Platinum-miner Lonmin said it had entered a joint venture with Wallbridge Mining to explore parts of Canada&rsqfind picturers for marble rocks from athi river mining company
uo;s mineral-rich Sudbury Basin for platinum-group metals.
Lonmin, the world’s third-biggest listed platinum-miner, said in a statement the venture covered 19 properties with promising platinum group metal potential, mostly at an early stage of exploration.
Under terms of the deal, Lonmin will spend at least $4,5-million on exploration over two years and will get an interest of 50% in any site found to be a resource.
Lonmin will have the right to buy the products from the joint venture and will get 65% of the operating cash flows from any mines it decides to develop.
Wallbridge will be entitled to the remaining 35% of operating cash flows from mines that go into production.
Ontario’s Sudbury Basin has some of the richest mineral deposits in the world and Lonmin said the joint venture would give it a meaningful presence in the area.
London-listed Lonmin’s main interests are in South Africa, but it has been turning its attention further afield and took stakes in two Western Australian ventures last year. – Reuters