IMX Resources Limited and Continental Nickel Limited have entered into a definitive arrangement agreement pursuant to which IMX has agreed to acquire all the issued and outstanding common shares in the capital of Continental that it does not already own for shares and warrants in the capital of IMX by way of a Continental plan of arrangement under the Canada Business Corporations Act. Highlights; 1. Consolidates ownership of the Nachingwea Nickel Project and simplifies the structure of the two companies 2. IMX to be the surviving entity 3. Attractive project pipeline underpinned by cash flow from the Cairn Hill Mining Operation 4. Clear development strategy to advance the Nachingwea Nickel Project towards production in 2015 5. Strengthens balance sheet with greater financial flexibility 6. Enhanced trading liquidity and intended dual listing. In connection with the Arrangement, IMX has agreed to apply to list its ordinary shares and the warrants issued under the Arrangement on the Toronto Stock Exchange. IMX intends to retain its listing on the Australian Securities Exchange and add to its listing the IMX warrants issued under the Arrangement. The combination of Continental and IMX will see the ownership and control of the Nachingwea Nickel Sulphide Project in Tanzania, consolidated in a single entity. IMX currently owns approximately 37% of the issued capital of Continental. Nachingwea is operated under JV between Continental and IMX with Continental owning 75% of the JV and IMX owning 25%. Continental is the operator of the Nachingwea Nickel Project. Mr Neil Meadows MD of IMX said that "The combination of IMX and Continental results in a stronger company with an impressive pipeline of high quality projects including 100% of the potentially significant Nachingwea Nickel Project. With the project under single ownership, there is now a clear path to advance towards commencing nickel production. The attractive asset base, together with a simplified corporate and project structure, dual ASX TSX listing, an open register and a market capitalization of approximately AUD 100 million provides a strong basis to significantly increase investor focus and the potential for inclusion in major stock market indices." Mr Dave Massola president and CEO of Continental said that “The consolidation of Nachingwea in a larger and more attractive company significantly enhances the potential to unlock value for shareholders through the timely and optimal development of the project. With ongoing operating cash flow from Cairn Hill and a substantially improved profile, the combined company is well placed to continue to fund Nachingwea from both internal and external sources. In addition, Continental shareholders gain exposure to the emerging Mt Woods Magnetite Project in South Australia."

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