Royal Nickel Successfully Completes Initial Phase of Partner Process for Dumont Nickel Project
TORONTO, Sept. 12, 2012 /CNW/ - Royal Nickel Corporation ("RNC") (TSX: RNX) is pleased to report that it has received confidential non-binding indicative partnership proposals from potential partners interested in participating in the development of RNC's Dumont Nickel Project ("Dumont").
The partnership proposals were received following the launch of RNC's previously announced formal partnership process, which began in June 2012. At that time, RNC presented a formal request for proposals to interested parties in Europe and Asia to purchase up to a 40% stake in the Dumont project.
Tyler Mitchelson, President and CEO, commented, "The receipt of proposals from prospective partners to participate in the development of Dumont is a very encouraging milestone for RNC, following closely on the heels of the $12 million investment in Dumont by Ressources Québec. Working with our financial advisor, Rothschild, RNC will now focus on continuing partnership discussions with the interested parties with a view to reaching a formal agreement in line with our development schedule."
The receipt of non-binding indicative partnership proposals is the first step in the partner process initiated by RNC, and the proposals are subject to due diligence, the approvals of the investment committees of the potential partners and negotiation of a definitive binding agreement after a binding proposal on terms acceptable to RNC is received. As with all non-binding indicative proposals, there is no assurance that any of the proposals will lead to a binding proposal or to the signing of definitive agreements.
About Royal Nickel Corporation
Royal Nickel Corporation is a mineral resource company focused primarily on the exploration, evaluation, development and acquisition of base metal and platinum group metal properties. RNC's principal asset is the Dumont Nickel Project strategically located in the established Abitibi mining camp, 25 kilometres northwest of Amos, Quebec. RNC has a strong management team and Board with over 100 years of mining experience in the nickel business at Inco and Falconbridge. RNC's common shares and warrants trade on the TSX under the symbols RNX and RNX.WT.
Cautionary Statement Concerning Forward-Looking Statements
This news release contains "forward-looking information" including without limitation statements relating to RNC's goal of obtaining financing to develop the Dumont project.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of RNC to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Factors that could affect the outcome include, among others: inability to complete satisfactory due diligence, inability to negotiate terms, general business, economic, competitive, political and social uncertainties; future prices of metals; availability of alternative nickel sources or substitutes; actual nickel recovery; feasibility study results or delays in obtaining governmental approvals or necessary permitting. For a more detailed discussion of such risks and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements, refer to RNC's filings with Canadian securities regulators available on SEDAR at www.sedar.com.
Although RNC has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the date of this news release and RNC disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.
SOURCE Royal Nickel Corporation