Nautilus Minerals Signs Landmark Offtake Agreement for Solwara 1

 
TIDMNUS 
 
Nautilus Minerals Signs Landmark Offtake Agreement for Solwara 1 
FOR:  NAUTILUS MINERALS INC. 
 
TSX, AIM SYMBOL:  NUS 
 
April 23, 2012 
 
Nautilus Minerals Signs Landmark Offtake Agreement for Solwara 1 
 
TORONTO, ONTARIO--(Marketwire - April 23, 2012) - Nautilus Minerals Inc. ("Nautilus" or the "Company") (TSX:NUS)(AIM:NUS) 
today  announced  it has signed a binding heads of agreement with Tongling Nonferrous Metals Group Co. Ltd  ("Tongling") 
for the sale of the product extracted from the Company's Solwara 1 deposit located in the Bismarck Sea, Papua New Guinea 
("PNG"). 
 
The agreement provides for the purchase by Tongling of 1.1 million tonnes per annum (subject to +/- 20% variation) of Solwara 
1  material  for  a  period of three years on a take or pay basis, commencing upon the first delivery  of  product  from 
Solwara  1, targeted in Q4 2013 in accordance with a notification mechanism and includes an option to agree an extension 
of the arrangement. 
 
"The quality of this relationship with China's largest importer of copper concentrates provides further evidence that there is 
considerable  interest  in  the  high grade massive sulphides being found by the emerging seafloor  resource  production 
industry," said Nautilus CEO Stephen Rogers. 
 
The  material will be imported into China by Tongling and then processed through its facilities in the city of  Tongling 
alongside  the  Yangtze  River.  After production of a copper concentrate it will be smelted  in  Tongling's  industrial 
complex. The purchase price to be paid by Tongling will be based on the quality of the copper concentrate produced. 
 
The agreement includes a mechanism for an early payment of 90% of the price upon loading of the export vessel in PNG. Final 
payment  is  based  on the recovery of copper, gold and silver reporting to the copper concentrate with  deductions  for 
capped  logistics  and  processing costs, smelter treatment and refining charges (TC/RCs), allowances  for  plant  fixed 
capital  recoveries  and  Tongling's tolling fee on concentrator plant processing  costs.  TC/RCs  are  based  on  Asian 
International benchmarks with a premium payable for the achievement of target metal recoveries. 
 
The  price  payable for all metals will be set by the London Metal Exchange (LME) for copper and London  Bullion  Market 
Association  (LBMA)  for  silver and gold with the initial payment for all metals based on  the  average  of  the  month 
preceding the shipment and final payment on a four month Quotational Period. 
 
Further value may be realised through a 50%/50% profit sharing scheme based on incremental by-product revenue realised in 
China,  including gold bearing pyrite. Material from the process can be roasted in China to produce gold  and  sulphuric 
acid  and  the remaining calcine may be sold to cement manufacturers or as iron ore fines. With minimal waste Tongling's 
process brings significant benefits consistent with Nautilus' commitment to minimise environmental impacts. 
 
The Company will issue a bank guarantee to Tongling in three stages over nine months, which will not exceed approximately 
US$11.5  million,  as a security for 50% of Tongling's concentrator investment costs commencing at the  first  order  of 
major equipment. 
 
Nautilus CEO Stephen Rogers said the Company was looking forward to working with Tongling to realise the full potential of the 
high  grade material extracted from Solwara 1. "We have now closed the value chain on the project, established our first 
customer for seafloor massive sulphides and look forward to building a long term relationship with Tongling," he said. 
 
Nautilus is currently progressing the build of equipment, including the Seafloor Production Tools and Production Support 
Vessel (as those terms are used in the Company's Annual Information Form), for the Solwara 1 Project. 
 
About Tongling Nonferrous Metals Group Co. Ltd 
 
Tongling Nonferrous Metals Group Co., Ltd., together with its subsidiaries, engages in the copper smelting, copper ore mining, 
processing of copper products and other related businesses primarily in the People's Republic of China and has a revenue 
in  excess of US$11.2 billion. They are one of the world's leading copper and zinc smelting groups. The company produces 
gold  concentrates containing silver, copper, sulfur, and other elements; iron concentrates; sulfur fine sand  products; 
single-sulphide,  iron  ore,  and iron pellets; copper cathodes; copper flat wires; oxygen-free  copper  rods;  phosphor 
copper  anodes;  precision brass sheets and strips; copper sheets and strip classes; lead frame strip classes;  phosphor 
bronze tins; brass rods; self-adhesive and lubricating cables; and resistant wires. It also offers sulfuric acid, copper 
sulfate,  and nickel sulphate. The company was formerly known as Anhui Tongdu Copper Co., Ltd. and changed its  name  to 
Tongling Nonferrous Metals Group Co., Ltd. in September 2007. Tongling Nonferrous Metals Group Co., Ltd. was founded  in 
1992 and was listed on Shenzhen Stock Exchange in 1996. It is headquartered in Tongling City, China. Tongling Nonferrous 
Metals  Group  Co.,  Ltd. is one of the companies with the most complete industry chain in China. In  2011,  the  copper 
contained  in  the  self-produced copper concentrate is 48,500 tons, the copper cathodes produced is 854,400  tons,  the 
sulfuric  acid produced is 2,067,000 tons, and the gold produced is 11.15 tons. The core business of Tongling is  copper 
smelting.  As  of the end of 2011, Tongling has total assets of US$5,117 million, net assets of US$1,814 million,  sales 
revenue of US$11.218 billion and total profits of US$296 million. 
 
