TORONTO, ONTARIO--(MARKET WIRE)--Apr 24, 2008 -- Ivernia Inc. ("Ivernia" or the "Company") (Toronto:
IVW.TO -
News) and
China-based Yunnan Metallurgical Group ("YMG") are pleased
to announce the successful closure of the private placement
investment in Ivernia, by YMG's Australian subsidiary (Chihong
International Mining Ltd.). The investment was previously
announced on November 30, 2007 as part of the visionary
long-term strategic agreement between YMG and Ivernia which
recently received all necessary regulatory approvals from
the Chinese and Australian governments facilitating today's
closing.
To complete the transaction, 14,692,488 common shares of
Ivernia were issued at a price of C$1.50 per share for proceeds
of C$22 million. As a result, the Company's issued and outstanding
common shares now stand at 180,135,886 and its fully diluted
common shares at 208,153,093.
The long-term strategic agreement provides a strong platform
for growth and diversification for both companies in Australia
and Asia.
The multi-faceted agreement signed in November, 2007 provides
for:
- Collaboration to identify and evaluate new base metal
opportunities for joint investment;
- A joint and coordinated effort between the two companies
to ensure successful operations at the Magellan mine;
- A long-term commercial concentrate agreement whereby YMG
will purchase approximately 50% of Magellan's annual forecasted
lead concentrate production at market terms; and
- The exchange of technical expertise on the Magellan mine
and other future base metal projects
About YMG
YMG is a leading, technologically-advanced, integrated base
metals producer located in the Yunnan province of China.
It has over 50 years in the natural resources industry and
ranks within the top five non-ferrous metals and mining
companies and the top 300 businesses in China. The company's
annual refined production capacities total 400,000 tonnes
of aluminum, 180,000 tonnes of zinc and 110,000 tonnes of
lead. It has invested approximately US$0.6 billion in its
operations over the past five years. YMG has a focused international
growth objective that includes the proposed investment of
more than US$1.5 billion in natural resources opportunities
over the next five years.
About Ivernia
Ivernia is an international base metals operating, development
and exploration company. The Company is the sole owner and
operator of the Magellan lead mine in Western Australia.
Upon recommencement of production, Magellan will be the
world's most significant pure lead mine accounting for approximately
2% of total mined lead production.
Ivernia trades under the symbol "IVW" on the Toronto Stock
Exchange.
Forward-Looking Statements
Certain statements contained in this document constitute
forward-looking information within the meaning of securities
laws. All statements included in this document (other than
statements of historical facts) which address activities,
events or developments that management anticipates will
or may occur in the future are forward-looking statements,
including statements as to the following: the duration of
the suspension of the Company's mining and milling operations,
business strategies and measures to implement such strategies,
estimated goals and plans for Ivernia's future business
operations; and other such matters. Forward-looking statements
are often, but not always, identified by the use of words
such as "seek", "anticipate", "contemplate", "target", "believe",
"plan", "estimate", "expect", and "intend" and statements
that an event or result "may", "will", "can", "should",
"could" or "might" occur or be achieved and other similar
expressions. These statements are based upon certain factors,
assumptions and analyses made by management in light of
its experience and perception of historical trends, current
conditions and expected future developments, as well as
other factors management believes are appropriate in the
circumstances such as the resources and reserves, metal
price volatility, lead concentrate treatment charges, exchange
rates, single mineral property, metallurgy, environmental
factors, mining risks, insurance, labour and employment
regulations, health and safety, government regulations,
dependence on key personnel, constraints on cash flow and
nature of mineral exploration and development. While we
consider these assumptions to be reasonable based on information
currently available to us, they may prove to be incorrect.
These factors may cause the actual results of the Company
to differ materially from those discussed in the forward-looking
statements, and there can be no assurance that the actual
results or developments anticipated by management will be
realized or, even if substantially realized, that they will
have the expected results on the Company.
Other risks and factors that could cause actual results
to differ are described in Management's Discussion and Analysis
("MD&A") for the most recently completed year end under
the heading "Risks and Uncertainties", and in the Company's
most recently filed Annual Information Form. Our MD&A,
Annual Information Form and additional information on Ivernia
are available on the Company's website at www.ivernia.com
and on Ivernia's SEDAR profile at www.sedar.com.
All of the forward-looking statements made in this document
are based on our current estimates, expectations and projections,
which we believe are reasonable as of the current date.
You should not place undue importance on forward-looking
information and should not rely upon this information as
of any other date. While we may elect to, we are under no
obligation and do not undertake to update this information
at any particular time.