Agnico-Eagle agrees to purchase investment in Comaplex Minerals
July 13 2008 - 8:00PM
PR Newswire (US)
Stock Symbols: AEM (NYSE and TSX) TORONTO, July 13
/PRNewswire-FirstCall/ -- Agnico-Eagle Mines Limited
("Agnico-Eagle" or the "Company") today announced that it has
agreed to purchase 7,628,571 common shares, or approximately 14.5%,
of Comaplex Minerals Corp. ("Comaplex") from Troy Resources NL
("Troy") in a private transaction. Upon the closing of the
transaction, Agnico-Eagle's interest in Comaplex would be 8,228,571
common shares (approximately 15.6% of the outstanding common
shares), which Agnico-Eagle believes would make it the largest
single shareholder of Comaplex. The agreement is subject to
customary closing conditions. Agnico-Eagle has agreed to pay Troy
C$6.15 per share of Comaplex, or $46.9 million in cash.
Agnico-Eagle has also agreed that, if it acquires a majority
interest in Comaplex by take-over bid, amalgamation or arrangement
within 18 months of the agreement, Agnico-Eagle will pay Troy the
difference between the final purchase price per share and the
transaction price of C$6.15 per share. The Comaplex common shares
were acquired for investment purposes only. Agnico-Eagle has no
present intention to acquire further Comaplex common shares and
may, from time to time, increase or decrease its ownership of or
control over securities of Comaplex in response to market
conditions, the business and prospects of Comaplex or other
factors. The main assets of Comaplex are a 78% interest in the
Meliadine West gold project and 50% of the Meliadine East gold
project, both near Rankin Inlet, Nunavut Territory, Canada.
Comaplex is currently conducting a drilling and underground
evaluation program as part of a scoping study on the Meliadine West
project. "The purchase of a significant share position in an
emerging junior gold company is consistent with our proven
long-term strategy. It gives us exposure to another growing gold
deposit, located in a familiar region which is supportive of
mining", said Sean Boyd, Vice-Chairman and Chief Executive Officer.
"The high-grade nature and increasing size of the Meliadine West
gold deposit continues to be encouraging. Given that we are
currently active in the region at our Meadowbank project, we look
forward to the results of the scoping study, expected later this
year." added Mr. Boyd. The transaction is expected to close on
Wednesday, July 16, 2008. About Agnico-Eagle Agnico-Eagle is a long
established Canadian gold producer with operations located in
Quebec and exploration and development activities in Canada,
Finland, Mexico and the United States. Agnico-Eagle's LaRonde Mine
is Canada's largest gold deposit in terms of reserves. The Company
has full exposure to higher gold prices consistent with its policy
of no forward gold sales. It has paid a cash dividend for 26
consecutive years. Agnico-Eagle's registered office is located at
145 King Street East, Suite 400, Toronto, Ontario M5C 2Y7.
DATASOURCE: Agnico-Eagle Mines Limited CONTACT: David Smith;
Vice-President, Investor Relations, (416) 947-1212
Copyright