Business
Fieldex acquires ownership of 100% of FNX Mining's Quebec properties
Fieldex acquires ownership of 100% of FNX Mining's Quebec properties.
About this update from Fnx Inc.
[{"type":"text","content":"\n\n\n\nROUYN-NORANDA, QC, Feb. 16 /CNW Telbec/ - FNX Mining Company Inc.\n(FNX-TSX) and Fieldex Exploration Inc. (FLX-TSXV) announced today that they\nhave entered into a binding agreement under which Fieldex will issue\n6.5 million common shares to FNX's wholly-owned subsidiary, Aurora Platinum\nCorp., in exchange for Fieldex's purchase of Aurora's interest in four mineral\nproperties located in northwestern Quebec, representing 100% of FNX's Quebec\nproperties. The interests being purchased are a: 70% interest in the Midrim\nproperty; 50% interest in the Temiscaminque property; 50% interest in the\nLaforce property; and 70% interest in the Belleterre property. Following the\nacquisition, Fieldex will increase its interest in each of the properties to\n100% with the exception of Belleterre, in which it will hold a 70% interest.\n\n\nTerry MacGibbon, President and CEO of FNX, stated, \"We are very pleased\nwith this transaction as it allows FNX to focus its efforts in the Sudbury\nBasin and to still have a significant continuing interest in these very\nprospective Quebec mineral properties through our equity interest in Fieldex.\nIt will also allow Fieldex to have full control of the properties and to\ncontinue to focus its efforts in Quebec. In addition, the Technical Assistance\nAgreement with Fieldex and our representation on Fieldex's Board of Directors\nwill allow FNX to continue to be involved in the properties.\"\n\n\nMartin Dallaire, President and CEO of Fieldex stated, \"This transaction\nis an important step in Fieldex's growth strategy. This collaborative\nagreement allows us to continue to benefit not only from FNX's expertise in\nthe field but also from FNX's corporate credibility as an important Fieldex\nshareholder. We've been working on these prospective mineral properties since\n2001 and we are confident that they will be part of Fieldex's success.\"\n\n\nThe material terms of the transaction are as follows:\n\n\n(a) Fieldex will issue 6.5 million common shares to Aurora, subject to\n the condition that if the market value of the 6.5 million shares at\n the time of closing is less than $2.2 million, Fieldex will issue to\n Aurora additional common shares so that the shares issued to Aurora\n have an aggregate market value of $2.2 million. The market value of\n Fieldex's shares will be based on the volume weight...