Breaking News

Tweet TWEET

El Niño Ventures Inc. Closes First Tranche of Non-Brokered Private Placement

El Niño Ventures Inc. Closes First Tranche of Non-Brokered Private Placement 
VANCOUVER, Oct. 5, 2012 /CNW/ - El Niño Ventures Inc. ("ELN" and the 
"Company") (TSX.V: ELN) (Frankfurt: E7Q.N) (OTCQX: ELNOF) is pleased to 
announce that it has closed the first tranche of its non-brokered flow-through 
and non flow-through private placement for gross proceeds of $1,351,452. 
The Company issued 5,166,133 non flow-through units (NFT Units) at a price of 
$0.09 per NFT Unit. Each NFT Unit consists of one common share and one-half 
of one non-transferable share purchase warrant ("Warrant"). Each whole Warrant 
will entitle the holder to purchase one common share of the Company at a price 
of $0.15 per share for a period of 18 months from closing subject to an 
accelerated expiry, such expiry being accelerated to 30 days in the event the 
Company's shares have closed at or above a price of $0.25 per share for 10 
consecutive trading days on the TSX Venture Exchange. 
In addition, the Company issued 8,865,000 flow-through units ("FT Unit") at 
$0.10 per FT Unit. Each FT Unit consists of one common flow-through share 
and one-half of one non-transferable, non flow-through, share purchase 
warrant. Each whole Warrant will entitle the holder to purchase one non 
flow-through common share of the Company at a price of $0.16 per share for a 
period of 18 months from closing subject to an accelerated expiry, such expiry 
being accelerated to 30 days in the event the Company's shares have closed at 
or above a price of $0.26 per share for 10 consecutive trading days on the TSX 
Venture Exchange. 
The proceeds of this private placement will be used to fund the 2012 
exploration budget at the Murray Brook Polymetallic project in Bathurst, New 
Brunswick and general working capital. 
The Company has paid $24,407.50 and 166,600 warrants in finder's fees in 
connection with this first tranche closing of the private placement. 
All of the securities to be issued by the Company in connection with this 
private placement will be subject to a hold period which expires February 3, 
2013, four months and one day after the closing date. 
About El Niño Ventures Inc. 
El Niño Ventures Inc. is an international exploration company, focused on 
exploring for zinc, copper, gold, silver and lead in New Brunswick, Canada and 
copper/cobalt in the Democratic Republic of Congo ("DRC"). 
About El Niño Ventures Inc. Bathurst Projects 
El Niño Ventures Inc. has two active projects in the Bathurst Mining Camp. 
1.Bathurst Mining Camp Project - Bathurst Option Join Venture (BOJV) 
The BOJV project initially comprised of 4,712 claims owned 50% El Nino/50% 
Xstrata Zinc and 2907 claims wholly owned by Xstrata Zinc, together with an 
area of interest clause in which El Nino and Zstrata Zinc hold equal interest. 
The Tri‐Party Agreement (BOJV) with El Nino Ventures, Xstrata Zinc & 
Votorantim Metals ("VM) Canada (wholly owned subsidiary of Votorantim Metais, 
the 2(nd) largest mining company in Brazil) provides VM Canada the opportunity 
to incur exploration expenditures of $10 million over a period of 5 years to 
earn a 50% interest. VM Canada may further increase its interest to 70% by 
spending an additional $10 million over 2 years. VM Canada has spent approx. 
$6.5 to date and have completed more than 6,000 metres of exploration drilling 
of the 12,000 metres planned. In September 2012 VM Canada contracted Daignos 
Inc of Brossard, Quebec to complete a comprehensive study utilizing their 
proprietary software to identify exploration targets within the area of 
interest that show high statistical probability of mineralization. It is the 
BOJV agreement that provided ELN with the option to participate in the Murray 
Brook Project and any new additional acquisitions in the area of interest. 
2. Murray Brook Project - Option JV/Votorantim Metals Canada 
The Murray Brook project is a polymetallic, massive sulphide deposit. 
Historically, the deposit is the fifth largest in the Bathurst Mining Camp, 
New Brunswick. The Murray Brook property is located 60 km west of Bathurst. 
It is supported by excellent infrastructure, including paved roads, grid 
electricity and communities to provide goods, services and skilled labour 
(Figure 1). To date, more than 28,000 metres of drilling has been completed 
with encouraging results. In February 2012, NI43-101 resource estimation was 
announced (see news release dated Feb. 28, 2012). The technical report is 
filed on SEDAR.com and also available on ELN's website. An updated NI43-101 is 
slated for release by the end of 2012, with plans for a PEA/Scoping study in 
early 2013. 
Currently, El Nino and Votorantim each hold a 35% interest for a total of 70% 
in the Murray Brook Polymetallic project in Bathurst, New Brunswick. Through a 
Purchase Sell Agreement, which has been accepted by the owners, both El Nino 
and Votorantim have an option to earn-in for the remaining 30% interest, 
resulting in both companies having a 50% interest in the Murray Brook project. 
By funding its share of the ongoing costs for the project, El Nino is in the 
enviable position for a junior to be in a 50/50 Joint Venture with a major 
producer on a project that is moving rapidly through the development stages. 
Although the terms of the Participation Agreement provided for a three-year 
period to earn the initial 50% and two years to earn the additional 20%, ELN 
and VMC completed their earn-in in less than 18 months. Encouraging drill 
results and a very positive NI 43-101 resource estimation accelerated the 
exploration and development programs and is a testament to both ELN and 
Votorantim's commitment to aggressively advancing the project (see ELN press 
releases dated: February 28 and May 17, June 5, June 27, July 17, July 30, 
August 14 and August 28, 2012). 
The company is currently completing the 2012 $3 million exploration program 
that included: 


