El Condor closes $2 million financing


US Symbol:  ECNRF

VANCOUVER, Feb. 12, 2013 /CNW/ - El Condor Minerals Inc. ("El Condor" or the "Company") is pleased to announce that it has completed its previously announced $2,000,000 financing (the "Financing").  $733,500 of the Financing was completed pursuant to a non-brokered private placement of 14,670,000 common shares at a price of $0.05 per common share (the "Equity Financing").  The sole subscriber in the Equity Financing was Sheridan Platinum Group Ltd. ("Sheridan") who, as a result of the Equity Financing, is now an "insider" of the Company pursuant to applicable securities laws.

The remaining amount of the Financing was completed by way of debt financing (the "Debt Financing").  $866,500 of the Debt Financing was advanced under a non-convertible loan granted by Sheridan, and $400,000 was advanced under a convertible loan by an arm's-length third party. Each of the two concurrent loans are for a term of five years, bear interest at a rate of 5% per annum, payable quarterly, and are secured against the assets of the Company.  All or a portion of the principal amount of the convertible loan is convertible for common shares in the Company at the price of $0.10 per common share, in whole or in part at the lender's option, at any time during the 5-year term.  However should the 20-day average trading price of the common shares of the Company on the TSX Venture Exchange exceed $1.00, the lender will be obliged to convert the outstanding loan principal to common shares of the Company at the price of $0.10 per share.  Both of the loans also include a demand provision whereby the lenders can demand repayment at any time after the second anniversary of closing upon 120 days' notice duly given to the Company.

In connection with the Financing, the Company has agreed to issue 1,600,000 common shares and 800,000 warrants (each, a "Finder's Warrants") to a finder.  Each Finder's Warrant is exercisable to acquire an additional common share of the Company at an exercise price of $0.10 until February 8, 2015.

All securities issued pursuant to the Financing are subject to a statutory hold period expiring on June 9, 2013.  The proceeds from the Financing have been used to retire a $2,000,000 debt of the Company.

About El Condor Minerals Inc.

El Condor Minerals Inc. is currently developing the Horden Lake Cu-Ni Project, an advanced exploration stage copper-nickel deposit in Quebec. Horden Lake is a NI 43-101 compliant resource calculated effective April 2009 using the Ordinary Kriging method and a 0.5% copper cut-off, with 8,759,200 Indicated Tonnes at 0.88% Cu and 0.21% Ni and 7,791,195 Inferred Tonnes at 0.87% Cu and 0.25% Ni. The resource is unbounded at depth as well as along both its northeasterly and southwesterly strike extensions, where historic drilling by INCO continues to intersect the mineralization.

Additional information on El Condor, its properties and its exploration and development activities is available at the Company's website: www.elcondorminerals.com.


"Leigh W. Freeman"

President & CEO

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States.  The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to a U.S. Person unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

FORWARD LOOKING STATEMENTS: This press release contains forward-looking statements.  Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur.  Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements.  Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date such statements were made.  The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the 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: El Condor Minerals Inc.

For further information:

please contact the Company at (604) 689-8336 or info@elcondorminerals.com.

Profil de l'entreprise

El Condor Minerals Inc.

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