BRITISH COLUMBIA - Vancouver-based ABACUS MINING & EXPLORATION has agreed to buy the Afton mineral processing plant from TECK COMINCO subsidiary Afton Operating Corp. The deal includes the milling and processing facilities, tailings storage areas, associated permits, and other infrastructure at the former Afton copper mine.
Under the terms of the agreement, Abacus will acquire the mine facilities, associated permits, surface rights, related equipment, and the back-in rights for a total price of $28.5 million, by issuing 18.5 million shares and paying $10.0 million cash. The company will issue 8.5 million shares to Teck Cominco upon regulatory acceptance, 5.0 million shares and $5.0 million cash on the first anniversary, and an additional 5.0 million shares and $5.0 million cash on the second anniversary.
Abacus has focused its efforts on expanding known zones of mineralization at the Rainbow, and DM/Audra/Crescent areas. More information about the company is available at www.AMEMining.com.