Starfield Resources To Acquire Nevoro Inc.

 

TORONTO, ON - Starfield Resources Inc. and Nevoro Inc. reported that they have entered into a definitive agreement pursuant to which Starfield will acquire all of the issued and outstanding securities of Nevoro.

Both Starfield and Nevoro are exploration and development companies with advanced base and precious metal projects. Starfield has the most advanced copper-nickel-cobalt-PGE exploration and development project in the Canadian Arctic, and Nevoro has nickel-copper-cobalt and chrome deposits in the Montana Stillwater District on strike with the Stillwater Mine, which is North America's highest grade producer of platinum group metals.

Management and the board of directors of both Nevoro and Starfield and the Special Committee of the Nevoro board of directors are unanimously in support of the proposed business combination. "This combination is an excellent strategic fit," noted AndrŽ Douchane, President and CEO of Starfield. "Starfield's large copper-nickel-cobalt-PGE resource at Ferguson Lake complements Nevoro's properties at Stillwater and our environmentally friendly and highly efficient solvent extraction technology should be applicable to Nevoro's Ni-Cu-Co deposits."

"The timing of this transaction could not be better," added Victor Bradley, Executive Deputy Chairman of Nevoro. "Nevoro's Stillwater properties are entering the development stage, and Starfield's management, having developed and managed large base and precious metals mines throughout the world, has the experience necessary to move our properties to the next stage."

Nevoro's principal asset is its Stillwater Ni-Cu-Co-Cr-PGE Project in Montana. The project is located in the well-mineralized Stillwater Layered Mafic-Ultramafic Complex in south-central Montana. Nevoro currently holds 4,070 acres of 100%-owned patented and unpatented mining claims in the eastern part of the Complex, the most intensely explored part of the region, adjacent to and immediately south of the Stillwater Mine, which is one of the world's largest and richest PGE operations. Nevoro's properties include substantial Ni-Cu-Co deposits, which were drilled and advanced -- but never developed -- by Anaconda in the 1960s-1970s, and North America's largest defined chromite resources consisting of development-stage deposits that were partially mined during the 1940s-1950s.

Nevoro recently agreed to acquire Beartooth Platinum's ground in the Stillwater District, increasing Nevoro's land position to some 18,000 acres covering up to 40 kilometres of strike of the Ni/Cu/PGE targets in the district.

Nevoro's Moonlight copper project will not be included in this transaction, but will be distributed to Nevoro shareholders in a manner to be determined.

Starfield's advanced 100% owned Ferguson Lake project is the largest base and precious metals project in Nunavut. The project's massive sulphide resource is estimated at 44 million tonnes with the potential to dramatically increase in size. With one-third of the resource in the indicated category, the project is approaching the advanced development stage.

The company’s address is 130 Adelaide Street West, Suite 2210, Toronto, ON M5H, 416.860.0400, fax: 416.860.0822, email: [email protected].