Business Irish

Friday 24 November 2017

Exploration giant Lundin makes €7.2m cash offer for Belmore site


Gordon Deegan

INTERNATIONAL exploration mining giant Lundin Mining Corporation said yesterday that it "has good anticipation of future good results" from a 350 sq km silver, lead and zinc prospect in Co Clare.

Last Thursday, hopes of establishing a mine at the site received a major boost, with Belmore Resources recommending to its shareholders to accept a €7.2m cash offer from the Canadian corporation Lundin to buy out the company.

Belmore Resources's sole asset is the Co Clare prospect and the offer represents a windfall for its shareholders -- 60pc of whom are Irish.

Speaking yesterday from Ontario, Canada, Lundin Mining Corporation's senior vice-president of exploration and new business development, Neil O'Brien, said: "If the deposits are there, we will find them and push on to establish it as the next mine for the Lundin Corporation."

Lundin already operates a zinc mine at Galmoy, Co Kilkenny. Lundin's proposed buy-out of Belmore Resources comes against the background of the rising value of silver in the past 12 months.

With 12pc of Belmore Resources' shares, director Patrick Mahony -- who didn't take a salary from Belmore -- stands to receive around €864,000 from the proposed deal, which requires 80pc approval from the company's shareholders.

Irish Independent

Promoted Links

Business Newsletter

Read the leading stories from the world of Business.

Promoted Links

Also in Business