TSXV: CAA
VANCOUVER, Feb. 13, 2013 /CNW/ - Callinan Royalties
Corporation has received interim quarterly royalty payments
totaling $3,939,810.00 from HudBay
Minerals Inc.
The royalty payments include a payment of
$3,825,586.00 from the 6⅔% Net
Profits Interest Royalty and $114,224.00 from the production royalty of
$0.25 per ton of ore for the quarter
ended December 31, 2012.
The Net Profits Interest payment represents 75%
of an estimate by HudBay Minerals Inc. The remaining 25% is paid
annually, in mid-July, 130 business days after the financial year
end of HudBay Minerals Inc.as per the agreement.
The quarterly payments are due to Callinan's
royalty interests on lands that include the 777 Mine at
Flin Flon, Manitoba, Canada, which
is the principal mining operation of HudBay Minerals Inc.
On Behalf of the Board of Directors,
Roland Butler
Roland Butler, CEO
About Callinan Royalties
Callinan Royalties is a Canadian company that
creates and acquires mineral royalties. The company uses its
royalty income to provide alternative financing options to mineral
exploration and development companies with attractive
projects. Callinan's strategy is to create shareholder value
over the long term by generating a portfolio of profitable mineral
royalties.
The Corporation currently has two producing
royalties. Callinan holds a 6⅔% net profits interest royalty and a
$0.25 per ton production royalty on
lands that include the 777 Mine owned by HudBay Minerals Inc.
located in Flin Flon, Manitoba,
Canada as well as the adjacent 777 North Mine scheduled for
production in 2012. Callinan also holds the 777 Deeps (War Baby)
property and an associated royalty option on the property, which is
located adjacent to the 777 Mine.
Callinan is a dividend paying Tier 1 company
listed on the TSX Venture Exchange under the symbol CAA. The
Corporation has a strong financial position with no debt,
approximately $25 million in cash and
approximately 48.9 million shares outstanding.
Cautionary Statement on Forward-Looking Information
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. Certain of the
information presented in this News Release may constitute
"forward-looking statements" or "forward-looking information"
within the meaning of Canadian securities legislation (together
referred to as "forward-looking statements"). The forward-looking
statements are subject to risks, uncertainties and other factors
that may cause actual results to be materially different from those
expressed or implied by such forward-looking statements, including
any delays in the receipt of consents or approvals. Although
Callinan Royalties 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 not to be as
anticipated, estimated or intended. There can be no assurance that
such 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 contained in this News
Release and in any document referred to in this News Release.
Forward-looking statements are made based on management's beliefs,
estimates and opinions on the date the statements are made and
Callinan Royalties undertakes no obligation to update
forward-looking statements if these beliefs, estimates and opinions
or other circumstances should change, except as required by
applicable law.
SOURCE Callinan Royalties Corporation