Hecla Mining completes deal with Aurizon

Hecla Mining completes acquisition of Aurizon Mines Ltd. for $499 million

Associated Press

COUER D'ALENE, Idaho (AP) -- Silver miner Hecla Mining Co. said Monday that it completed its acquisition of Aurizon Mines Ltd. in a deal that will expand its gold mining capabilities with a new mine in Canada.

Hecla will pay $514 Canadian dollars ($499 million) for the all the shares of Aurizon. It also will give Aurizon shareholders nearly 57 million shares of Hecla stock.

Aurizon shares are expected to delist from the Toronto Stock Exchange on Wednesday.

The deal gives Hecla the Casa Berardi mine in Quebec, which is expected to produce 125,000 to 130,000 ounces of gold this year. The company said that with an ongoing shaft deepening project and planned future open pit development the mine is expected to operate for more than a decade.

Hecla said the acquisition also brings several exploration and pre-development projects in Quebec that could generate more production growth.

Shares of Couer D'Alene, Idaho-based Hecla rose 8 cents, or 2.1 percent, to $3.91 in afternoon trading.

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