Trade commission approves Capstone Mining acquisition of Pinto Valley
The U.S. Federal Trade Commission approved Capstone Mining's purchase the Pinto Valley copper mining operation from BHP Billiton for US$650 million.
The deal with BHP was announced in April. The deal comes with the associated San Manuel Arizona Railroad Company in Arizona, USA.
In addition to announcing the trade commission approval today, Capstone also filed a National Instrument 43-101 supporting its mineral resource estimate of the Pinto Valley copper mining operation.
Capstone Mining (TSX: CS) says work at the mine is progressing.
"As of May 27, 2013, throughput over a 20 day period during the month of May averaged approximately 49,100 tonnes per day at an average grade of 0.33% copper, producing approximately 6.5 million pounds of copper. Copper recovery averaged 84.2%, producing a copper concentrate with an average grade of 29.0%," said Capstone Mining in a news release.
Operating permits still need to be transferred. The deal is estimated to be wrapped up by Q3 of this year.
BHP Billiton plans to divest itself of $5.0 billion in assets over the next 12 months.
Capstone Mining is a base metals mining company headquartered in Vancouver, B.C.