Certain of the statements made in this news release may contain forward-looking statements within the meaning of the United 
States  Securities  Exchange  Act  of 1934 and forward-looking information within the  meaning  of  applicable  Canadian 
securities law. Forward-looking statements and forward-looking information include, but are not limited to statements or 
information with respect to the the future price of copper, gold and other metals, the estimation of mineral  resources, 
the  realization of mineral resource estimates, the timing and amount of estimated future production, the fulfilment  of 
the  obligations under the Tongling sales agreement and the timing and suitability of such arrangements,  the  Company's 
financial  position, business strategy, plans and objectives of management for future operations. We have made  numerous 
assumptions  about  the  material forward-looking statements and information contained herein  including  the  Company's 
present  and future business strategies, the charter rate for ore-transport barges, the proposed mine plan and the  good 
faith  performance  of the obligations of counterparties pursuant to contracts with the Company. The  Company  has  also 
assumed  that  market  fundamentals  will result in sustained copper and gold  demand  and  prices;  that  the  proposed 
development of its mineral projects will be viable operationally and economically and proceed as expected; and that  any 
additional financing needed will be available on reasonable terms. Risks relating to these assumptions include the over- 
arching  risk that the Company will not commence production of mineralised material, that future prices of copper,  gold 
and  other  metals  will be lower than expected; and possible variations in resources, grade or recovery  rates.  Please 
refer  to  the company's most recently filed Annual Information Form in respect of other material assumptions and  risks 
relevant to forward looking information. 
Even though our management believes the assumptions made and the expectations represented by such statements or information 
are  reasonable, there can be no assurance that the forward-looking statement or information will prove to be  accurate. 
Forward-looking  statements  and information by their nature involve known and unknown risks,  uncertainties  and  other 
factors  which may cause the actual results to be materially different from any future results expressed or  implied  by 
such  forward-looking statements or information. Such risks, uncertainties and other factors include, among others,  the 
risk that the amount of metals contained in the company's deposits may differ from estimates of resources. Should one or 
more  of  these  risks,  uncertainties or other factors materialize, or should underlying assumptions  prove  incorrect, 
actual results may vary materially from those described in forward-looking statements and information. Although we  have 
attempted  to  identify  factors that would cause actual results to differ materially from those described  in  forward- 
looking statements and information, there may be other factors that cause actual results, performances, achievements  or 
events  to not be as anticipated, estimated or intended. Also, many of the factors are beyond our control. There can  be 
no  assurance  that  forward-looking statements or information will prove to be accurate, as actual results  and  future 
events  could  differ  materially from those anticipated in such statements. Accordingly  you  should  not  place  undue 
reliance  on  forward-looking statements or information. Except as required by law, we do not expect to update  forward- 
looking  statements and information as conditions change and you are referred to the full discussion  of  the  Company's 
business contained in the Company's reports filed with the securities regulatory authorities in Canada. 
 
About Nautilus Minerals Inc. 
 
Nautilus is the first company to explore the ocean floor for polymetallic seafloor massive sulphide deposits and is developing 
its  first  project  at Solwara 1, in the territorial waters of Papua New Guinea, where it is aiming  to  produce  gold, 
copper and silver. The company has been granted all necessary environmental and mining permits. 
 
Nautilus also holds approximately 600,000 km2 of highly prospective exploration acreage in the western Pacific; in PNG, the 
Solomon Islands, Fiji, Vanuatu and Tonga, as well as in international waters in the eastern Pacific. 
 
A Canadian registered company, Nautilus is listed on the TSX and AIM stock exchanges and has its corporate office in Brisbane, 
Australia. Its major shareholders include Metalloinvest, the largest iron ore producer in Europe and the CIS, which  has 
a 21% holding, and global mining group Anglo American, which holds an 11% interest. 
 
 
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FOR FURTHER INFORMATION PLEASE CONTACT: 
 
Nautilus Minerals Inc. (Toronto) 
Investor Relations 
[phone] 
[e-mail] 
www.nautilusminerals.com 
 
OR 
 
Numis Securities Limited 
Alastair Stratton 
Nominated Adviser 
+ 44(0) 20 7260 1000 
 
OR 
 
Numis Securities Limited 
James Black 
Corporate Broking 
+ 44(0) 20 7260 1000 
 
Neither the TSX nor the London Stock Exchange accepts responsibility for the adequacy or accuracy of this press release. 
 
 
 
 
Nautilus Minerals Inc.