Focus and Buenaventura Complete Minas Chanca Sale and Private Placement
VANCOUVER, June 5, 2012 /PRNewswire/ - Focus Ventures Ltd. (TSX-V: FCV) is pleased to announce it has closed the sale of its remaining 25% interest in the Minas Chanca project to Compania de Minas Buenaventura S.A.A. (NYSE: BVN, "Buenaventura") (see Company press release April 17, 2012). By way of the sale, Focus has received US$2.5 million in cash from Buenaventura. Additionally, Buenaventura has purchased by way of a private placement 3.75 million common shares of Focus at CDN$0.40 per share, for a total purchase price of CDN$1.5 million. The private placement shares have a hold period which expires on October 6, 2012.
As a result of the placement, Buenaventura holds 9.35% of the outstanding common shares of the Company. Buenaventura is Peru's largest publicly-traded precious metals company, with a market capitalization of approximately $10 billion. It operates several gold, silver and base metal mines, and owns a 43.65% stake in the Yanacocha deposit, Latin America's largest gold mine, and is the major holder of mining rights in Peru.
Focus currently has over $5.3 million in cash and a market capitalization of $7.6 million. The Company owns a portfolio of quality gold, silver and phosphate properties in Peru and Mexico, including the Santa Cruz silver project in Durango, which covers a +20km trend of historic silver and gold mines and occurrences. Focus has sufficient capital to fund its exploration programs and property acquisitions strategy for the medium-term.
About Focus Ventures
Focus Ventures is acquiring advanced, drill-ready projects in Peru and Mexico, where it maintains an experienced technical team of geologists and consultants. Focus's strategy is to identify and acquire former producing mines or untested gold and silver and base metal properties that show potential to become new mines. For further information, please call 604-688-5288 or visit our web site www.focusventuresltd.com.
ON BEHALF OF THE BOARD
David Cass, President
Shares Issued: 40.1 million
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
Some of the statements in this news release contain forward-looking information that involves inherent risk and uncertainty affecting the business of Focus Ventures Ltd. Actual results may differ materially from those currently anticipated in such statement.
SOURCE Focus Ventures Ltd.