy of this News Release.

Contact Information

  • Pacific Imperial Mines Inc.
    Leo King
    President
    604-669-6332
    604-688-9336 (FAX)
    ppm-corp@telus.net