Discovery Ventures Inc. has entered into an agreement to
acquire Roca Mines Inc. subsidiary FortyTwo Metals Inc. and its
idled Max molybdenum mine and processing facility in British
Columbia for Canadian $5.68 million ($5.41 million).
Discovery will use the
Max operation to process materials from its Willa gold, copper
and silver project.
managements decision to focus on development of the Willa
project and current economic factors, Discovery takes the
position that the Max project is incidental to the proposed
acquisition of FortyTwo and, once acquired, will not constitute
a material property of Discovery," the Vancouver, British
Columbia-based company said.
The Max molybdenum
mine operated from 2007 to November 2011, when depressed metal
prices led to its closure. The facility includes an underground
molybdenum mine, crushing, milling and concentrating
facilities, tailings storage, mineral claims, mining leases,
licenses and other holdings.
Discovery intends to
finance the acquisition of Vancouver, British Columbia-based
FortyTwo through one or more private placements on terms to be
determined. The acquisition has received conditional approval
from the TSX Venture Exchange.