June 25, 2008
TSX: BAJ
PRESS RELEASE
BAJA
MINING PROVIDES FINANCING UPDATE
Baja
Mining Corp. (the ?Company? or ?Baja?) is pleased to announce that it has
arranged a standby bridge financing with Endeavour Mining Capital Corp.
(?Endeavour?) in the aggregate amount of US$10,000,000 (the ?Facility?).
The
Facility gives Baja additional comfort in maintaining its working capital
headroom and continuing to commit to purchase orders and contracts for the
construction of the Boleo Project during the period of completing the
previously announced Korean Consortium transaction. This will ensure that the
construction schedule and capital cost estimate are maintained. Management do
not expect to draw the Facility, and it has been suitably structured to reflect
that belief.
Baja has
now received all necessary approvals to complete its previously announced
transaction with the Korean Consortium, except the relevant Korean Government
Approval. Completion of this transaction is still scheduled for 30th
June 2008.
The
Facility may be drawn in tranches of US$2,500,000 during the period June 30, 2008
and July 31, 2008. Endeavour will be issued warrants entitling it to
purchase 375,000 shares for each $2,500,000 drawn under the Facility,
exercisable at the closing market price on June 30th, 2008 for a
period of one year from closing. A cash commitment fee was paid on
granting of the facility and interest will be paid on amounts drawn. The
Facility is subject to Toronto Stock Exchange approval.
ON BEHALF OF THE BOARD OF DIRECTORS OF
BAJA MINING CORP.
?John W. Greenslade?
JOHN W. GREENSLADE, PRESIDENT
For further information please contact John Greenslade,
President, at (604) 685-2323
Some of the
statements contained in this release are forward-looking statements, such as
statements that describe the Company?s expectation and timing of closing the
Consortium?s partnership deal, expectation that draw down of loan will not
occur, the need for additional capital and other statements. Since
forward-looking statements are not statements of historical fact and address
future events, conditions and expectations, forward-looking statements by their
nature inherently involve unknown risks, uncertainties, assumptions and other
factors well beyond the Company?s ability to control or predict. Actual
results and developments may differ materially from those contemplated by such
forward-looking statements. Material factors that could cause actual revenues
to differ materially from those contained in such forwarding-looking statements
include (i) fluctuations on the prices of copper, cobalt, zinc and manganese,
(ii) interpretation of contract terms, (iii) accuracy of the Company?s and
consultants? projections, (iv) the Company?s ability to finance, receive
permits for, obtain equipment, construct and develop the El Boleo Project, (v)
the effects of weather; operating hazards; adverse geological conditions and
global warming, (vi) impact of availability of labor, materials and equipment;
and (vii) changes in governmental laws, regulations, economic conditions or
shifts in political attitudes or stability.
These forward-looking statements represent the Company?s views as of the
date of this release. There can be no assurance that forward-looking statements
will prove to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Readers should not
place undue reliance on any forward-looking statements.