THUNDER BAY, ON, May 8, 2013 /CNW/ - Benton Capital Corp. (TSXV: BTC) ("Benton") is pleased to provide the following press
release received from Coro Mining Corp. ("Coro"). Benton currently
holds 41.84% of the issued and outstanding shares of Coro. Benton's
net asset value including its approximate $1.1 million in cash and the
value of the Coro investment equates to approximately $0.127 per issued
and outstanding common share of Benton versus its current trading price
of $0.04 per share (all figures based on May 7, 2013 closing market
prices). Coro's news release is reproduced below:
May 8th 2013, Coro Mining Corp. ("Coro" or the "Company") (TSX Symbol: COP) is pleased to announce that
it has signed a Letter of Intent ("LOI") with ProPipe SA, ("ProPipe")
an engineering firm based in Santiago, Chile which gives ProPipe the
right to earn up to a 50% interest in the Berta property, located
approximately 20km west of the village of Inca de Oro, in the III
Region of Chile. Coro also announces that it has renegotiated the terms
of its underlying option agreement to acquire Berta, by reducing the
payment due on 10th June 2013 from US$1,500,000 to US$500,000 and the
final payment due on 10th June 2014 from US$3,500,000 to US$2,500,000.
A 1.5% NSR will now apply to all production from the property.
Alan Stephens, President and CEO of Coro commented, "We are delighted
that ProPipe have agreed to become our partner on the Berta project,
and are confident that their extensive Chilean engineering experience
will result in the expeditious development of an operation capable of
producing approximately 5,000 tpy copper cathode, on a highly cost
effective basis. ProPipe carried out the Company's recent NI43-101
resource estimate technical report and as a result are fully familiar
with the project. We hope that Berta will form the basis of a new
business partnership which will combine Coro's demonstrated ability to
identify new projects, and ProPipe's capacity to develop them
efficiently and will be the first step in building a sustainable cash
flow generating business for the Company."
Victor Araya, Director of ProPipe commented, "We are very pleased to
have the opportunity to participate in the development of Berta, and
wish to advance it to a production decision as soon as possible.
ProPipe look forward to establishing a relationship with Coro, and hope
that it will lead to new opportunities to build a high technology,
performance mining business in Chile in the future."
The principal terms of the LOI are;
Within 10 days of signing the LOI, Coro will form a new company, NewSCM
and transfer its rights to the Berta property.
ProPipe may earn up to 50% of the shares in NewSCM by completing a
series of payments, work commitments and project financing, thereby
earning percentages of that company as follows;
Making the US$500,000 option payment due on 10th June 2013: 10% earned
Completing and filing an Environmental Impact Declaration by 30th July
2013: 3% earned
Completing a NI43-101 compliant PEA by September 30th 2013: 5% earned
Obtaining and structuring project financing on non-recourse basis, at
market conditions, with funds available within 6 months of completion
of the PEA, for a minimum of 70% of the project cost, including a cost
overrun facility, as determined in the PEA. In the event that this
financing is for 100% of the project cost, ProPipe will earn 32% of New
SCM, for a total shareholding of 50%. If the financing is between 70%
and 100% of the required funding, ProPipe will earn a pro-rata
shareholding in NewSCM. At the minimum 70% level, they would earn 22.4%
of NewSCM, for a total shareholding of 40.4%. In the event that less
than 100% funding is received, ProPipe have the right to earn the
corresponding shareholding for the percentage difference in funding, or
to assign their right to do so to a third party on the same terms. In
the event that they do neither, they must complete such additional work
and reports as required by Coro by March 31st 2014, for Coro to obtain
the financing required and thus earn the corresponding shareholding.
In the event that ProPipe do not arrange a minimum of 70% project
financing, they must complete a NI43-101 compliant DFS for the project
by 31st March 2014, and by so doing, will earn an additional 7%
shareholding, for a total shareholding of 25% in NewSCM. Coro and
ProPipe will then seek project financing on a pro-rata basis
In the event that the financing does not include the US$2,500,000 option
payment due on June 10th 2014, ProPipe and Coro will fund this
ProPipe will be Operator during the development and construction of the
project, thereafter the Operatorship will alternate every 2 years.
There will be a 30 day due diligence period to confirm title to the
property, followed by the expeditious drawing up and signature of a
definitive shareholders agreement.
About ProPipe SA
ProPipe is a Chilean supplier of consultancy, engineering and project
management services to its customers in the mining process,
infrastructure and environment markets. ProPipe have relevant
experience in conceptual and basic design, preliminary feasibility and
feasibilities studies, and detailed engineering for mining companies in
Chile. Some of its principal clients are BHP Billiton (Minera
Escondida), Antofagasta Minerals (Minera Los Pelambres, Minera El
Tesoro, and Minera Esperanza), Minera Las Cenizas and Algorta Norte.
ProPipe's recent projects include the Camarones 7,000 tonne per year
copper cathode plant, the Algorta Norte 78 km sea water pipeline, and
Minera Escondida's Coloso filter plant expansion project.
Berta is a modest sized, near surface, copper oxide deposit, with
mineralization, as defined by drilling, mapping and geochemistry,
occurring in three principal areas; Berta Sur, Central and Norte. It is
associated with sub-vertical, elongate, potassically altered porphyry
intrusive bodies and related hydrothermal and intrusive breccias,
emplaced into a tonalite stock. At Berta Sur, this mineralization is
present within a roughly horseshoe shape area with oxidation extending
from surface to depths of 50m to 100m. Berta Central comprises several
smaller bodies, located immediately north of Berta Sur, which were the
focus for previous small scale copper oxide production. Berta Norte
comprises several, discreet, NW oriented zones of mineralization,
individually 25-85m in width, 100-250m in strike length and partially
Coro announced a NI43-101 compliant resource estimate for the Berta Sur
area, in its news release NR12-19, dated December 6th 2012 and the
results of preliminary metallurgical test work in its news release
NR12-17, dated November 5th 2012. We see potential for additional
resources on the property in the Berta Central deposits, and believe
there may be potential in the surrounding district to augment these.
