ST. JOHN'S, NEWFOUNDLAND AND LABRADOR -- (Marketwire) -- 06/11/09 -- Altius Minerals Corporation (TSX: ALS), through its wholly-owned subsidiary Altius Resources Inc. ("Altius"), has formed a strategic alliance with Millrock Resources Inc. ("Millrock") and has agreed to a private placement financing to fund prospect generation, principally for gold, in five areas in Alaska.
The placement of C$930,000 at C$0.22 per unit is subject to regulatory approval and would provide Altius approximately an 11 % interest in Millrock (www.millrockresources.com). Each unit of the placement is comprised of one Millrock common share and one share purchase warrant. Each warrant will entitle Altius to purchase one Millrock common share at a price of Cdn$0.30 for the first year after the closing of the private placement and Cdn$0.40 during the second year. The securities issued will be subject to a four-month hold period from the closing of the private placement. The acquisition of the common shares and warrants comprising the units are being made for investment purposes and no other purchases are intended at this time.
The primary objective of the alliance is to generate new prospects and seek earn-in/joint venture agreements with third parties. Under the alliance, Altius may acquire royalty and joint venture interests in designated projects in addition to its shareholding in Millrock.
Altius is focused on the mining sector through prospect generation, investments and the creation and acquisition of royalties. Altius currently has numerous active mineral exploration agreements principally in eastern Canada targeting a variety of mineral commodities. In addition, the Corporation holds investments in junior exploration and development stage companies. Altius also owns an effective 0.3% net smelter return in the producing Voisey's Bay nickel-copper-cobalt mine located in Labrador, Canada. The Company has a strong financial position with approximately C$157 million in cash and liquid investments and no debt. It is a member of the TSX SmallCap index and currently has 28,363,195 shares outstanding.
