VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 14, 2012) - Zincore Metals Inc. (TSX:ZNC)(LMA:ZNC) ("Zincore" or the "Company") is pleased to report that FQM (Peru) Ltd. a wholly-owned subsidiary of First Quantum Minerals Ltd. ("First Quantum") has announced that it has acquired ownership of an aggregate of 42,067,745 common shares ("Common Shares") in the capital of Zincore. This amount represents 19.99% of Zincore's issued and outstanding Common Shares immediately following completion of the acquisitions.
Zincore President and CEO, Jorge Benavides, commented "We are very pleased to have First Quantum as our strategic partner. They are a significant global mining company operating in Australia, Europe, Africa and South America. They have three producing mines and four projects under development, including the Haquira project which is located about 40 kilometres from our Dolores property that we will be exploring together. First Quantum possesses great financial strength as well as highly skilled management, technical and operations teams and we look forward to working with them to deliver value to all our shareholders."
As reported by First Quantum, FQM Peru's acquisition of Zincore shares was completed in two separate transactions. Of the 42,067,745 Common Shares acquired by FQM Peru, 19,113,874 Common Shares were acquired from Zincore on May 10, 2012 by way of a private placement (the "Private Placement") undertaken in reliance upon the accredited investor exemption available under applicable Canadian securities laws. The Private Placement was completed at a price of C$0.20 per Common Share, for a total purchase price of $3,822,774.
On May 11, 2012, FQM Peru acquired an additional 22,953,871 Common Shares at a total purchase price of C$3,709,554.89, or approximately C$0.16 per Common Share, pursuant to a private agreement between Inversiones Pacasmayo S.A. and FQM Peru (the "Secondary Purchase and Sale"). The Secondary Purchase and Sale was also completed in reliance upon the accredited investor exemption available under applicable Canadian securities laws.
As a result of the Private Placement and the Secondary Purchase and Sale, FQM Peru has ownership of an aggregate of 42,067,745 Common Shares, representing 19.99% of the 210,443,949 Common Shares outstanding immediately following completion of the Private Placement and the Secondary Purchase and Sale.
About Zincore
Zincore is a Vancouver-based mineral exploration company focused mainly on zinc and related base metal opportunities in the Americas, namely Peru, Mexico and Canada. The Company's common shares trade on both the Toronto and Lima Stock Exchanges under the symbol ZNC. For more information, please see our website at
www.zincoremetals.com.
Forward-looking Statements: Statements in this release that are forward-looking, in particular with regards to the potential of the Dolores project, are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risk Factors" and elsewhere in the Annual Information Form of Zincore dated March 19, 2012 which is filed with Canadian securities regulatory authorities and available on SEDAR (
www.sedar.com). Such information contained herein represents management's best judgment as of the date hereof based on information currently available.