Trading Symbol:CCY
VANCOUVER,
April 11, 2013 /CNW/ - Catalyst
Copper Corp. (TSXV: CCY) (the "Company" or
"Catalyst") announces that, further to its Press Release
dated March 4, 2013, Catalyst and its
wholly owned Mexican subsidiary, Minera
Hill 29 S.A. de C.V. ("Minera Hill"), have entered into a
Purchase Option Agreement dated April 9,
2013 with certain subsidiaries of Teck Resources Limited
("Teck") pursuant to which Catalyst has an option to indirectly
acquire Teck's interest in the La
Verde property (the "Purchase Option"), subject to TSX-V
approval.
Under the Purchase Option, Minera Hill has 180 days from April 9, 2013 to acquire Teck's interest in the
La Verde property by paying to
Teck, or to its order, the sum of (a) an amount equal to all
expenditures incurred by Teck in regards to the La Verde Project
from January 2, 2013 to the day
immediately prior to the date Catalyst exercises the Purchase
Option (the "Exercise Date"), plus either (1) making a cash payment
of US$20 million to Teck; or (2)
making a payment of US$25 million to
Teck in a combination of cash and shares (of Catalyst), provided
that at least 50% of this consideration is in cash, with the
remainder of the consideration paid in shares of Catalyst; provided
that Teck's ultimate shareholding in Catalyst does not exceed
19.9%,post issue. The Purchase Option Agreement provides that
if Catalyst does not exercise the Purchase Option, the date Teck
may elect to invoke its option to increase its interest in the
property from 40% to 60% (the "T-1 Option") will be extended to the
date that is 181 days from April 9,
2013. If Catalyst exercises the Purchase Option, the T-1
Option expires on the closing of the purchase of Teck's
interest.
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.
ON BEHALF OF THE BOARD OF DIRECTORS OF
CATALYST COPPER CORP.
"John W. Greenslade"
John W.
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.