Quadra Mining Signs MOU to Create Strategic Partnership with State Grid International Development Ltd. of China

Vancouver-based Quadra Mining Ltd. announced that it signed a memorandum of understanding with State Grid International Development Limited (SGID), a wholly-owned subsidiary of State Grid Corporation of China, the largest Chinese utility company and a major end user of copper, for the formation of a joint venture. The joint venture will develop and operate Quadra’s Sierra Gorda project and Franke Mine in Chile and seek to invest in other prospective copper assets. The parties will be entitled to their proportionate share of the concentrate or cathode production of the joint venture on arm’s-length terms. In addition, as part of the MOU, SGID and Quadra have agreed to undertake a private placement pursuant to which SGID will subscribe for shares representing approximately 9.9% of Quadra’s outstanding capital on a post-subscription basis (approximately 10.9 million shares) at a price of C$13.91 per share.