TORONTO, ONTARIO--(Marketwire - Dec. 1, 2011) - Copper One Inc. (TSX VENTURE:CUO) (the "Company" or "Copper One") is pleased to announce that it has signed a purchase agreement (the "Purchase Agreement") with Cartier Resources Inc. ("Cartier") to acquire 100% of the Riviere Dore copper nickel property (the "Property") located near the town of Val-d'Or, Quebec.
Under the terms of the Purchase Agreement, Copper One will acquire 100% of the Property by paying to Cartier $150,000 in cash, issuing to Cartier 2,000,000 common shares of Copper One and granting to Cartier a royalty of 1% of the net smelter return in connection with ore extracted from the Property. Copper One has also agreed to pay to Cartier in cash in three equal installments over the 18-month period following the commencement of commercial production on the Property an amount equal to 2% of the net present value shown in a bankable feasibility study prepared by a recognized firm of independent engineering consultants in respect of the Property at the direction of Copper One. The Purchase Agreement is subject to approval of the TSX Venture Exchange.
Upon the closing of the transaction under the Purchase Agreement, the option and joint venture agreement entered into between Copper One and Cartier in respect of the Property, and announced in a press release issued by Copper One on January 18, 2011, will terminate.
Benoit Moreau , President and Chief Executive Officer of Copper One, stated: "The acquisition of the Riviere Dore Property will allow the Company to consolidate its position in a very favourable mining jurisdiction in Quebec. Access to the Riviere Dore Property is easy and we have identified several high priority targets. Copper One intends to expend significant resources and efforts to unlock the Property's tremendous potential."
The 60,500 hectare Riviere Dore Property includes an 80 kilometer long newly discovered mafic layered intrusive complex from which Copper One has reported numerous copper and nickel showings, with platinum group elements, including net textured copper-nickel sulfides in pyroxenite (see the press release issued by Copper One on December 2, 2010). Based on the occurrence of EM conductors, geomagnetics, till sampling, favorable geology and rock sampling anomalies that indicate potential for copper-nickel sulfide mineralization, Copper One has identified for drilling 35 primary targets located throughout the Property (see the press release issued by Copper One on May 26, 2011).
On July 8, 2011, Copper One announced that, following discussions with the Ministere de Ressources naturelles et de la Faune, the Secretariat aux affaires autochtones, and the Algonquin Community of Rapid Lake, exploration work on the property had been put on hold pending discussions among Copper One, Cartier and the other stakeholders located near the Property. The Ministere des Ressources naturelles et de la faune has granted an extension of the term for the claims that comprise the Property to July 3rd 2013, if necessary. All of such claims currently are in good standing and there are no work commitment requirements during the extension period.
Copper One is committed to respecting the interests of stakeholders in the Riviere Dore Property and plans to begin shortly negotiations with the Algonquin Community of Rapid Lake with the objective of reaching an agreement between all parties prior to undertaking further exploration work.
The scientific and technical information in this news release has been reviewed and approved by Thomas R. Kilbey , Copper One's Vice President - Exploration, a certified professional geologist and a qualified person as defined by National Instrument 43-101.
About Copper One Inc.
Copper One is focused on developing high-value copper deposits in leading mining jurisdictions. The Company is led by a diverse team of explorers, developers and operators with major company experience and a clear understanding of the business of mining. The newest addition to Copper One's portfolio is the Riviere Dore copper-nickel project, located near Val d'Or, Quebec. Copper One has six other properties which are located in the Arizona and New Mexico copper mining districts, including the Lone Mountain copper oxide project.
For more information about Copper One Inc., please visit: www.copperone.com.
On behalf of the board of directors of Copper One Inc.,
Benoit Moreau , President & Chief Executive Officer
FORWARD LOOKING STATEMENTS: This document includes forward-looking statements as well as historical information. Forward-looking statements include, but are not limited to, statements with respect to the impact of the acquisition on the Company, the Company's negotiations with the Algonquin Community of Rapid Lake, the continued advancement of the Company's general business and research development and the Company's development of mineral exploration projects. When used in this document, the words "anticipate", "believe", "estimate", "expect", "intent", "may", "project", "plan", "should" and similar expressions may identify forward-looking statements. Although Copper One Inc. believes that their expectations reflected in these forward looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statement. Important factors that could cause actual results to differ from these forward-looking statements include the potential that fluctuations in the marketplace for the sale of minerals, the inability to implement corporate strategies, the ability to obtain financing and other risks disclosed in our filings made with Canadian Securities Regulators.
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.