01/05/2009 23:52:00

Nyrstar acquires Mid-Tennessee Zinc mine complex in US

Related content
08 Aug - 
Nyrstar announces First Half Results
20 Jul - 
Nyrstar Announces 2016 Half Year Reporting Date and Web..
06 Jul - 
Nyrstar successfully places EUR 115 million convertible..

Balen, Belgium (1 May 2009) - Nyrstar NV today announced that it has

acquired the Mid-Tennessee Zinc mine complex in Tennessee, US for

(approximately) €10 million in cash.

The mine complex was acquired from Mid-Tennessee Zinc Corporation

(MTZ) (in Chapter 11 Bankruptcy), a wholly owned subsidiary of

Strategic Resource Acquisition Corporation (SRA), following approval

from the US Bankruptcy Court today. MTZ acquired the mine complex in

2006 and it has been on care and maintenance since October 2008.

The mine complex has a history of close association with Nyrstar's

Clarksville smelter which was originally constructed to treat

concentrate from the mine complex. Once operations are recommenced,

the mine complex will continue to be an important source of

concentrate for this smelter providing (approximately) 50% of its

concentrate requirements.

Commenting on the acquisition, Roland Junck, chief executive officer

of Nyrstar, stated:

"Once operational, the acquisition of the mine complex provides us

with an opportunity to capture a number of important synergies that

should support a long term sustainable future for Clarksville, in

addition to capturing the value contained in the germanium and

gallium rich concentrate."

Nyrstar intends to continue the care and maintenance program for the

near future but will review opportunities to recommence operations as

soon as commercially feasible. The costs for this program are not

material.

The acquisition was funded from existing cash reserves.

Background

The Mid-Tennessee Zinc mine complex comprises facilities at three

sites; Elmwood (established in the 1970s), Gordonsville (established

in the 1980s) and Cumberland (established in the 1990s). All three

mining facilities are located within (approximately) ten (10) miles

of each other within an (approximately) 20 square mile area of Smith

County, Tennessee and are located (approximately) 50 miles east of

Nashville. When operational, ore mined at the three facilities is

processed into zinc concentrate at the Gordonsville site. The

Gordonsville zinc mine complex is located (approximately) 100 miles

from Nyrstar Clarksville.

The most recent resource statement for the mine complex (October

2008) indicates a total ore reserve (indicated and inferred) of

(approximately) 30 million tons containing (approximately) 1 million

tons of zinc at an average ore grade of (approximately) 3% zinc.

Accordingly, the ore reserve indicates a mine life of (approximately)

10 to 15 years producing (approximately) 100,000 dmt per annum of

zinc concentrates. There was a one-for-one reserve replacement

record over 28 years of operations from 1975 to 2003.

Previously owners of the mine complex have included Union Miniere (a

predecessor of Umicore) and Pasminco (a predecessor of Zinifex (now

OZ Minerals)).

- end -

About Nyrstar

Nyrstar is a supplier to the global commodity markets and is driven

by value creation. Nyrstar currently produces significant quantities

of zinc, lead and other valuable metals. Nyrstar is listed on NYSE

Euronext Brussels under the symbol NYR. For further information visit

the Nyrstar website, www.nyrstar.com

Contacts

Michael Morley

Director, Legal and External Affairs

T: +44 20 7408 8120

michael.morley@nyrstar.com

Investors

Chris James

Group Manager, Investor Relations

T: +44 20 7408 8161

M: +44 7912 269 497

chris.james@nyrstar.com

Media

Geert Lambrechts

Communications Advisor

T: +32 14 449 646

M: +32 473 637 892

geert.lambrechts@nyrstar.com

This announcement was originally distributed by Hugin. The issuer is

solely responsible for the content of this announcement.

Post comment

Related debate

  • 1 week
  • 1 month
  • 1 Year
Ingen indlæg

Form 8.3 - J Sainsbury Plc

29/08/2016 11:19:06
FORM 8.3 PUBLIC OPENING POSITION DISCLOSURE/DEALING DISCLOSURE BY A PERSON WITH INTERESTS IN RELEVANT SECURITIES REPRESENTING 1% OR MORE ..

Alliance Trust PLC : Net Asset Value(s)

26/08/2016 15:36:16
ALLIANCE TRUST PLC                                    At the close of business on Thursday 25 August 2016: The Company's NAV per ordinary shar..

HSBC Bank Plc : Form 8.5 (EPT/RI) - London Stock Exchange Group Plc

26/08/2016 11:44:22
FORM 8.5 (EPT/RI) PUBLIC DEALING DISCLOSURE BY AN EXEMPT PRINCIPAL TRADER WITH RECOGNISED INTERMEDIARY STATUS DEALING IN A CLIENT-SERVING CAPACITY ..

Most read news

  • 24 hours
  • 48 hours
  • 1 week
1
Saniona AB: Saniona and Boehringer Ingelheim sign collaboration agreement in schizophrenia
2
Bellevue Asset Management: US healthcare - fear of change (again) creates opportunity for investors
3
Novartis convenes experts to discuss new technologies in healthcare at Novartis International BioCamp
4
Verisk Analytics, Inc., Acquires Quest Offshore's Data and Subscriptions Business
5
Maha Energy AB: announces its second quarter and half year report ending June 30, 2016

Related stock quotes

Nyrstar 6.31 0.0% Stock price unchanged

Buy and sell signals

  • Trend
  • Moneymachine

Copyright Euroinvestor A/S 2016   Disclaimer and Terms of Use
Quote information is delivered by Interactive Data.
Data is delayed 15-20 minutes according to the distribution agreements set by the different exchanges.
 
30 August 2016 04:03:38
(UTC) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20160826.1 - EUROWEB1 - 2016-08-30 05:03:38 - 2016-08-30 04:03:38 - 1000 - Website: OKAY