Amalgamation creates Cons. Abitibi Res.

Approval for the amalgamation was given by the shareholders of Abitibi Resources (ME), Mid- Canada Gold and Copper Mines (ME) and Pioneer Resources (ME) at the end of May, the president of the three old companies, J. H. Kentish, reports.

The amalgamation involved the following share ratios: one share of Consolidated Abitibi for each of 5.7903 common shares of Abitibi, 4.6597 shares of Mid-Canada, and 10.1571 shares of Pioneer.

One whole share of Consolidated Abitibi will be issued for each fraction of share equal to or higher than 0.5 share. A number of transactions will allow Aur Resources (TSE) to receive up to 19.9% of the issued capital of the amalgamated company.

Earlier this year, Abitibi, Mid- Canada and Pioneer granted an option to Aur to acquire a 70% interest in the Bevcon-Buffadisson, Louvicourt East and Louvicourt Copper Mining properties.

Aur loaned $150,000 to Abitibi, payable in shares of the amalgamated company. Aur also agreed to subscribe to $300,000 worth of shares of Consolidated Abitibi.

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