VANCOUVER, March 20, 2012 /CNW/ - Nanika Resources Inc. (TSXV: NKA) and (FSE: C7X) announces that it has made the $80,000 property option payment on behalf of the Joint Venture subsidiary Canada Molybdenum Corp. ("CMC") on the Lucky Ship Molybdenum Property Option Agreement, which agreement is now in good standing until January 31, 2013. The Korean joint venture partners have confirmed that they are in the process of making payment of 40 percent of the property option expense, with Nanika paying sixty percent. The joint venture company "Canada Molybdenum Corp." is responsible for the continued exploration, development and mining right to the "Lucky Ship" molybdenum project located at the "Nanika Ridge" site approximately 85 kilometres southwest of the town of Houston, British Columbia. The property has an indicated mineral resource of 65.66 million tonnes of average 0.064% Molybdenum or 92.6 million pounds of Molybdenum as per National Instrument 43-101 compliant reports. The joint venture company has not held a meeting to approve any further exploration or development work at the current time on the "Lucky Ship" project. The future of the project is dependent on the market price of molybdenum and the availability of financing for the project, among other factors. At the present time the shareholdings in Canada Molybdenum Corp. are: Nanika Resources Inc. is 60%, Daewon Chemical Co. Ltd. is 21%, Heshbon Co. Ltd. is 9.5%, and Palm Clean Energy, Inc. is 9.5%.
About Nanika Resources Inc.
Nanika Resources Inc. is a TSX Venture listed mineral exploration and development company focusing on the advancement of its mineral properties, all of which are located within Canada.
On Behalf of the Board,
James D. Jacuta,
Chairman, President and CEO.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada (IIROC) accepts responsibility for the adequacy or accuracy of this release.
For further information:
Nanika Resources Inc. at 604-638-0699 or Toll Free at 1-866-580-0699