VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 19, 2013) - Constantine Metal Resources Ltd. (TSX VENTURE:CEM) ("Constantine" or the "Company") is pleased to announce that the TSX Venture Exchange Inc. has accepted for filing an Option and Joint Venture Agreement (the "Agreement") between Constantine and Dowa Metals & Mining Co., Ltd. ("Dowa") dated February 1, 2013.
Under the Agreement, Constantine has granted Dowa an option (the "Option") to earn a 49% interest in Constantine's Palmer Project which is located in southeast Alaska. In order to exercise the Option, Dowa must incur US$22,000,000 in exploration expenditures on the Palmer Project over a four year period that includes cash payments aggregating to US$1,250,000 over the four year period. Following Dowa exercising the Option, a 51:49 joint venture between Constantine (51%) and Dowa (49%) for the Palmer Project will be formed. Constantine will pay a staged finder's fee of up to a maximum of US$250,000 pursuant to a Financial and Advisory Services Agreement with Roman Friedrich & Company LLC (the "Finder"). The finder's fee may be paid through a combination of cash and shares at Constantine's election An initial payment of $120,000 is payable to the Finder on closing of the transaction, with $10,000 payable in cash and the balance payable through the issuance of 1,466,666 common shares of Constantine, which are being issued today to the assignee of the Finder. The 1,466,666 common shares of the Company being issued are subject to a hold period of four months and one day, expiring on July 20, 2013.
About the Palmer VMS Project
Palmer is a high-grade VMS project located in a very accessible part of southeast Alaska, with road access to the edge of the property and within 60 kilometres of the year-round deep sea port of Haines. The project is host to a NI 43-101 compliant 4.75 million tonne inferred resource grading 1.84% copper, 4.57% zinc, 0.28 g/t gold and 29 g/t silver that is open to expansion (using an NSR cut-off of US$50/t; see news release dated January 20, 2010).
About the Company
Constantine is a gold and copper exploration company with multiple active projects located in premier North American mining environments. In addition to the flagship Palmer VMS Project, the Company's other major projects include; (1) the 100% owned Timmins area Munro-Croesus Project a past-producing mine property that yielded some of the highest grade gold ever mined in Ontario and includes strategically located claims immediately along trend from the 2.1 million ounce Fenn-Gib gold deposit; (2) the large Golden Mile property in the Timmins gold camp that is optioned to Teck Resources Ltd. who can earn up to 66% by spending $5M; (3) the 50/50 Joint Venture with Carlin Gold Corporation exploring an approximately 800 sq. km land position in an emerging new Carlin-type gold district in Yukon; and (4) the Trapper Gold Project in northern British Columbia that is optioned to Ocean Park Ventures Ltd. who carried out an 8,500 meter drill program on the property in 2011. Please visit the Company's website (www.constantinemetals.com) for more detailed company and project information.
On Behalf of Constantine Metal Resources Ltd.
Garfield MacVeigh, President
Forward looking statements: This news release includes certain "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively "forward looking statements")." Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the expected. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements.
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.
Constantine Metal Resources Ltd.
Constantine Metal Resources Ltd.