November 9, 2012
Pacific Cascade Minerals Inc. ("PCV" or the "Company") today announced that it has arranged a $100,000 debt facility with an arm's length lender (the "Lender").
The proceeds from this loan will be used to pay an option payment due to Arcelia Gold Corp. under the Company's Option Agreement with Arcelia for a 70% interest in the El Centenario property.
The loan will bear interest at 8% per annum, and will have a 60 day term. The outstanding balance, if any, of the loan on January 13, 2013 will bear interest at the rate of 25% retroactive to November 13, 2012.
As a bonus to the Lender, the Company will also issue 200,000 common shares to the Lender. The issuance of bonus shares to the Lender will not materially affect the percentage of securities of PCV beneficially owned and controlled by the Lender.
Completion of the loan is subject to customary closing conditions, and receipt of all necessary regulatory approvals, including the approval of the TSXV.
About the Project
The El Centenario project is situated 15km southwest of the La Cienega mine (owned by Fresnillo PLC) a structurally controlled gold-silver-lead-zinc mineral deposit that has been in production since early 1999. To date, the La Cienega mine has produced more than 2M oz of gold and 50M oz of silver. Additionally, the world-class Metates deposit (27M oz gold equivalent owned by Chesapeake Gold Corporation TSX-V: CKG) is located 10 km south-southeast of the El Centenario project. The project area encloses a historical, little-explored mining district that was active during the Spanish colonial times. The concession block contains dozens of mineral prospects and an abundance of small-scale mine workings. The style of mineralization varies from epithermal, low sulfidation, fracture-filling vein-stock-work breccia systems to skarn and sediment-hosted enriched disseminated zones. For further information regarding Pacific Cascade Minerals Inc. and the El Centenario project please visit the Company's website at www.pacaficcascade.ca.
On behalf of the Board of Directors
President / CEO
Pacific Cascade Minerals Inc.
For more information contact Daniel Whittle, Investor Relations at:
Telephone: (604) 637-1341 or e-mail [email protected]
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.
Forward Looking Statements
Certain of the statements made and information contained herein may contain forward- looking information within the meaning of applicable Canadian securities laws. Forward-looking information includes, but is not limited to, information concerning the Company's intentions with respect to the development of its mineral properties. Forward-looking information is based on the views, opinions, intentions and estimates of management at the date the information is made, and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated or projected in the forward-looking information (including the actions of other parties who have agreed to do certain things and the approval of certain regulatory bodies). Many of these assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by applicable securities laws, or to comment on analyses, expectations or statements made by third parties in respect of the Company, its financial or operating results or its securities. The reader is cautioned not to place undue reliance on forward-looking information.