Petaquilla Minerals Ltd.: Rating of Panama Upgraded by Fitch Ratings
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 06/15/11 -- Petaquilla Minerals Ltd. (the 'Company') (TSX: PTQ)(OTCBB: PTQMF)(FRANKFURT: P7Z) announces that Fitch Ratings ('Fitch') agency has recently raised the rating of Panama in a step to 'BBB' and revised its Outlook to stable, driven by the country's solid economic growth prospects and favourable government debt metrics. The rating is investment grade.
The upgrade means that Panamanian debt is among the best qualified of Latin America and reflects Panama's solid economic growth prospects and favourable government debt dynamics. Panama's ratings are also supported by the country's stable banking system, political stability and general political consensus on macroeconomic policies.
Panama's economy grew 7.5% in 2010 and Fitch projects a further 7% expansion in 2011 and 2012. Fiscal performance has been boosted by the economy's vigorous growth and the implementation of two tax reforms over the past year. Ambitious public investment programmes, including the expansion of the Panama Canal, should also support economic growth in the near term. Fitch believes that the canal expansion will provide Panama with an increasing stream of fiscal resources potentially starting in 2015.
Panama, which uses the U.S. dollar as currency and which administers one of the most important links between the Pacific and Atlantic oceans, has emerged as a winner from the growth in world trade - approximately 4% of global trade passes through the Panama Canal and the country also exports products from ports located on both coasts.
About Petaquilla Minerals Ltd. - Petaquilla Minerals Ltd. is a gold producer operating its gold processing plant at its 100% owned Molejon Gold Project in Panama. The Molejon mine site is located in the south central area of the Company's 100% owned 842 square kilometre concession lands, a region known historically for gold content.
On behalf of the Board of Directors of PETAQUILLA MINERALS LTD.
Joao C. Manuel, Chief Executive Officer
No stock exchange has approved or disapproved the information contained herein.
Contacts:
Petaquilla Minerals Ltd.
Joao C. Manuel
Chief Executive Officer
(604) 694-0021 or Toll free: 1-877-694-0021
(604) 694-0063 (FAX)
www.petaquilla.com