Starfire Minerals Inc. signs Memorandum of Understanding (MOU) for $9 million investment in Porphyry Pearl Property

VANCOUVER, Dec. 20 /CNW/ -- 
TSXV: SFR


VANCOUVER, Dec. 20 /CNW/ - Starfire Minerals Inc. ("Starfire") announces
 that it has signed an MOU with Liaoning Eden Venture Investments Inc.
 ("Liaoning"), a Canadian resource/investment company. The majority
 Liaoning shareholder is Liaoning Non-Ferrous Geological Research and
 Exploration Institute of Liaoning, PRC. ("Liaoning China") Together
 they will jointly explore and develop Starfire's Porphyry Pearl
 property located in the Toodoggone District of British Columbia.


The parties propose to incorporate a joint venture company ("NEWCO") to
 facilitate this arrangement and Starfire will then transfer, at its own
 cost, the Porphyry Pearl property to NEWCO in exchange for shares in
 NEWCO. Liaoning will be able to earn up to a 51% interest in NEWCO
 through an investment of up to $9,000,000 over 36 months, which funds
 will be used exclusively for exploration and development work on the
 Porphyry Pearl property. In the event that Liaoning funds the full $9
 million then it will acquire a 51% interest in NEWCO and Starfire's
 interest in NEWCO will be diluted to 49%. However, if Liaoning funds
 less than $9 million then it will only be issued that number of shares
 of NEWCO as is proportionate to the amount of funds that it has
 advanced, the result of which will be that Starfire's interest in NEWCO
 will be greater than 49%. Pursuant to the terms of the MOU, the parties
 will form a committee comprised of representatives of both parties to
 approve future exploration programs and budgets. In addition, further
 development costs will be shared by the parties in proportion to their
 shareholdings in NEWCO.


The parties are working towards formalizing this initiative as soon as
 is reasonably possible. The formal agreement will be subject to all
 necessary regulatory and/or shareholder approvals.





ON BEHALF OF THE BOARD OF DIRECTORS OF
STARFIRE MINERALS INC.






"Dan Mosher"


_______________________________
Dan Mosher, President & CEO





THIS PRESS RELEASE WAS PREPARED BY MANAGEMENT WHO TAKES FULL
 RESPONSIBILITY FOR ITS CONTENTS. NEITHER THE TSX VENTURE EXCHANGE NOR
 ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE
 POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE
 ADEQUACY OR ACCURACY OF THIS RELEASE.








Forward Looking Information


Certain information regarding the Company set forth in this press
 release, including the re-structuring of a joint venture company, the
 proposed amount of financing, the proposed use of proceeds and
 management's assessment of the Company's future plans and operations
 contain forward looking information that involve substantial known and
 unknown risks and uncertainties. This forward looking information is
 subject to, but not limited to, factors such as the actions of third
 parties, the impact of general economic conditions, industry
 conditions, results from future work programs; fluctuations of
 commodity prices, availability of qualified personnel and management
 and/or timely and cost effective access to sufficient capital from
 internal and external sources. The Company's actual results,
 performance or achievement could differ materially from those expressed
 in or implied by the forward looking information and accordingly, no
 assurance can be given that any of the events anticipated to occur or
 transpire from the forward looking information will provide any
 benefits to the Company. 


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pFor further information:/p pStarfire Minerals Inc.br/ 3B - 19299 94th Avenuebr/ Surrey, BC V4N 4E6/p p/p table valign="top" border="0"trtdTelephone:br/ Fax:/td td604.455.0484br/ 604.455.0784/td/tr/table

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