Burin Fluorspar Ltd., owners of the St. Lawrence fluorspar mines in Newfoundland, has announced an agreement in principal to amalgamate with a British Columbia Firm, Riveria Capital Corp. The company hopes this is a first step towards reactivating the St. Lawrence Mine. Burin Fluorspar, through its wholly owned subsidiary, Burin Minerals Ltd,. holds a 100% interest in the mining leases and related mill assets at St. Lawrence.
In a news release Burin Fluorspar said they recently completed equity financing valued at $6.2 million to complete a number of activities they perceive necessary for the project to move forward, with the ultimate goal of reactivating the mine. Included is funding for a drilling program and a bankable feasibility study, to validate the fluorspar mineral deposits in the St. Lawrence area. The fluorspar mines at St. Lawrence began operating in 1933 with the operations ultimately being owned and operated by Alcan Aluminum Ltd. in 1942 and later by Minworth Limited a British firm in 1986. The mine has been idle since November 1990.
Grand Bank MHA Darin King called it significant for the people of St. Lawrence and the surrounding areas as the increasing global demand for fluorspar has made the reactivation of the mine much more attractive. King says the deal will make Burin Fluorspar a publicly traded company and re-establish it as a well financed debt-free corporation.
Source: VOCM
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