Matamec Receives $1.041 Million from Toyotsu and Provides Update for Kipawa Metallurgy

Matamec Receives $1.041 Million from Toyotsu and Provides Update for Kipawa 
Metallurgy 
Company announces presentation at Mines & Money Hong Kong 
MONTREAL, QUEBEC -- (Marketwire) -- 03/19/13 -- Matamec Explorations
Inc. ("Matamec" or the "Company") (TSX VENTURE:MAT)(OTCQX:MHREF) is
pleased to announce that the Company has received $1.041 million CDN
from its Japanese partner Toyotsu Rare Earth Canada Inc. ("Toyota" or
"TRECan"), a subsidiary of Toyota Tsusho Corp. ("TTC"). The goal of
the Kipawa mine project is to supply Toyota with heavy rare earths
("HREE") for the production and marketing of hybrid and electric
vehicles. 
To date Matamec has received $14,236,608 CDN of the maximum $16M CDN
for the completion of a definitive feasibility study on the Kipawa
HREE deposit, which is on budget and track for completion by the end
of the second quarter of 2013.  
"The financial support that Matamec has received from Toyotsu is a
clear indication to the market the progress which has been achieved
in the completion of the feasibility study," said Andre Gauthier,
President and CEO of Matamec Explorations. "Matamec's team of
professionals continues to deliver results. The Company is poised to
become one of the first companies to supply heavy rare earths for
hybrid and electric vehicles."  
Under the terms of the Joint Venture Agreement ("JVA") by which
TRECan can acquire 49% undivided interest in the Kipawa HREE Deposit,
Matamec received $8.5M CDN for the first 25% undivided interest on
July 18, 2012. To acquire the second 24% undivided interest, TRECan
has to pay to Matamec a maximum amount of $7.5M CDN. The $1.041M CDN
is the fifth of a number of successive payments in the completion of
the $7.5M CDN, but the sixth overall payment received from TRECan.
Matamec will transfer the 24% undivided interest to TRECan when it
will receive a cumulative maximum amount of $7.5M CDN. 
Metallurgical Update 
Since March 2012, the technical team working on the metallurgical
development of the Kipawa project has progressed significantly.
Extensive lab scale testing to develop and validate a process up to
bulk carbonate production, also in parallel pilot plant testing and
subsequent engineering was accomplished. Today, in conjunction with
our project partners, final purification of the carbonate development
is on-going as well as variability sample testing and optimisation.
Many obstacles were overcome and the development continues to move
forward positively.  
Metallurgical Team Update 
The Company announced that Mr. Paul Blatter, Director of Metallurgy
has left Matamec effective March 15, 2013 in his role to pursue other
interests. Matamec wishes to thank Paul for his contribution the past
year in leading the metallurgy team to the solid position we are in
today. Moving forward, we are now focused on the final purification
processes. The Company feels confident in the team we have currently
in place to complete the feasibility study, specifically Ms. Ngai and
Mr. Hayden who have been involved the past two years with the Kipawa
studies and have extensive experience including hydro metallurgy
processes of rare earths.  
Continued execution of the Kipawa metallurgy will be led by an
experienced technical team with support from Toyota Tsusho
Corporation network, SGS Geostat and specifically the following key
members: 


 
--  Ms. Eliza Ngai, P. Eng., M. Eng., a Metallurgist with over eight years'
    experience including Engineering consulting for an international
    engineering firm as a Process Engineer. Ms. Ngai joined Matamec in April
    2011 and worked many years under the late Mr. Les Heymann, expert on
    rare earths. 
--  Mr. Alfred Hayden, P. Eng., a Metallurgist with over 40 years'
    experience and a strong background specifically in hydro metallurgy. Mr.
    Hayden has been involved as an independent consultant since 2011 and
    will assume further responsibilities in the process design. 
--  Mr. Bertho Caron, P. Eng., VP Project Development and Construction with
    extensive years of experience in project development and start-up. 
--  Mr. Raynald Vezina, P. Eng., Director of Matamec and technical advisor
    for the Company is an engineer with more than 35 years' experience in
    the mining industry who has worked with various jobs, including,
    Cambior, Placer Dome and Falconbridge. He successfully brought to
    production and / or exploitation of many mines.

 
Bertho Caron, VP Project Development & Construction (Eng.), Eliza
Ngai, Metallurgist (Eng.) and Aline Leclerc, VP Exploration (Geo.)
are Matamec's Qualified Persons for this press release. 
Mines & Money Hong Kong 2013 
The Company also announced that Mr. Andre Gauthier, President and
CEO, will present a corporate update at Mines and Money Hong Kong on
Friday, March 22, 2013, at 12:50 p.m. at the Hong Kong Convention and
Exhibition Centre. Matamec will host a booth at the conference from
Wednesday, March 20 to Thursday, March 21, 2013. For further
information, please visit www.minesandmoney.com/HongKong. 
About Toyotsu and TRECan  
Established for more than 60 years and subsidiary of Toyota Motor
Group, TTC is a general trading company that develops business
together with over 400 consolidated group companies in Japan and
overseas, with customers around the world, via a global network
covering Japan and more than 60 other countries worldwide. TRECan is
a subsidiary of TTC especially created for the Kipawa HREE deposit
JVA. TTC has four rare earth projects globally including in India,
Vietnam, Indonesia (HREE) and Canada (HREE Kipawa JV). For further
information, please view the TTC 2012 Annual Report online.  
About Matamec 
Matamec Explorations Inc. is a junior mining exploration company
whose main focus is in developing the Kipawa HREE deposit with
TRECan. Following the positive conclusion of the PEA study filed on
SEDAR in March 2012 and the hiring of a VP Project development and
Construction, Matamec and TRECan decided to move directly to the
feasibility study. The March 2012 press release highlighted that the
project has robust economics such as: $606 million before-tax value
(NPV8%), a 36.9% before-tax IRR, $2.8 billion revenue, $1.67 billion
EBITDA, a before-tax payback period of 2.4 years, etc. (see press
release dated January 30, 2012). 
In parallel, the Company is exploring more than 35km of strike length
in the Kipawa Alkalic Complex for rare
earths-yttrium-zirconium-niobium-tantalum mineralization on its Zeus
property.  
The company is also exploring for gold, base metals and platinum
group metals. Its gold portfolio includes the Matheson JV property
located along strike and in close proximity to the Hoyle Pond Mine in
the prolific mining camp of Timmins, Ontario. 
In Quebec, the Company is exploring for lithium and tantalum on its
Tansim property and for precious and base metals on its Sakami,
Valmont and Vulcain properties. As well, it is exploring for gold
together with Northern Superior Resources Inc. on the
Lesperance/Wachigabau property. 
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. 
Contacts:
Andre Gauthier
President
(514) 844-5252
info@matamec.com 
Edward Miller
Director IR
(514) 844-5252 ext. 205
edward.miller@matamec.com
www.matamec.com
 
 
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