MANSFIELD ANNOUNCES DETAILS ON SPIN-OUT OF RIO GRAMANSFIELD ANNOUNCES DETAILS ON SPIN-OUT OF RIO GRANDE AND EXPLORATION ASSETS
Vancouver, British Columbia - Mansfield Minerals Inc. (TSX.V - MDR)
October 7, 2008
Mansfield Minerals Inc. (the "Company") announced today that it has mailed
the Management Information Circular and related materials for the upcoming
annual and special shareholder's meeting to be held on October 29, 2008.
The circular includes full details on the spin-out of certain of the
Company's assets into a new company, Pachamama Resources Ltd. ("Pachamama").
The spin-out will be accomplished pursuant to a plan of arrangement,
expected to be completed on or about November 12, 2008. The Company will
spin-out all of its exploration stage properties, including the Rio Grande
property, to Pachamama. The Company will maintain its ownership interest in
the Lindero property, which will be the Company's main focus going forward.
The Company will also transfer over $13 million in cash and investment
securities to Pachamama as part of the plan of arrangement.
The plan of arrangement provides that each existing common share of the
Company will be exchanged for one new common share of the Company, and one
common share of Pachamama. The Company has applied to list the Pachamama
common shares for trading on the TSX Venture Exchange. Management believes
that the spin-out will permit the Company's shareholders to realize the
value of the Company's Lindero property through continued ownership of the
Company's common shares, while retaining the upside potential associated
with the Company's other exploration and development properties through
ownership of Pachamama common shares.
Completion of the plan of arrangement is subject to certain conditions,
including receipt of shareholder and regulatory approvals, which are
described in detail in the circular being delivered to the Company's
shareholders today. Copies of all of the meeting materials are also
available on SEDAR at
www.sedar.com.
About Mansfield Minerals Inc. Mansfield is a mining exploration company
which has focused its activities in northwestern Argentina since August
1994. The Company is currently focused on two primary projects which include
Lindero (gold) and Rio Grande (copper-gold). Mansfield and Antares each own
a 50% undivided interest in Rio Grande.
On behalf of the Board of Directors,
"Gordon P. Leask"
Gordon P. Leask., P.Eng.
President