Hecla to Acquire Assets of Independence Lead Mines
2008-02-13 08:00 ET - News Release
Also News Release (U-HL) HECLA MINING CO
Company Website: hecla-mining.com
COEUR D'ALENE, Idaho -- (Business Wire)
Hecla Mining Company (NYSE:HL) and Independence Lead Mines (Pink Sheets:ILDS) today announced that they have signed an agreement for Hecla to acquire substantially all of the assets of Independence Lead Mines Company (ILM), located in northern Idaho’s Silver Valley. Included in the ILM assets are the West Independence property and ILM’s mining claims pertaining to the DIA agreement with the Lucky Friday mine, which includes any future interest or royalty obligation to ILM. The transaction is subject to approval by shareholders of ILM.
In exchange for the assets, Hecla will distribute 6,936,884 of its common shares to ILM shareholders. There is a $1.25 million transaction break-up fee associated with the agreement. The transaction is expected to be completed later in the first quarter of 2008.
ILM President Bernard C. Lannen said, “Our management and board are completely supportive of this transaction. We feel the agreement is best for our shareholders, giving good value and the opportunity to continue to participate in the metals market as Hecla shareholders.”
Hecla President and Chief Executive Officer Phillips S. Baker, Jr., said, “This transaction not only guarantees that Hecla will receive 100% of the future profits of the Lucky Friday Mine, but also helps to consolidate our land position in the Star Morning district. We believe that the future potential of the Lucky Friday mine is tremendous. We look forward to moving ahead expeditiously with our plans for operating improvements, future increases in the resource and the work on our prefeasibility study for possible expansion of production there.”
Hecla Mining Company, headquartered in Coeur d’Alene, Idaho, mines, processes and explores for silver and gold in the United States, Mexico and Venezuela. A 117-year-old company, Hecla has long been well known in the mining world and financial markets as a quality producer of silver and gold. Hecla’s common and preferred shares are traded on the New York Stock Exchange under the symbols HL, HL-PrB and HL-PrC.
ILDS - Q 0.5 8.80 · 9.85 0.5 8.80 +5.29 +150.7 % |
