FOR IMMEDIATE RELEASE
Cuervo Announces Private Placement
Cuervo Resources Inc. (CNQ-IRON; FWB-CRR; “Cuervo” or the “Company”) is pleased to
announce that it has engaged Wellington West Capital Markets Inc. as lead agent on a best
efforts basis in connection with a private placement of a minimum of 6 million Units of the
Company, at a price of $CDN1.50 per Unit, for minimum gross proceeds of $CDN9 million (the
“Offering”). Each Unit will consist of one Cuervo common share and warrants entitling the
holder to purchase one half of a Cuervo common share at a price of $CDN2.25 for a period of 24
months after the closing of the Offering. If the closing price of the Cuervo common shares is
equal to or greater than $CDN3.00 for a period of 10 consecutive trading days any time after six
months after the closing of the Offering, the Company may accelerate the expiry date of the
warrants. In addition, if the Cuervo common shares are not listed for trading on the Toronto
Stock Exchange six months after the closing of the Offering, each purchaser of Units will be
entitled to receive additional Units equal to 10% of the number of Units purchased.
Net Proceeds from the Offering will be used to fund the Company’s iron ore exploration projects
in Perú and for general corporate and working capital purposes. This will include the completion
of an initial NI 43-101-compliant resource report expected in Q2 2008, an accelerated drilling
campaign, additional resource updates, and further metallurgical, marketing and transportation
studies.
The securities to be issued in connection with the Offering will be subject to a four month hold
period from the date of issue.
Cuervo common shares are listed on the Canadian Trading and Quotation System Inc. (CNQ),
and also trade on the Frankfurt Stock Exchange (FWB). Currently, there are 26,569,750 shares
outstanding (33,556,000 fully diluted).
For further information, please contact Mr. John Siriunas, a director and President of Cuervo, at
(416) 203-3957 x701 or Mr. Tom Berner, Investor Relations, at (416) 203-3957 x202.
Additional information about Cuervo can be found at the Company’s website at
http://www.cuervoresources.com
The Canadian Trading and Quotation System Inc. has neither approved nor disapproved of the
contents of this press release.