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Nanika Updates on Korean Joint Venture Negotiations
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September 19, 2008: Nanika Resources Inc. (TSX-V: NKA and FSE: C7X)
(the "Company" or "Nanika") confirms that it is in on-going
negotiations to enter into a Joint Venture Agreement (JVA). As
previously announced, Nanika is currently negotiating a non binding
Memorandum Of Understanding (MOU) with Palm Clean Energy Inc. and
Daewon Chemical Co. Ltd. of South Korea, This update follows Nanika's
previous news release on July 22, 2008 where Nanika had indicated it
hoped to conclude an agreement by mid September. Nanika is negotiating
towards a new joint venture company it hopes to be formed that will
hold the continued exploration, development and mining right to the
"Lucky Ship" molybdenum project located at the "Nanika Ridge" site
approximately 85 kilometres southwest of the town of Houston, British
Columbia. Nanika's President and Chief Executive Officer, James Jacuta,
commented that: "It has been several months since we announced we were
undertaking negotiations with our Korean partners on a formalized joint
venture agreement and I would like to thank the teams representing the
Korean and Canadian parties for their on-going efforts, as well as our
shareholders for their patience and understanding through this process.
Progress has been made and I am hopeful that these discussions can come
to a mutually beneficial conclusion. Nevertheless, despite my optimism
it must be noted that until a MOU and JVA are concluded there can be no
guarantees on what the final terms might be."
The signing of any JVA being negotiated will be subject to the
completion of due diligence and the approval of Nanika's board of
directors. As any MOU would likely be non-binding until a JVA is
signed, the MOU does not affect the status of the previously signed
Option Agreement entered into between the parties which remains in
force. The original Option Agreement contained terms that provided that
the parties would subsequently enter into a formal joint venture.
About Nanika Resources Inc.
Nanika Resources Inc. is a TSX Venture listed mineral exploration and
development company focusing on the development of its Lucky Ship
Molybdenum Property in west central British Columbia and the
advancement of its other mineral exploration properties, all of which
are located within Canada.
On Behalf of the Board
"James. D Jacuta"
Chairman, President & CEO.
For further information contact:
Doug Kerr
Nanika Resources Inc.
Telephone: 604-638-0699
Toll Free 1-866-580-0699
Email: kerr@nanikaresources.com
Derek Huston
Telephone: 604-929-2337
Toll Free 1-800-665-4288
http://www.nanikaresources.com
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of the content of the
information contained herein.
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Copyright (c) 2008 NANIKA RESOURCES INC. (NCV) All rights reserved.
For more information visit our website at
http://www.nanikaresources.com/ or send mailto:info@nanikaresources.com
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