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Pacific Coast Nickel
Pacific Coast Nickel

 

PACIFIC COAST ANNOUNCES RENEGOTIATION OF BURWASH OPTION AGREEMENT

Vancouver, BC, - December 9, 2008 - Pacific Coast Nickel Corp. is pleased to announce that it has renegotiated the terms of the Burwash Option Agreement with Strategic Metals Ltd. to reduce the required expenditures in 2009 to zero. The Company will assess the prudence of a 2009 program with reference to the availability of further financing on reasonable terms.

Michael Sweatman, President of Pacific Coast said, "this is a recognition of the extraordinary times that we are all facing, both parties are aware of the market realities, as we at Pacific Coast strive to preserve our cash. We remain strongly committed to the project and should conditions improve we will consider mobilizing a program in the summer of 2009 to follow up on our 2008 drill results. We appreciate the realistic approach that Strategic has taken in allowing for this renegotiation."

The revised agreement removes expenses required in 2009 and reallocates them to 2010 and 2011 as follows:

  1. $1,000,000 on or before December 1, 2010; and
  2. $1,600,000 on or before December 1, 2011;

The agreement also provides for Pacific Coast to make payments and share issuances to Strategic as follows:
  1. $25,000 on or before March 31, 2009;
  2. an additional $30,000 on or before March 31, 2010; and
  3. an additional $50,000 on or before March 31, 2011;

Allotting and issuing the following common shares in its capital stock;
  1. 100,000 shares on or before March 31, 2009;
  2. 150,000 shares on or before March 31, 2010; and
  3. 200,000 shares on or before March 31, 2011

The Burwash property, located 8 kilometres by an all weather road from the Alaska Highway in south western Yukon, hosts nickel-copper-platinum group element (PGE) mineralization related to intrusions of the Late Triassic Kluane Mafic-Ultramafic Suite that were emplaced during a period of uplift and extension related to widespread basaltic volcanism. The property overlies the east half of the Quill Creek Mafic-Ultramafic Complex, a 20 km long multiphase sill-like intrusion that attains a maximum thickness of over 1 km. The Complex also hosts a number of other nickel-copper-PGE occurrences, the most significant and best explored of which is the former Wellgreen Mine, located immediately west of the Burwash property.

Pacific Coast has a small grass roots program in Uruguay underway which will be wrapped up later this month and results will be reviewed over the next several months.

Pacific Coast Nickel currently has cash on hand and intends to moderate expenses to preserve that cash over the coming year. This will include a review of all proposed expenses to ensure that maximum benefit is derived from any cash expenditures.

For further information please contact Michael Sweatman, President, 604-684-4312 or email info@pacificcoastnickel.com

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. This news release may contain forward looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control, and actual results may differ materially from the expected results.

 
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