Vancouver-based Trimin Resources (TSE) has agreed to sell its 32.9% stake in the Hanson Lake polymetallic deposit to Shell Group affiliate Billiton Resources Canada Inc. for $17.5 million cash. Situated 40 miles west of Flin Flon, Man., the deposit is estimated to contain 10.8 million tons of grade 0.95% copper, 5.76% zinc, 0.42% lead, 0.015 oz. gold and 0.73 oz. silver per ton.
Uranium giant Cameco is the project operator and holds the remaining 67.1% interest in the Hanson Lake property. As Cameco holds the right of first refusal on the sale of Trimin’s interest, closing of the agreement is contingent upon Cameco waiving its right of first refusal.
Trimin said it will retain an investment dealer to prepare a formal valuation of the property before asking its shareholders to vote on the offer at a special meeting. The approval of 75% of Trimin shareholders is needed for the offer to go through.
As Trimin has 4.1 million shares issued and outstanding, the offer is valued at about $4.15 per Trimin share.
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