Kidd Creek purchase by Noranda rumored

Noranda Minerals President Keith Hendrick had no comment other than to point out the possibility of a deal between the two companies has been an on-going subject of speculation. And, a spokesman for Falconbridge said no such offer is on the table.

The latest rumor has Noranda paying Falconbridge $250 million and giving up its 19.9% interest in the latter in return for a 100% interest in Kidd Creek, with the two nickel giants splitting equally the mine’s profits.

Noranda became the major shareholder of Falconbridge last year through its purchase of shares of the latter on the open market.

The major metals producer announced late in 1988 it intended to acquire a further 10% interest in Falconbridge through normal course purchases not exceeding 5% of the outstanding common shares during any 90-day period. Noranda’s notice of intention will expire May 26. To date, Noranda has not acquired further shares in Falconbridge.

]]>