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Magna Mining Announces Signing of Definitive Agreement to Acquire Lonmin Canada Inc. and Announces a Private Placement Offering of up to C$20 Million of Subscription Receipts
Transformational Acquisition of the past Producing Crean Hill Mine in Sudbury, Ontario Sudbur...
About this update from Magna Mining Inc
[{"type":"text","content":"Magna Mining Announces Signing of Definitive Agreement to Acquire Lonmin Canada Inc. and Announces a Private Placement Offering of up to C$20 Million of Subscription ReceiptsTransformational Acquisition of the past Producing Crean Hill Mine in Sudbury, OntarioSudbury, Ontario--(Newsfile Corp. - August 16, 2022) - Magna Mining Inc (TSXV: NICU) (the \"Company\" or \"Magna\") is pleased to announce that the Company has entered into a definitive share purchase agreement (the \"Purchase Agreement\") to acquire 100% of Lonmin Canada Inc. (\"Loncan\"), including the Denison Project and the past producing Crean Hill Ni-Cu-PGE mine.Magna's CEO, Jason Jessup, commented: \"The Crean Hill Mine was a significant producer in the Sudbury basin for more than 80 years and we believe the Denison Project has potential to add tremendous value through development of the remaining historical mineral resources and additional exploration on the property. The successful closing of this transaction will be transformative for Magna and has several potential synergies with Magna's fully permitted, advanced stage Shakespeare Project.\"Denison Project HighlightsPast production of 20.3 Mt grading 1.3% Ni, 1.1% Cu, 1.6 g/t Pt+Pd+AuSignificant high-grade exploration and development potentialBrownfield site with substantial supporting infrastructure in placeUnder the terms of the Purchase Agreement, Magna will acquire 100% of the issued and outstanding shares of Loncan (the \"Acquisition\"), whose core asset is the Denison Project. The Denison Project is located within the Sudbury Basin mining district, 37 kilometres east of Magna's advanced Shakespeare Project (Figure 1) and covers the past producing Crean Hill Mine (Figure 2). The Crean Hill Mine operated during three separate periods, from 1906 to 2002, with past production totaling 20.3 Mt grading 1.3% Ni, 1.1% Cu, 1.6 g/t Pt+Pd+Au. Prior to 2018, several zones of low-sulphide, high PGE footwall mineralization were discovered and defined. In addition to diamond drilling, detailed mapping, geophysical surveying, mineralogical and metallurgical studies, and geotechnical test work were completed, significantly advancing the understanding of this style of mineralization. In 2018, subsequent to the mine closing, Loncan entered into an agreement with Vale Canada Limited (\"Vale\") regarding the transfer and develo...