(TSX: NVR) (“Nevoro”) are pleased to announce they have entered into a definitive
agreement (the “Arrangement 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 André 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. A scoping study was filed
on SEDAR in May 2008, and an update to this study was completed in December 2008 by Scott
Wilson RPA. Both of the foregoing studies indicated the project to be economically attractive. The
growth potential is significant as the land area of this project accounts for only 2% of the
company’s 625,000 acre land position. In addition, Starfield has commenced a diamond
exploration program following the discovery of a diamond in a till sample in December 2008.