South32 Acquires Arizona Mining, Plans Hermosa Development

South32 Acquires Arizona Mining, Plans Hermosa Development

South32 has acquired Arizona Mining in its entirety for US$1.3 billion, and is wasting no time in making development plans for the Hermosa base metals project.

In a US$1.3-billion deal, South32 (ASX,LSE:S32) has acquired Arizona Mining in its entirety, with immediate plans to develop the Hermosa base metals project.

South32, which previously had a 17-percent stake in Arizona, announced in June that it would be acquiring the company in full through an all-cash offer of C$6.20 per share. Arizona was delisted from the Toronto Stock Exchange on Friday (August 10) following the acquisition’s completion.

“The acquisition of Arizona Mining adds to our portfolio one of the most exciting base metal projects in the industry,” South32 CEO Graham Kerr said in a statement.

“Our deep understanding of the high-grade Hermosa project and surrounding land package, together with our extensive experience at Cannington, [our Australian silver and lead mine], positions us well to bring the project to development and deliver significant value to our shareholders.”

According to South32, work on Hermosa’s design and development will begin in the coming weeks. That work will include optimizing studies and the start of an exploration decline, which will allow for drilling to test for extensions and for a further understanding of Hermosa’s resource.

Hermosa, which is located 13 kilometers north of the Mexico/US border in Arizona, hosts two primary mineral deposits, Taylor and Central. Taylor has significant zinc-lead-silver sulfide mineralization with a measured and indicated resource of just under 101 million tonnes at 10.4 percent zinc equivalent. Meanwhile, Central has a zinc, manganese and silver oxide resource.

The Taylor deposit is set to have a 29-year mine life, with a preliminary economic assessment showing a US$2-billion net present value. It is expected that average annual production will hit 946 million pounds of zinc equivalent and 9.5 million ounces of silver concentrate in the first five years. Production is docketed to begin in late 2020.

Don’t forget to follow us @INN_Resource for real-time updates!

Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article.

Hastings Technology Metals Ltd Measured and Indicated Mineral Resource Tonnes Up by 54%

Perth, Australia (ABN Newswire) – Australia’s next rare earths producer, Hastings Technology Metals Ltd (ASX:HAS) (FRA:5AM), is pleased to announce a material increase in Mineral Resource Estimate at its Yangibana Rare Earths Project (Yangibana) in Western Australia’s Gascoyne region.

Highlights

– Measured and Indicated Mineral Resource tonnes increased by 54% to 16.3Mt for Yangibana deposits drilled during 2020.

Keep reading... Show less

ASI certifies Rio Tinto’s ISAL smelter for responsible production

Rio Tinto’s ISAL smelter in Iceland has been certified by the Aluminium Stewardship Initiative (ASI) for meeting the highest internationally recognised standards for responsible aluminium production.

The certification continues Rio Tinto’s leadership of the industry on responsible aluminium production from mine to metal, and means customers can be assured aluminium produced at ISAL meets independent environmental, social and governance standards.

Keep reading... Show less

Rio Tinto updates details of tailings facilities

Rio Tinto today released updated information in relation to its global tailings facilities to align with the requirements of the Global Industry Standard for Tailings Management (GISTM) released in August 2020, an initiative co-convened by the International Council on Mining and Metals, United Nations Environment Programme and the Principles for Responsible Investment.

The latest disclosure at http://www.riotinto.com/tailings builds on previously disclosed information on each of Rio Tinto’s global tailings facilities released in June 2019 and the publication of Rio Tinto’s Group Procedure and updated Standard for ‘Management of tailings and water storage facilities’ in February 2019. The changes to existing data are in line with guidance contained in GISTM including updating information previously disclosed.

Keep reading... Show less

Hastings Technology Metals Ltd Quarterly Activities Report

Perth, Australia (ABN Newswire) – Australia’s next rare earths producer, Hastings Technology Metals Ltd (ASX:HAS) (FRA:5AM) is pleased to report on exploration and development activities for the three-month period to 31st March 2021. Most of the activity focused on the Company’s Yangibana Rare Earths Project (“Yangibana”) in the Gascoyne region of Western Australia.

Highlights

– Hastings raised $100.7 million (before costs) through a two-tranche equity placement priced at $0.19 per share, with funds to be used to advance development of the Yangibana Rare Earths Project.

Keep reading... Show less

Argyle Diamond Mine Closure: What’s Next for the Sector in Australia?

Click here to read part one of this article, which covers the closure of the Argyle diamond mine.

When the mining equipment permanently shut down at Western Australia's Argyle mine in November 2020, the country's diamond sector entered a transitional period.

As the world's fourth largest diamond-producing asset shuttered, domestic output of the gems instantly declined by as much as 90 percent.

Keep reading... Show less

Top News

Related News