Trading Symbol: CCY
VANCOUVER,
Feb. 20, 2013 /CNW/ - Catalyst Copper
Corp. (the "Company" or "Catalyst") is undertaking a non- brokered
private placement (the "Offering") of up to 10,000,000 units at a
price of $0.06 per unit for gross
proceeds of Cdn $600,000.
Each unit will consist of one common share and one half of a
common share purchase warrant. Each whole warrant will entitle its
holder to purchase one additional common share of the Company for
five years from the closing date, at a price of $0.12 per common share. The common shares issued
under the Offering will be subject to a four-month hold period from
the date of closing. A finders' fee on the gross proceeds may be
paid in accordance with TSX-Venture Exchange policy.
The Company intends to use the net proceeds of the Offering to
complete the remainder of its financial commitments to acquire an
interest in the La Verde copper
project and for general working capital.
The Offering is subject to receipt of the acceptance of the TSX
Venture Exchange.
About La
Verde
La Verde is
located in an area with excellent infrastructure: Power, rail and
water. Lazaro Cardenas, Mexico's
third largest port on the Pacific Ocean is 180 km from the site.
Significant upside potential remains for the two known zones of
porphyry style copper, gold and silver mineralization as drill
programs have shown both deposits remain open to depth and along
strike.
La Verde
property is subject to an option agreement with a Mexican
subsidiary of Teck Resources Limited (Teck) whereby Catalyst's 100%
Mexican subsidiary, Minera Hill 29,
may earn a 60% interest in La
Verde by making US$10,000,000
in exploration expenditures (including 30,000 meters of drilling
and 200 kilometers of IP) by December 31,
2012. Catalyst has delivered notice to Teck's Mexican
subsidiary that it has met its expenditure commitments. Upon
Catalyst earning its 60% interest, Teck's subsidiary has the
option, by providing notice to Catalyst by March 3, 2013, to increase its interest to 60% by
incurring aggregate expenditures equal to two times the amount
spent by Catalyst. Should Teck fail to exercise its option to earn
a 60% interest, Catalyst can acquire a 100% interest in
La Verde by paying to Teck
US$20 million. The property is
subject to an underlying 0.5% NSR Royalty.
ON BEHALF OF THE BOARD OF DIRECTORS OF
CATALYST COPPER CORP.
"John W.
Greenslade"
JOHN
GREENSLADE, PRESIDENT, CEO & DIRECTOR
Certain information set forth in this news release may
contain forward-looking statements that involve substantial known
and unknown risks and uncertainties. These forward-looking
statements are subject to numerous risks and uncertainties, certain
of which are beyond the control of the Company, including, but not
limited to, risks associated with mineral exploration and mining
activities, the impact of general economic conditions, industry
conditions, dependence upon regulatory approvals, and the
uncertainty of obtaining additional financing. Readers are
cautioned that the assumptions used in the preparation of such
information, although considered reasonable at the time of
preparation, may prove to be imprecise and, as such, undue reliance
should not be placed on forward-looking statements. 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.
SOURCE Catalyst Copper Corp.