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News
Release
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Tuesday, May 13, 2008
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Callinan
Recieves Net Profits Interest from Hudbay Minerals' 777 mine for complete 1st
Quarter, 2008
VANCOUVER - Callinan Mines
Limited (TSX.V-CAA) has received an interim payment of CAD$2,511,239 from
HudBay Minerals Inc. representing the quarterly installment of the company's
6 2/3% net profits interest in HudBay's 777 Mine in Flin Flon, Manitoba. The
payment represents 75% of the total due for the quarter ended March 31, 2008.
As disclosed by HudBay, Callinan's estimated year-to-date net profit interest
totals $6,983,167 million. This current payment by HudBay brings the amount
received to date by Callinan to $5,237,376, representing 75% of the estimated
net profits for the period, leaving $1,745,971 outstanding. The outstanding
amount represents 25% of actual net profits for the period, as defined in the
agreement. The balance is payable no more than 130 business days following
the completion of HudBay's fiscal year. The net profit payment is derived
from an agreement made between Callinan and HudBay dated January 1, 1988.
Mike Muzylowski, President and CEO of Callinan Mines stated, "We are
pleased with this sustained revenue stream, and are looking forward to
continuing extensive exploration programs on numerous advanced poly-metallic
exploration properties in British Columbia, Manitoba and Saskatchewan. This
income is allowing us to expand activity and develop assets quickly and
efficiently."
Mike Muzylowski
President and CEO
The TSX Venture Exchange has not reviewed and does not accept responsibility
for the adequacy or accuracy of this news release. Some statements in this
news release contain forward-looking information. These statements include,
but are not limited to, statements with respect to the completion of private
placements and future expenditures. These statements address future events
and conditions and, as such, involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance or
achievements to be materially different from any future results, performance
or achievements expressed or implied by the statements. Such factors include,
among others, the ability to complete contemplated private placements and the
timing and amount of expenditures. Callinan does not assume the obligation to
update any forward-looking statement.
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