TSXV: CAA
VANCOUVER,
Oct. 15, 2013 /CNW/ - Callinan
Royalties Corporation ("Callinan", the "Company") (TSXV: CAA) has
acquired 3,500,000 units (the "Units") of Avrupa Minerals Ltd
("Avrupa") (TSXV:AVU) at a price of $0.10 per Unit pursuant to a private placement.
Each Unit consists of one common share (a "Share") of Avrupa and
one share purchase warrant (a "Warrant"), with each Warrant
exercisable to purchase one further common share of Avrupa (a
"Warrant Share") at a price of $0.15
until October 15, 2016.
The Shares acquired by Callinan represent
approximately 9.06% of the currently issued and outstanding common
shares of Avrupa, on an undiluted basis and without giving effect
to the exercise of the Warrants. If the Warrants are exercised,
Callinan will acquire an additional 3,500,000 Shares and will then
hold 7,000,000 Shares, representing 16.65% of the issued and
outstanding common shares of Avrupa on an undiluted basis and after
giving effect to the exercise of the Warrants.
Callinan has acquired the Units for investment
purposes and may increase or decrease its ownership interest in
Avrupa depending on, among other factors, market conditions.
Callinan has sole ownership and control of the Shares, and does not
have any direct or indirect interest in any other securities of
Avrupa. Callinan has no intention at this time to acquire ownership
of or control over additional securities of Avrupa. An early
warning report, as required under National Instrument 62-103, has
been filed by the Company on Avrupa's SEDAR profile at
www.sedar.com.
Callinan entered into an Exploration Alliance
agreement with Avrupa on October 4,
2013. The purpose of the Agreement is to fund prospect
generation activities in order for Avrupa to attract joint venture
partners to projects, while allowing Callinan to generate and
acquire royalties. Callinan is supporting the prospect generation
business model as a means to create royalties in prospective areas
through agreements with companies such as Avrupa that are
established prospect generators and have demonstrated expertise in
their chosen jurisdictions.
On Behalf of the Board of Directors,
Roland
Butler
Roland Butler,
CEO
About Avrupa Minerals Ltd.
Avrupa Minerals Ltd. is a growth-oriented junior
exploration and development company focused on discovery, using a
prospect generator model, of valuable mineral deposits in
politically stable and prospective regions of Europe, including Portugal, Kosovo, and Germany. Avrupa is currently upgrading
precious and base metal targets to JV-ready status in a variety of
districts on numerous licenses, with the idea of attracting
potential partners to project-specific and/or regional exploration
programs.
About Callinan Royalties
Callinan Royalties is a Canadian company that
creates and acquires mineral royalties. The company uses its
royalty income to provide alternative financing options to mineral
exploration and development companies with attractive
projects. Callinan's strategy is to create shareholder value
over the long term by generating a portfolio of profitable mineral
royalties.
The Corporation currently has two producing
royalties. Callinan holds a 6⅔% net profits interest royalty and a
$0.25 per ton production royalty on
lands that include the 777 mine and 777 North mine owned by Hudbay
Minerals Inc. located in Flin Flon,
Manitoba, Canada. Callinan also holds the 777 Deeps
(War Baby) property and an associated royalty option on the
property, which is located adjacent to the 777 mine.
Callinan is a dividend paying Tier 1 company
listed on the TSX Venture Exchange under the symbol CAA. The
Corporation has a strong financial position with no debt,
approximately $25 million in cash and
approximately 49.3 million shares outstanding.
Cautionary Statement on Forward-Looking Information
Neither the 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. Certain of the
information presented in this News Release may constitute
"forward-looking statements" or "forward-looking information"
within the meaning of Canadian securities legislation (together
referred to as "forward-looking statements"). The forward-looking
statements are subject to risks, uncertainties and other factors
that may cause actual results to be materially different from those
expressed or implied by such forward-looking statements, including
any delays in the receipt of consents or approvals. Although
Callinan Royalties 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 not to be as
anticipated, estimated or intended. There can be no assurance that
such statements will prove to be accurate as actual results and
future events could differ materially from those anticipated in
such statements. Accordingly, readers should not place undue
reliance on forward-looking statements contained in this News
Release and in any document referred to in this News Release.
Forward-looking statements are made based on management's beliefs,
estimates and opinions on the date the statements are made and
Callinan Royalties undertakes no obligation to update
forward-looking statements if these beliefs, estimates and opinions
or other circumstances should change, except as required by
applicable law.
SOURCE Callinan Royalties Corporation