Constellation Copper Corporation - Default Under Convertible Debentures

    TSX: CCU

    DENVER, CO, March 31 /CNW Telbec/ - Constellation Copper Corporation
(CCU:TSX) announced today that approximately Cdn$1.9 million of interest due
on March 31, 2008 on its Cdn.$69 million convertible unsecured senior
debentures has not been paid, resulting in a default under the terms of the
convertible debentures. If the interest is not paid within 30 days, by April
30, 2008, such default will become an Event of Default as defined in the
indenture, after which the terms of the convertible debentures provide the
debenture holders with certain rights and remedies during the continuance of a
default, including the right to accelerate all of the debt due under the
convertible debentures.
    The Company continues to pursue various near term financing alternatives,
including bank financing, equity investment, mergers, and sale of certain
assets or sale of the entire company. The Company may consider filing for
legal protection from its creditors in both Canada and the United States if
cash liquidity problems can not be resolved.

    This press release contains certain forward-looking statements. In
certain cases, forward-looking statements can be identified by the use of
words such as "plans", "expects" or "does not anticipate", or "believes", or
variations of such words and phrases or statements that certain actions,
events or results "may", "could", "would", "might" or "will" "be taken",
"occur" or "be achieved". Forward-looking statements 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 the
forward-looking statements. Such factors include, among others, risks related
to changes in commodity and power prices, changes in interest and currency
exchange rates, inaccurate geological and metallurgical assumptions (including
with respect to the size, grade and recoverability of mineral reserves and
resources), unanticipated operational difficulties (including failure of
plant, equipment or processes to operate in accordance with specifications,
cost escalation, unavailability of materials and equipment, delays in the
receipt of government approvals, industrial disturbances or other job action,
and unanticipated events related to health, safety and environmental matters),
political risk, social unrest, and changes in general economic conditions or
conditions in the financial markets. Although the Company has attempted to
identify important factors that could cause actual actions, events or results
to differ materially from those described in forward-looking statements, there
may be other factors that cause actions, events or results to differ from
those anticipated, estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
forward-looking statements.
    %SEDAR: 00002465E

For further information:

For further information: Constellation Copper Corporation: Patrick
James, Chief Executive Officer; Michelle Hebert, Manager, Corporate Affairs,
(720) 228-0055, Toll Free: 1-877-370-5400, Fax: (303) 863-1736,,; Renmark Financial
Communications Inc.: Neil Murray-Lyon,;
Barbara Komorowski,, (514) 939-3989, Fax:
(514) 939-3717,

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Constellation Copper Corporation

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