LONDON (Thomson Financial) - Hochschild Mining Plc. said it has bought 100 percent ownership of the San Felipe project, located in northern Sonora, Mexico, for $51.5 million in cash.
The original joint venture agreement, signed on May 15, 2006, gave Hochschild Mining the right to earn a 70 percent interest in the San Felipe project once investment thresholds in exploration and mine development were met.
To date, the company has invested about $8.8 million in the property.
San Felipe is a 'significant' growth project for the company and is currently undergoing a feasibility study with production scheduled to start in 2010, Hochschild Mining said. TFN.newsdesk@thomson.com kkb/slj COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
The original joint venture agreement, signed on May 15, 2006, gave Hochschild Mining the right to earn a 70 percent interest in the San Felipe project once investment thresholds in exploration and mine development were met.
To date, the company has invested about $8.8 million in the property.
San Felipe is a 'significant' growth project for the company and is currently undergoing a feasibility study with production scheduled to start in 2010, Hochschild Mining said. TFN.newsdesk@thomson.com kkb/slj COPYRIGHT Copyright Thomson Financial News Limited 2008. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.
© 2008 AFX News