MARQUETTE - Lundin Mining announced today that it has entered into a definitive agreement with Rio Tinto to purchase a 100 percent ownership stake in Rio Tinto's Eagle Mine in Marquette County.
According to a press release from Toronto-based Lundin, the agreed purchase price is approximately $325 million, consisting of a $250 million purchase amount plus project expenditures from January 1, 2013 until transaction closing of approximately $75 million, payable in cash, and subject to adjustments.
Paul Conibear, Lundin's president and CEO, said the acquisition of the Eagle Mine fits in Lundin Mining's asset base.
"The Eagle Mine represents a very unique opportunity to acquire a high-grade project which is under construction and expected to begin generating significant levels of metal production and cash flow prior to the end of next year," Conibear said in the press release.
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