    --  $2.5 million exploration a the Murray brook deposit, 97 holes
        drilled for a total of 18,500 metres
    --  $500,000 exploration at the adjacent Camel Back property
    --  Updated resource calculation and initial metallurgical study

A recently completed (February 2012) NI 43‐101 Mineral Resource Estimate for 
the Murray Brook Zn‐Cu‐Pb‐Ag‐Au deposit, which includes explanatory 
footnotes, is presented below. The resource estimate is based on various 
assumptions regarding mining methods, processing and metal recoveries, payable 
metal NSR credits and metal prices. This estimate makes no provision for 
capital costs to mine the deposit, nor mill the material mined, as resources 
are not reserves and the reader should not presume economic viability. The 
Technical Report on the 2012 NI 43-101 Mineral Resource Estimate is filed on 
SEDAR.com and is available on ELN's website.

Metallurgical test-work of bulk sample material from the Murray Brook deposit 
is currently underway at RPC Laboratories (Fredericton, New Brunswick), under 
the direction of Votorantim Metals Canada Inc., operators of the Murray Brook 
Project. Three holes were drilled to provide sample materials for 
metallurgical tests. The test-work is focused on determining potential metal 
recoveries based on a recommended metals recovery process flowsheet which, 
subsequently, will form the basis for a small scale metallurgical pilot plant 
program. Metallurgical results, along with a revised resource estimate which 
will incorporate 2012 drill results, will form the basis of a Preliminary 
Economic Assessment (PEA or Scoping Study) study to be completed in Q1 2013.

Figure 1- Land tenure map showing the location of optioned properties and 
proximity to infrastructure in the Bathurst Mining Camp.

http://www.elninoventures.com/s/NewsReleases.asp?ReportID=551566

Kasala Copper-Cobalt Project - DRC

The Kasala Copper/Cobalt project is located in the Central African Copper 
belt, approximately 25 km from Minmetals Mining Resources' Kinsevere Mine 
(formerly owned by Anvil Mining). The Kinsevere mine has a resource of 24.8 
million tons grading 3.75% Cu. Drill intercepts on the Kasala project of up to 
232 metres grading 3.28% Cu. The project is currently under Force Majeure 
pending outcome of arbitration in British Columbia and litigation in the DRC.

Qualified Persons Statement

This news release has been reviewed and approved for technical content by Ali 
Hassanalizadeh M.Sc. P.Geo.,a qualified Person under the provisions of 
National Instrument 43‐101.

On Behalf of the Board of Directors,

"John Oness"

John Oness, COO & Director

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.

Note: this release contains forward-looking statements that involve risks 
and uncertainties. These statements may differ materially from actual future 
events or results and are based on current expectations or beliefs. For this 
purpose, statements of historical fact may be deemed to be forward-looking 
statements. In addition, forward-looking statements include statements in 
which the Company uses words such as "continue", "efforts", "expect", 
"believe", "anticipate", "confident", "intend", "strategy", "plan", "will", 
"estimate", "project", "goal", "target", "prospects", "optimistic" or similar 
expressions. These statements by their nature involve risks and 
uncertainties, and actual results may differ materially depending on a variety 
of important factors, including, among others, the Company's ability and 
continuation of efforts to timely and completely make available adequate 
current public information, additional or different regulatory and legal 
requirements and restrictions that may be imposed, and other factors as may be 
discussed in the documents filed by the Company on SEDAR (www.sedar.com), 
including the most recent reports that identify important risk factors that 
could cause actual results to differ from those contained in the 
forward-looking statements. The Company does not undertake any obligation to 
review or confirm analysts' expectations or estimates or to release publicly 
any revisions to any forward-looking statements to reflect events or 
circumstances after the date hereof or to reflect the occurrence of 
unanticipated events. Investors should not place undue reliance on 
forward-looking statements.

Tel: +1 604 685 1870 Fax: +1 604 685 8045 Email:info@elninoventures.com or 
visitwww.elninoventures.com 650-555 West 12th Avenue, City Square, West 
Tower, Vancouver, B.C., Canada, V5Z 3X7

SOURCE: El Nino Ventures Inc.

To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/October2012/05/c4922.html

CO: El Nino Ventures Inc.
ST: British Columbia
NI: MNG PVT 

-0- Oct/05/2012 21:36 GMT


 
Press spacebar to pause and continue. Press esc to stop.