🕐20.04.11 - 06:27 Uhr

EXS: XSTRATA TO ACQUIRE CLONCURRY COPPER PROJECT FOR $175M



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20 April 2011







Xstrata to Acquire Cloncurry Copper Project




Exco is pleased to announce that it has entered into an agreement to sell the Cloncurry Copper Project (CCP) to Xstrata Copper for $175 million (the Proposal).

 
Following completion of the Proposal, Excos assets will include:
  • Approximately $220 million in cash
  • The Hazel Creek advanced stage copper-gold exploration project
  • 75% interest in the White Dam Gold Joint Venture
  • Great Australia copper royalty entitlement; and
  • An additional 2,400km2 of highly prospective exploration tenements in the Cloncurry region, including resources such as Mt Colin, and other advanced exploration projects

 

Post transaction, Exco will be well funded for a major programme of drilling and test-work at Hazel Creek, where results have shown the existence of large areas of copper-gold-magnetite mineralisation with potential to define large tonnage, open-pit style deposits. Preparations are underway for this programme.

 
After providing for exploration and business development budgets it is the current intention of the Exco Board to distribute up to $100 million of surplus funds to shareholders.
 
 
The Exco Board believes the Proposal is in the best interest of all shareholders and recommends that shareholders approve the Proposal.
 
 
A notice of meeting to seek approval of the Proposal will be distributed to shareholders in due course. 
 
 
 


Exco Resources LTD
Level 2 | 8 Colin Street | West Perth WA 6005 | PO Box 1726 | West Perth WA 6872
Tel +61 8 9211 2000 | Fax +61 8 9211 2001
www.excoresources.com.au






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