All final agreements have been signed with Teck for the sale of the
Chacay property and we are in the final stages of registering the
claims transfer with the authorities. Payment of US$2,000,000, as
described in our news release NR13-03, dated April 2nd 2013, will be
received upon delivery of proof of transfer to Teck, which we expect to
be completed very shortly.
Payen, El Desesperado and Llancahue
In light of the current difficult market conditions, Coro has elected to
seek partners for its three active Chilean exploration projects.
Confidentiality agreements have been signed with a number of companies,
and data and field reviews completed by several of them.
The approval process for the update to the Company's approved
Environmental Impact Study ("EIS") submitted to the government of
Mendoza, Argentina in July 2012, in relation to the San Jorge
Bi-provincial Leach Project ("SJBP") continues to progress within the
applicable time frames established by the provincial regulations. The
SJBP Leach Project comprises a rock quarrying operation in Mendoza
province together with a processing plant located in San Juan province,
for the production of up to 25,000 tonnes per year of copper in
cathode. The approval sought is confined to the proposed railway line
to transport ore from the San Jorge quarry to a planned solvent
extraction/electro-winning plant located in San Juan. Once granted, no
further environmental approvals would be required from the Mendoza
government, as the quarry itself and associated crushing facilities
have already been approved in the existing EIS.
The SJBP Leach Project could be operated in full compliance with all
existing laws and regulations in both provinces and applicable
royalties would be paid to the province of Mendoza. Additionally, as no
mineral processing would take place in Mendoza, no substances banned by
the 7722 law would be employed there. We continue to look forward to
the approval of this simple update by the Mendoza authorities later
this year, so that a further EIS for the proposed plant facilities in
San Juan province can be prepared and submitted.
Alan Stephens, FIMMM, President and CEO of Coro, a geologist with more
than 37 years of experience, is the Qualified Person for Coro who has
reviewed and approved the contents of this news release.
CORO MINING CORP.
President and CEO
About Coro Mining Corp.:
The Company was founded with the goal of building a mining company
focused on medium-sized base and precious metals deposits in Latin
America. The Company intends to achieve this through the exploration
for, and acquisition of, projects that can be developed and placed into
production. Coro's properties include the Berta copper development
project and the Payen, El Desesperado, Llancahue exploration properties
all located in Chile; and the advanced San Jorge copper-gold project,
For further information please visit the Company's website at www.coromining.com or contact Michael Philpot, Executive Vice-President at (604) 682 5546
This news release includes certain "forward-looking statements" under
applicable Canadian securities legislation. Such forward-looking
statements or information, including but not limited to those with
respect to the prices of copper, estimated future production, estimated
costs of future production, permitting time lines, involve known and
unknown risks, uncertainties, and other factors which may cause the
actual results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements or
information. Such factors include, among others, the actual prices of
copper, the factual results of current exploration, development and
mining activities, changes in project parameters as plans continue to
be evaluated, as well as those factors disclosed in the Company's
documents filed from time to time with the securities regulators in the
Provinces of British Columbia, Alberta, Saskatchewan, Manitoba,
Ontario, New Brunswick, Nova Scotia, Prince Edward Island and
Newfoundland and Labrador.
On behalf of the Board of Directors of Benton Capital Corp.,
Stephen Stares, President
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
The information contained herein contains "forward-looking statements"
within the meaning of applicable securities legislation.
Forward-looking statements relate to information that is based on
assumptions of management, forecasts of future results, and estimates
of amounts not yet determinable. Any statements that express
predictions, expectations, beliefs, plans, projections, objectives,
assumptions or future events or performance are not statements of
historical fact and may be "forward-looking statements."
Forward-looking statements are subject to a variety of risks and
uncertainties which could cause actual events or results to differ from
those reflected in the forward-looking statements, including, without
limitation: risks related to failure to obtain adequate financing on a
timely basis and on acceptable terms; risks related to the outcome of
legal proceedings; political and regulatory risks associated with
mining and exploration; risks related to the maintenance of stock
exchange listings; risks related to environmental regulation and
liability; the potential for delays in exploration or development
activities or the completion of feasibility studies; the uncertainty of
profitability; risks and uncertainties relating to the interpretation
of drill results, the geology, grade and continuity of mineral
deposits; risks related to the inherent uncertainty of production and
cost estimates and the potential for unexpected costs and expenses;
results of prefeasibility and feasibility studies, and the possibility
that future exploration, development or mining results will not be
consistent with the Company's expectations; risks related to gold price
and other commodity price fluctuations; and other risks and
uncertainties related to the Company's prospects, properties and
business detailed elsewhere in the Company's disclosure record. Should
one or more of these risks and uncertainties materialize, or should
underlying assumptions prove incorrect, actual results may vary
materially from those described in forward-looking statements.
Investors are cautioned against attributing undue certainty to
forward-looking statements. These forward looking statements are made
as of the date hereof and the Company does not assume any obligation to
update or revise them to reflect new events or circumstances. Actual
events or results could differ materially from the Company's
expectations or projections.
SOURCE: Benton Capital Corp.
For further information:
Stephen Stares @:
3250 Highway 130,
Rosslyn, ON P7K 0B1
Phone (807) 475-7474
Fax (807) 475-7200