Lumina to split into four companies

Vancouver – Lumina Copper (LCC-T) is planning a reorganization whereby it will be split into four separate public companies.

The move is aimed at both maximizing the valuation of the copper projects held in the company’s portfolio, and to facilitate easier financing or possible divestiture through a simpler ownership structure.

The proposed arrangement will see present Lumina shareholders receive one share each of three new companies for each present Lumina share held, in addition to retaining their Lumina shareholding.

Following the proposed reorganization, the four companies will be: Regalito Copper, the renamed Lumina Copper entity, holding the advanced stage Regalito project in northern Chile. Northern Peru Copper that will hold the Galeno and Pashpap projects, the two Peruvian copper properties. Continental Copper will see the two other Chilean projects placed in it, Vizcachitas and Relincho. Lumina Resources will hold the two Argentinean copper projects, San Jorge and Taca Taca, as well as the three Canadian projects, Redstone, Hushamu and Casino.

Lumina initially acquired its portfolio of ten copper projects during the period 2002-to-late-2003, prior to the recent run-up in the copper metal price. The strategy was to develop or vend the properties when the metal price was higher, hopefully realizing a return.

The company’s most advanced project, Regalito, saw about 32,000 metres of drilling last year, leading to the delineation of a 628-million tonne measures and indicated resource grading 0.43% copper. Initial metallurgical testing has given indications of favourable copper leachability levels.

The market was bullish on the news, pushing up the issue to the $7.50-to-$8.00 per share level on strong volume. Lumina has 17.7-million shares outstanding.