TIMMINS, ON, Jan. 24, 2012 /CNW/ - Moneta Porcupine Mines Inc. (TSX: ME) (OTC: MPUCF) (XETRA: MOP)
("Moneta" or the "Company") announces that its board of directors (the "Board") has approved the
adoption of a shareholder rights plan (the "Plan"), which takes effect
today. The Plan is similar to plans adopted by other Canadian
companies, and has been adopted to ensure the fair treatment of
shareholders in the event of any take-over bid for Moneta's common
Ian C. Peres, President and CEO of Moneta commented, "We have received
comments from retail and institutional investors that the gold resource
news we released on December 1, 2011 is a game changer for both Moneta
and the entire Timmins Gold Camp. These comments included numerous
references to the fact that Moneta's market capitalization is severely
disconnected from the perceived value of our current gold resources.
Accordingly, the Moneta board has elected to implement a Shareholder
Rights Plan for the protection of all shareholders."
The Plan has been conditionally approved by the Toronto Stock Exchange
and is subject to approval by Moneta's shareholders at the 2012 annual
and special meeting. A copy of the Plan will be available on the
Company's website at www.monetaporcupine.com and on SEDAR at www.sedar.com.
The primary objectives of the Plan are to provide shareholders with
adequate time to properly evaluate any offer, and also to provide the
Board with additional time to assess any offer and, if appropriate, to
explore and develop alternatives for maximizing shareholder value. The
Plan in no way prohibits a change of control of the Company in a
transaction that is procedurally fair to its shareholders. There is
currently no proposed or pending unsolicited take-over bid for the
Company of which management is aware.
The Plan was adopted by the Board of Directors following the
announcement of a major Mineral Resource Estimate for Moneta's Golden
Highway Project described in detail in our December 1, 2011 press
The Highlights of the new NI 43-101 resource estimate include:
The Mineral Resource Estimate is as follows:
Indicated: 1,071,000 ounces (33.5 Mt at 1.00 g/t Au); plus
Inferred: 2,069,600 ounces (47.8 Mt at 1.35 g/t Au);
The In-Pit Mineral Resources are as follows;
Indicated: 1,001,600 ounces (32.9 Mt at 0.95 g/t Au); plus
Inferred: 1,280,000 ounces (40.6 Mt at 0.98 g/t Au);
Strong potential for both in pit and out of pit resource growth.
Moneta's Golden Highway Project includes highly prospective Timiskaming
sediments with banded iron formation and associated mafic to ultramafic
volcanics that define 12 km of the Destor Porcupine Fault Zone in
Michaud Township near Timmins, Ontario. Gold mineralization occurs in
quartz and quartz-carbonate stockworks and discrete vein zones, all
with variable ankerite, hematite and sericite alteration.
R. Skeries, P.Geo., is the Qualified Person for the purposes of NI
43-101 and has approved the technical content of this release.
Moneta holds a 100% interest in 5 core projects strategically located
along the Destor Porcupine Fault Zone in the world class Timmins Camp
with excellent infrastructure including access roads, water,
electricity, and mills. The land position is one of the largest -
after three gold producers - including the highly prospective Golden
Highway Project which covers 12 kilometers of a volcanic/sedimentary
belt along the Destor Porcupine Fault Zone, similar to that which has
hosted the bulk of the 75 million ounces mined to date in the Timmins
Moneta's public documents may be accessed at www.sedar.com. For further information on Moneta, please visit our website at www.monetaporcupine.com or email us at email@example.com.
This news release includes certain forward-looking statements concerning
the future performance of our business, its operations and its
financial performance and condition, as well as management's
objectives, strategies, beliefs and intentions. Forward-looking
statements are frequently identified by such words as "may", "will",
"plan", "expect", "anticipate", "estimate", "intend" and similar words
referring to future events and results. Forward-looking statements are
based on the current opinions and expectations of management. All
forward-looking information is inherently uncertain and subject to a
variety of assumptions, risks and uncertainties, including the
speculative nature of mineral exploration and development, fluctuating
commodity prices, competitive risks and the availability of financing,
as described in more detail in our recent securities filings available
at www.sedar.com. Actual events or results may differ materially from
those projected in the forward looking-statements and we caution
against placing undue reliance thereon. We assume no obligation to
revise or update these forward-looking statements.
SOURCE Moneta Porcupine Mines Inc.
For further information:
Ian C. Peres, President & CEO