Japanese zinc producer Mitsui Mining & Smelting and Japan-based trading house Itochu Corporation have signed an agreement with Canada's Selkirk Metals for the acquisition of a 50 stake in the Ruddock Creek zinc/lead project in Canada.
Accordingly, Mitsui Mining & Smelting will acquire a 30 percent interest and Itochu will buy a 20 percent interest in the Ruddock Creek Project, and both will bear all exploration expenditures of the mine, estimated at a maximum of CA$20 million. Exploration is planned to continue up to March 31, 2013. The financial details of the deal have not been disclosed.
The Ruddock Creek mine has a targeted resource of a minimum of nine million mt of ore containing 7.2 percent zinc and 1.5 percent lead. Preliminary explorations identified a mineral resource in excess of three million mt of zinc-lead ore.