Kennecott options Galena Giant

A unit of Kennecott is about to start a drill program on the Galena Giant project, a “Sullivan-style” stratiform, lead-zinc-silver target on the Idaho-Montana border about 12 miles northeast of the famous Coeur d’Alene mining district.

The company may earn a 51% interest in the property from associated companies Arbor Resources (VSE) and Wealth Resources (VSE) by spending US$5 million during a 4-year period.

Kennecott will also buy 100,000 shares each of Arbor and Wealth, with options on further shares to be vested during a 6-year period to a maximum of 1.6 million shares of each company.

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