GUATEMALA – SKYE RESOURCES of Vancouver has closed a private placement that raised $25 million for further work on its Fenix nickel laterite project. The financing involved 5.89 million Skye shares priced at $4.25/share. As part of the deal, INCO exercised it right to maintain its ownership in Skye at 12.4%.
The Fenix project is the former Eximbal mine and plant commissioned in 1977 by Inco. It operated only until 1980 before being placed on care-and-maintenance. Inco examined the possibility of restarting production in 1992, but did not proceed. Skye acquired the project in 2004, and hopes to put it back in production at a rate of 50 million lb of ferronickel annually. The feasibility study should be completed by the middle of this year.
Take a tour of the project by going to the Photo Gallery at www.SkyeResources.com.