International Nickel Ventures Announces Closing Of Flow-Through Financing
Toronto, ON – February 21, 2008 – International Nickel Ventures Corporation (“INV”) (TSX: INV, INV.WT) announced today that it has closed its previously announced offering of 2,400,000 common shares on a flow-through basis (“Flow-Through Shares”) by way of guaranteed private placement (the “Offering”) led by Primary Capital Inc. (the “Agent”), at a price of $1.25 per share, for aggregate gross proceeds of $3,000,000. In addition, pursuant to INV’s existing agreement with Teck Cominco Limited (“Teck Cominco”), Teck Cominco exercised its right (the “Teck Cominco Right”) to purchase 130,274 Flow-Through Shares to maintain its pro rata interest in INV prior to the Offering (approximately 5.149%) resulting in the issue of a total of 2,530,274 Flow-Through Shares for aggregate gross proceeds of $3,162,842.50.
As consideration for its services, INV paid the Agent a commission equal to 6% of the gross proceeds raised from the sale of 2,000,000 Flow-Through Shares, paid the Agent a commission equal to 3% of the gross proceeds raised from the sale of 400,000 Flow-Through Shares and issued 144,000 broker warrants (“Broker Warrants”) to the Agent exercisable for 144,000 common shares of INV (“Broker Shares”) at an exercise price of $1.00 per Broker Share. Insiders of INV purchased in the aggregate 399,000 of the Flow-Through Shares comprising the Offering. The Broker Warrants will be exercisable at any time on or before August 21, 2009.
Proceeds of the Offering and exercise of the Teck Cominco Right will be used by INV to incur Canadian Exploration Expenses (within the meaning of the Income Tax Act (Canada)) in relation to INV’s exploration program to be conducted on its Canadian properties including, but not limited to, the Lansdowne House, Fishtrap and Montcalm properties in Northern Ontario.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State or other jurisdiction in which such offer, solicitation or sale would be unlawful.
INV is an international mineral resource company focused on the acquisition, exploration and development of base metal projects in Brazil and Canada. Currently, INV’s primary asset is its interest in the Santa Fé-Iporá Joint Venture (INV = 27% and Teck = 73%) which owns 75% of the Santa Fé-Iporá properties located in Goiás State, Brazil, that host two advanced-stage nickel laterite deposits. For further information on these properties, please refer to Technical Report of May 10, 2007 which details all QA/QC procedures and interpretation of the exploration data and a summary description of the geology and is available on SEDAR at www.sedar.com.
INV holds a 100% interest in three prospective projects in northern Ontario. Two projects are located in the James Bay Lowlands area near the McFaulds Lake high grade copper-nickel- precious metals discovery. The third property is contiguous with Xstrata Nickel’s operating Montcalm nickel mine in the Timmins area (see press release November 12, 2007).
INV is currently carrying out exploration programs on its Niquelândia and Damolândia properties in Brazil (see press releases of November 27, 2007 and October 17, 2007). As well, INV has a 100% ownership in an extensive land package, which now totals 480,712 hectares in Goiás, Pará and Tocantins States considered prospective for both lateritic and sulphide nickel deposits. INV is currently focusing on the Taquaral property within this land package, and is carrying out exploration activity to identify possible drill targets.
Please visit INV’s website at www.nickelventures.com to view technical details relating to the property.
This press release contains certain forward-looking statements. These forward-looking statements are subject to variety of risks and uncertainties beyond INV’s ability to control or predict, which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. In this news release there is no guarantee that any drill targets or economic mineral deposits will be found on INV’s properties. For a more detailed discussion of such risks and other factors, refer to INV’s filing with Canadian securities regulators available on www.sedar.com or INV’s website at www.nickelventures.com.