HudBay Minerals completes the sale of the Fenix project for US$170 million to the Solway Group

Michael Allan McCrae | September 9, 2011 | 5:50 pm Base Metals Africa Europe Nickel

HudBay Minerals (TSX: HBM)(NYSE: HBM) announced on Friday that it had completed the sale of the Fenix ferro-nickel project in Guatemala to the Solway Group for $170 million.

HudBay will receive US$140 million in cash at closing and will receive US$30 million upon the satisfaction of certain conditions during the course of Solway’s development of the project. Proceeds from the sale will be used for working capital and development of the company’s Lalor and Constancia projects.

HudBay Minerals Inc. (TSX: HBM)(NYSE: HBM) is a Canadian integrated mining company with assets in North and South America principally focused on the discovery, production and marketing of base and precious metals.