Stelmine Canada Ltd. obtains receipt for final prospectus



    LAVAL, QC, Dec. 24 /CNW/ - Stelmine Canada Ltd. ("Stelmine"), a
subsidiary of Stellar Pacific Ventures Inc. ("Stellar"), announces that it has
obtained a receipt for a final prospectus for the distribution of a minimum of
900 Series "A" Units ("A Units") and 300 Series "B" Units ("B Units") (the
"Minimum Offering") and a maximum of 1,050 A Units and 300 B Units (the
"Maximum Offering") for gross proceeds of $1,215,000 in the event the Minimum
Offering is subscribed and $1,365,000 in the event the Maximum Offering is
subscribed.
    Canaccord Capital Corporation will act as agent for Stelmine's initial
public offering.
    Each A Unit, offered at a price of $1,000, includes (i) 2,600
flow-through common shares of Stelmine ("Flow-Through Shares") within the
meaning of the federal Income Tax Act and the Quebec Taxation Act at a price
of $0.30 per Flow-Through Share, (ii) 1,100 common shares of Stelmine ("Common
Shares") at a price of $0.20 per Common Share and (iii) 1,100 warrants
("Warrants"), each Warrant entitling its holder to subscribe for one (1)
additional Common Share at a price of $0.25 during the 12-month period
following the initial closing and thereafter at a price of $0.30 until the
24th month following the initial closing.
    Each B Unit, offered at a price of $1,050, includes (i) 5,250 Common
Shares at a price of $0.20 per Common Share and (ii) 5,250 Warrants, each
Warrant entitling its holder to subscribe for one (1) additional Common Share
at a price of $0.25 during the 12-month period following the initial closing
and thereafter at a price of $0.30 until the 24th month following the initial
closing.
    The net proceeds of the distribution will be used to complete exploration
work on the Opinaca property and for working capital purposes.
    Stelmine has obtained, from the TSX Venture Exchange (the "Exchange"), a
conditional approval to list its Common Shares for trading on the Exchange.
    Concurrently with the initial public offering, Stellar, the current sole
shareholder of Stelmine, will distribute an aggregate of 2,400,000 Common
Shares of Stelmine held by Stellar to the shareholders of Stellar. The Board
of Directors of Stellar will fix a record date for the distribution, which
will be communicated later by Stellar.
    In press releases dated December 21, 2006 and April 12, 2007,
respectively, Stellar disclosed certain terms pertaining to the payment of the
dividend in kind. The disclosure concerned, among other things, the
distribution of 8,750,000 shares of Stelmine to the shareholders of Stellar as
a dividend.
    The approvals of the regulatory authorities having jurisdiction over
Stelmine's securities having not been obtained to Stelmine's satisfaction,
Stellar and Stelmine mutually agreed that Stellar will return 6,350,000 Common
Shares to Stelmine, for no consideration, and that Stelmine will cancel those
shares so that the dividend in kind previously declared by Stellar will
henceforth be 2,400,000 Common Shares of Stelmine, still for the same
consideration. As a result, Stellar will pay to its shareholders, on the
distribution record date to be fixed by Stellar's management and to be
announced through a press release, a dividend in kind, namely, the 2,400,000
Common Shares that it holds in the share capital of Stelmine. The dividend
will be paid to Stellar's shareholders on the basis of one Stelmine Common
Share per block of approximately 25 common shares of Stellar. The declaration
and payment of the dividend in its current form are subject to approval by the
regulatory authorities having jurisdiction over the securities of Stellar and
Stelmine.
    This transaction will allow Stellar to concentrate its efforts on
accelerating the development of its Vassan project and will allow it to
continue exploration on its other projects through Stelmine.

    The TSX Venture Exchange does not accept any responsibility for the
    adequacy or accuracy of this press release.

    %SEDAR: 00007510EF




For further information:

For further information: Michel Lemay, President and Chief Executive
Officer, (514) 866-6299, (514) 866-8096 (fax)

Organization Profile

STELLAR PACIFIC VENTURES INC.

More on this organization

STELMINE CANADA LTD.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890