August 16, 2011, Vancouver, Canada -- El Niño Ventures Inc. ("ELN" and the
"Company") (TSXV: ELN; Frankfurt: E7Q) announces that it is proposing a
consolidation (the "Share Consolidation") of its issued and outstanding common
shares (the "Common Shares") on the basis of up to a maximum of five (5) old
common shares of the Company for one (1) new common share of the Company (the
"New Common Shares").
Currently, there are 119,084,065 Common Shares of the Company issued and
outstanding. If and when the Company was to proceed with a consolidation as
outlined above, then on a maximum post-consolidated basis, the Company
anticipates that there would be approximately 23,816,813 New Common Shares of
the Company issued and outstanding with the actual consolidation ratio to be
determined by the Board of Directors (such ratio not to exceed five (5) old
common shares for one (1) new common share). Fractional shares comprising less
than one-half of one share will be deemed to have been tendered by the
registered owner to the Company for cancellation, and will be returned to the
authorized but unissued shares of the Company. Fractional shares comprising
greater than or equal to one-half of one share will be converted into one whole
The Share Consolidation is subject to TSX Venture Exchange approval and
shareholder approval and therefore is being proposed to holders of Common Shares
at the Company's upcoming annual general and special meeting on September 8,
2011 (the "Meeting"). The Board of Directors believes that the option for
consolidation of the Common Shares should enhance their marketability as an
investment and should facilitate additional financings to fund operations in the
future if necessary.
Notwithstanding shareholder approval, the Board of Directors may, in their sole
discretion, revoke the resolution approving the Share Consolidation at any time
prior to its implementation.
The Company does not intend to change its name or seek a new stock trading
symbol from the TSX Venture Exchange in connection with the Share Consolidation.
Further details are contained in the Company's information circular dated August
4, 2011, a copy of which is available electronically at www.sedar.com.
About El Nino Ventures
El Niño Ventures Inc. is an international exploration company, focused on
exploring for Copper/Cobalt in the Democratic Republic of Congo ("DRC") and
Lead, Zinc and Copper in New Brunswick, Canada.
In Canada, El Nino holds a 50% interest in an extensive base metal project
located within the Bathurst mining camp in Bathurst, New Brunswick, where
earlier drilling campaigns have been carried out on several historical deposits
of lead, zinc and copper mineralization within the large claim block owned 50%
ELN, 50% Xstrata Zinc.
El Niño subsequently entered into an option agreement with Votorantim Metals
Canada Inc. and Xstrata Zinc Canada whereby Votorantim may earn a 50% interest
in El Niño's landholdings by expending $10 million over 5 years and may further
increase its interest in El Niño's landholdings to 70% by expending an
additional $10 million over a further two years. (Please see release dated May
In January 2011, ELN announced that it has provided notice to Votorantim Metals
Canada Inc. (Votorantim) to enter into a Participation Agreement on the Murray
Brook Massive Sulphide /Polymetallic Deposit, situated in the Bathurst Mining
Camp in New Brunswick, Canada. (See press release dated January 20, 2011).
Drilling has been initiated on this project.
In February 2011, ELN announced that a $5 million exploration program has begun
consisting of airborne and ground geophysics and will include a 10,000 metre
drill program which is currently underway. (See press release dated February 23,
El Nino's management is aggressively seeking to add to its already extensive
property portfolio and acquire additional projects on an International scale
that meet our corporate objectives. This includes base and precious metal
properties within Africa and North America.
On behalf of the shareholders and board of directors of El Nino Ventures, I
would like thank you for your ongoing support.
Harry Barr, Chairman and Acting CEO
For further information:
Corporate: Jay Oness --
Investor Relations: Toll
2303 West 41st Avenue, Vancouve, B.C. V6M 2A3
TSX Venture Exchange or 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.
Note: this release contains
forward-looking statements that involve risks and uncertainties. These
statements may differ materially from actual future events or results and are
based on current expectations or beliefs. For this purpose, statements of
historical fact may be deemed to be forward-looking statements. In addition,
forward-looking statements include statements in which the Company uses words
such as "continue", "efforts", "expect", "believe", "anticipate", "confident",
"intend", "strategy", "plan", "will", "estimate", "project", "goal", "target",
"prospects", "optimistic" or similar expressions. These statements by their
nature involve risks and uncertainties, and actual results may differ materially
depending on a variety of important factors, including, among others, the
Company's ability and continuation of efforts to timely and completely make
available adequate current public information, additional or different
regulatory and legal requirements and restrictions that may be imposed, and
other factors as may be discussed in the documents filed by the Company on SEDAR
including the most recent reports that identify important risk factors that
could cause actual results to differ from those contained in the forward-looking
statements. The Company does not undertake any obligation to review or confirm
analysts' expectations or estimates or to release publicly any revisions to any
forward-looking statements to reflect events or circumstances after the date
hereof or to reflect the occurrence of unanticipated events. Investors should
not place undue reliance on forward-looking statements.