VANCOUVER, March 5, 2013 /CNW/ - Catalyst Copper Corp. (TSXV: CCY) (the "Company" or "Catalyst") is pleased to announce today that it has closed the first tranche, of
4,066,667 units for proceeds of $244,000, of its previously announced
non-brokered private placement of 10,000,000 units (the "Offering") of the Company at a price of $0.06 per unit.
The Company elected not to complete the entire 10,000,000 units
announced February 20, 2013 due to the expected decision from Teck
Resources Limited in regards to Catalyst's La Verde Project, Mexico on
or before March 4, 2013. It elected to cut-off acceptance of
subscription agreements as of February 27, 2013. Once a decision is
received from Teck Resources Limited, the Company will look at whether
to proceed with the balance of the offering at the higher of the
$0.06/unit or a post-announcement price.
The Corporation intends to use the proceeds from the sale of the Units
to meet ongoing concession fees and site maintenance at the La Verde
project and general working capital.
Each unit consists of one common share and one half of a common share
purchase warrant. Each whole warrant will entitle its holder to
purchase one additional common share of the Company until five (5)
years from the closing date, at a price of $0.12 per common share. The
securities issued under the private placements will be subject to a
four-month hold period ending July 4, 2013.
Insiders of the Company purchased 3,166,667 units of the 4,066,667 units
(~ 78%) of in the first tranche.
About La Verde
La Verde is located in an area with excellent infrastructure: Power,
rail and water. Lazaro Cardenas, Mexico's third largest port on the
Pacific Ocean is 180 km from the site. Significant upside potential
remains for the two known zones of porphyry style copper, gold and
silver mineralization as drill programs have shown both deposits remain
open to depth and along strike.
ON BEHALF OF THE BOARD OF DIRECTORS OF
CATALYST COPPER CORP.
"John W. Greenslade"
John W. Greenslade - President, CEO (Director)
Certain information set forth in this news release may contain
forward-looking statements that involve substantial known and unknown
risks and uncertainties. These forward-looking statements are subject
to numerous risks and uncertainties, certain of which are beyond the
control of the Company, including, but not limited to, risks associated
with mineral exploration and mining activities, the impact of general
economic conditions, industry conditions, dependence upon regulatory
approvals, and the uncertainty of obtaining additional financing.
Readers are cautioned that the assumptions used in the preparation of
such information, although considered reasonable at the time of
preparation, may prove to be imprecise and, as such, undue reliance
should not be placed on forward-looking statements. Neither TSX
Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
SOURCE: Catalyst Copper Corp.
For further information:
Corporate Communications Officer: Denby Greenslade (604) 638-5900.