Proactive investorsLogo Proactive Investors UK Website

Search field
Additional information
Additional Information
Market: Euronext Brussels
Sector: General Mining - Zinc & Lead
Epic: NYR
News: Latest news
Web Site: Nyrstar
Other Articles: 30-09-2009

Nyrstar

Nyrstar is a leading global multi-metals business, producing significant quantities of zinc and lead as well as other products ,including silver, gold, and copper.
Friday, October 02, 2009

Nyrstar to acquire 85% interest in Gold Hawk Resources Peruvian subsidiary

company news image

(Dorothy Kosich, Mineweb.com) Vancouver-based junior miner Gold Hawk Resources said it has entered into an agreement that will allow Belgium-based zinc and lead producer Nyrstar to acquire an 85% interest in the junior company's Peruvian operating subsidiary for US$15 million.

As part of the transaction, Nyrstar will assume Gold Hawk's guarantee in respect to its subsidiary Compania Minera San Juan's (Peru) (CMSJ) US$13 million senior debt facility payable in February 2010. Nyrstar has also agreed to loan up to US$20 million to CMSJ to fund re-start and expansion cost for the Coricancha Mine.

Following the all-cash offering, Gold Hawk will be debt-free, have US$15 million in cash and own a 15% interest in the Coricancha mine, which could be in production during the first half of next year. The $20 million Nyrstar loan to CMSJ is expected to be sufficient to finance the mine restart.

The transaction is expected to be completed in November 2009.

Coricancha is expected to annually produce 20,000 dry metric tonnes (dmt) of zinc concentrate, 15,000 dmt of lead concentrate, 45,000 ounces of gold and 2.4 million ounces of silver.

The CMSJ transaction is the second investment made by Nyrstar this week. The company acquired a 19.9% interest in Ironbank Gold's Citronen zinc-lead deposit in Northern Greenland.

Three weeks ago, Nyrstar also acquired the East-Tennessee Zinc Mine complex from Glencore Group for US$126 million. The complex includes three separate mines.

 

Mineweb is a web-based international mining publication focusing on mining financial and corporate news and comment.

NewsNow icon AddThis Feed Button
Register here to be notified of future Nyrstar articles.

Other Nyrstar news

More news ►

Investors interested in Nyrstar recently viewed


No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.