Jaguar Financial and large international mining partner announce 9.9% ownership interest in Constellation

Jaguar Financial and large international mining partner announce 9.9% ownership interest in Constellation

Jaguar Financial Inc. together with a large international mining company (collectively the “Joint Venture”) have announced their ownership of 17,882,000 common shares of Constellation Copper Inc. (“Constellation”), representing approximately 9.9% of the issued and outstanding common shares of Constellation.

The following information concerning Constellation is based on its publicly held information. Constellation owns the Lisbon Valley mine in Utah, USA, which has been converted to a leach only operation. Constellation also owns the San Javier project in Sonora, Mexico and the Terrazas project in Chihuahua, Mexico. Constellation had a net loss of $18.8 million for the first quarter-ended March 31, 2008.

Constellation is in default of its $69 million in convertible debentures. Constellation is soliciting various financing and mergers and acquisition opportunities. Constellation has expressed significant doubt about its ability to continue as a going concern.

Jaguar, on behalf of the Joint Venture, submitted a restructuring proposal to Constellation which included a $10 million equity investment at a discount to the current market price and a restructuring of the convertible debentures and hedging liabilities. The restructuring proposal was subject to satisfactory due diligence and shareholder approval.

Jaguar, on behalf of the Joint Venture, believes that there is an opportunity to develop a win-win transaction for the shareholders and creditors of Constellation, upon implementation of an appropriate restructuring. The Joint Venture continues to be interested in developing a restructuring plan for the mutual benefit of the shareholders and creditors of Constellation.

Vic Alboini, Chairman and Chief Executive Officer of Jaguar stated: “We see an opportunity with the right restructuring to maintain Constellation as a viable entity. Jaguar’s interest is to acquire effective control of Constellation in order to rely upon the mining experience and reputation of our Joint Venture partner.”

The Joint Venture may, depending on market and other conditions, acquire additional common shares or other securities of Constellation, through market transactions, private agreement or otherwise. The Joint Venture may, depending on market or other conditions, sell any or all of its common shares of Constellation.

About Jaguar

Jaguar is a Canadian merchant bank that invests in undervalued small capitalization companies in a variety of industry sectors.

The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this news release. This news release may contain certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under Jaguar’s control which may cause actual results, performances or achievements of Jaguar to be materially different from those implied by such forward looking statements.

For further information

For additional information on this press release, please contact Kyler Wells, General Counsel, (416) 644-8177

Source: Jaguar Financial Inc.

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