Globe/CP say HudBay, VMS plan JV for Reed Lake
Ticker Symbol: C:HBM C:VMS

Globe/CP say HudBay, VMS plan JV for Reed Lake

HudBay Minerals Inc (C:HBM)
Shares Issued 149,808,687
Last Close 7/6/2010 $10.90
Wednesday July 07 2010 - In the News

Also VMS Ventures Inc (C:VMS) In the News

The Globe and Mail reports in its Wednesday edition that HudBay Minerals and VMS Ventures are planning a joint venture to develop properties in the Flin Flon area of Manitoba. A Canadian Press dispatch to The Globe reports that HudBay will be the operator of the joint venture and have exclusive rights to buy and market the ore produced at the copper-rich properties. VMS will own 30 per cent of the joint venture and HudBay will own the balance. HudBay will make a $2.6-million cash payment to VMS and VMS will transfer its southern claims to the joint venture. HudBay also has the right to earn a 70-per-cent interest in four adjacent claim parcels held by VMS over the next two to three years, at which time a new joint venture would be created as a successor to the Reed Lake joint venture. HudBay interim chief executive officer Warren Holmes says, "We are very pleased to be entering into a joint venture with VMS Ventures and we are optimistic that the Reed Lake property can be developed into a source of copper feed for our Flin Flon concentrator." He says drilling at Reed Lake will start soon. "We are also looking forward to conducting exploration on a number of promising targets on the option properties."

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