October 02, 2013
Formal Option Agreement on Manganese Projects
Vancouver, B.C.: Phoenix Copper Corporation ("Phoenix" or the "Company") (TSX-V Symbol: PHC) is pleased to announce it has entered into a Formal Option Agreement (the "Option") with B.C. ("BC Mining"), pursuant to which the Company has been granted an option (the "Option") to acquire a cumulative 80% interest in and to the concession
s of the Ronoso Mine in Baja, Mexico and the Kerim Project in Sinaloa, Mexico (the "Properties") subject to certain royalties payable to third parties (the "Royalties). BC Mining has agreed to transfer the Properties to a new company to be incorporated pursuant to the laws of Mexico ("Holdco") and has agreed to grant an exclusive right and option (the "First Option") to Phoenix to acquire a 60% equity interest in Holdco by making $2,500,000 in expenditures on the Properties within 24 months of the date of the Option. Subject to exercise of the First Option, Phoenix will have the right for 90 days to give notice to BC Mining that the Company has elected to exercise the further exclusive right and option (the "Second Option") to acquire an additional 20% interest in Holdco by issuing to BC Mining such number of common shares of the Company equal to 25% of the current outstanding shares at the time such common shares are issued. This Option will be subject to the completion of successful due diligence and any required regulatory or commercial approvals. The Mine is a former small-scale producer of Manganese concentrates for export to the Asian market. The Kerim Project located in Sinaloa, Mexico is at the exploration stage and covers approximately 1000 hectares. On behalf of the Board of Directors of
Phoenix Copper Corporation
"Brian Leeners"
Brian Leeners, CEO & Director
For further information please contact the Company
Tel: 604.568.1823
