| | | El Nino Announces Option Agreement with Falconbridge, Bathurst Zinc Mining Camp, Bathurst, New Brunswick | 
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ELN News May 26, 2006
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May
26, 2006, Vancouver, BC -- El Nino Ventures Inc. (TSX.V: ELN; OTCBB:
ELNOF; Frankfurt: E7Q) is pleased to announce that it has
entered into an Option Agreement with Falconbridge Limited (TSX:
FAL.LV and NYSE: FAL) to explore the Bathurst Mining Camp, New
Brunswick. The Bathurst Camp is a world class mining district with
full mining, milling and smelter infrastructure, containing numerous
copper, zinc, lead and silver volcanogenic massive sulphide deposits of
different sizes, ranging up to the Brunswick # 12 deposit which
contained more than 300 million tonnes of massive sulphide. The
Brunswick # 12 zinc, lead, copper, silver mine, owned by Falconbridge,
currently operates at approximately 10,000 tonnes per day. |
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El
Nino Ventures will initially have the opportunity to earn a 50% interest
in a large number of mineral
claims and two permitted areas held by Falconbridge occupying
approximately 108,800 hectares (approximately 268,736 acres). In order
to vest with a 50% interest El Nino is required to spend $5.0 million on
exploration by March 31, 2008 with a minimum expenditure of $2.5 million
by March 31, 2007. |
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vesting with a 50% interest in
the Property El Nino Ventures will have 90 days in which to elect to
carve out one or more Project Areas from the existing Property, in each
of which El Nino can increase its interest to 65% by spending an
additional $2.0 million over three years, and can increase its interest
in each Project Area still further to 75%, by spending an additional
$3.0 million over another two years. Falconbridge can back-in to
increase its position from either a 35% or 25% interest level to 50%, by
contributing 2.5 times El Nino's expenditure made to increase its
interest above 50%. Falconbridge may increase its interest in one or
more Project Area from 50% to 70% at any time by electing to complete a
Feasibility Study, or expend an additional $20 million on each Project
Area within three years: or five years if underground work is necessary
to complete the study. Falconbridge will have the right to process El
Nino's share of ore from any future operation. |
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| The
optioned claims and permits overlie a highly prospective sequence of
volcanic and sedimentary rocks which extend for kilometres and have
largely only been explored to shallow depths. Falconbridge as Project
Operator, will employ leading edge deeply penetrating geophysical
techniques, including Titan 24 surveys to define drill targets. These
systems enable highly reliable testing to much greater depths than
earlier surveys. Approximately
24,000m (over 78,000 feet) of diamond drilling comprising about 34
diamond drill holes, employing three drill rigs, is anticipated to be
completed during the first year program. Practically all of the funds
contributed by El Nino to the initial program will be devoted to diamond
drilling. The program is scheduled to commence immediately. |
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| A
Management Committee, comprising two representatives each from El Nino
Ventures and Falconbridge will make all strategic and planning decisions
relating to exploration of the Property.
One of El Nino's exploration personnel will work with
Falconbridge's Bathurst exploration team during the first two years of
the Agreement. |
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| Jean
Luc Roy, El Nino's President,
commented "The Bathurst Option and Joint Venture Agreement will allow
El Nino to participate in the exploration of a world class mining camp,
using the expertise of the Falconbridge technical team. We look forward
to an aggressive and exciting 2006/2007 exploration program as El Nino
begins the Bathurst zinc/base metal project, and continues to acquire
new projects, in our targeted areas of Canada, Alaska, and
Eastern/Central Europe". |
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| Normand
Dupras, Director of Exploration, Bathurst, for Falconbridge Limited
stated "We are very pleased to be commencing this new program with El
Nino Ventures. Our focus
remains committed to finding a new mineral deposit in the vicinity of
the existing Bathurst mine site, utilizing our vast database and
advanced technology". |
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108,800
hectares (approximately 268,736 acres) |
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About
El Nino Ventures Inc.
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El
Nino is an exploration stage company currently developing an aggressive
global acquisition strategy. Our
business model is to revisit former mining regions, apply new
technologies to advanced stage exploration targets, and aggressively
acquire new projects. Our
present focus is on Canada, Alaska, and Eastern / Central Europe.
In Canada, El Nino has an Option / Joint Venture with
Falconbridge Ltd. to explore the world class Bathurst Zinc / Base Metals
Mining Camp in New Brunswick. The
Company is also exploring for uranium in the Bancroft uranium camp in
Ontario. El Nino is
currently negotiating on new projects in Alaska, and Eastern/Central
Europe. |
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| On
behalf of the board of directors |
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| "Harry
Barr" |
| Harry
Barr, Chairman |
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| The
TSX Venture Exchange has not reviewed and does not accept responsibility
for the adequacy or accuracy of this release |
| CUSIP#
28335E-10-6 |
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This
news release contains certain "Forward-Looking Statements"
within the meaning of Section 21E of the United States Securities
Exchange Act of 1934, as amended. All statements, other than statements
of historical fact, included herein are forward-looking statements that
involve various risks and uncertainties. There can be no assurance that
such statements will prove to be accurate, and actual results and future
events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to differ
materially from the Company's expectations are disclosed in the
Company's documents filed from time to time with the British Columbia
Securities Commission and the United States Securities & Exchange
Commission. This email should not be construed as an offer to buy or
sell securities of this company.
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