Foran Mining taps investors for McIlvenna Bay initial phase funding
McIlvenna Bay is currently host to the largest undeveloped VMS deposit in the Flin Flon region in Saskatchewan.
Acadian Mining shares were up 30% on Tuesday morning trading after it announced it will spin off lead and zinc assets so it can focus on gold exploration.
Selwyn Resources Ltd. will acquire all the outstanding shares of ScoZinc Limited for $10 million cash. That will leave Selwyn owning Scotia Mine located in Nova Scotia.
“The sale price for ScoZinc is $10 million less certain deductions including those related to increased bonding requirements for an amended reclamation and closure plan for the Scotia Mine. Upon completion of the acquisition, Selwyn will own the mine-mill complex and an extensive mineral claims package,” stated the company’s news release.
The Scotia Zinc project commenced production in May 2007, but it was placed on care and maintenance in late 2008 due to falling metal prices.
“Selwyn has an experienced management team and is committed to the zinc business, and is thus ideally suited to bring the Scotia Mine back into commercial production,” said Grant Ewing, President and C.E.O of Acadian Mining.
