Another copper project gaining some interest… “Canada’s HudBay Minerals Inc has offered to buy shares of Augusta Resource Corp it does not already own for C$2.96 per share in stock, to gain access to Augusta’s Rosemont copper deposit in Arizona,” reports Reuters.
“According to a 2012 feasibility study, Augusta’s Rosemont project is expected to produce 243 million pounds of copper per year, which could be as much as 10 percent of United States’ copper output, potentially making the project the third largest copper mine in the country.”
“Augusta shareholders will be entitled to receive 0.315 of HudBay common share for each Augusta common share held, giving the deal an equity value of about C$428 million ($386.91 million). HudBay said the enterprise value of the deal could be about C$540 million.”
In metal price news for copper…
Following a 1.6 percent decline, the Japanese copper cash price finished as the week’s biggest mover on the weekly Copper MMI®. The price of US copper producer grade 122 rose 0.5 percent after falling 2.2 percent during the previous week. The price of US copper producer grade 110 rose 0.5 percent after falling 2.2 percent during the previous week. The price of US copper producer grade 102 rose 0.5 percent after falling 2.1 percent during the previous week. Following a steady week, prices for Korean copper strip closed flat.
Chinese copper prices were flat for the week. Chinese copper bar traded sideways last week. The Chinese copper cash price remained essentially flat. The week finished with no movement for Chinese copper wire. Chinese bright copper scrap remained essentially flat from the previous week.
The 3-month price of copper dropped 0.8 percent on the LME this week, closing out the third consecutive week of falling prices at $7,060 per metric ton. At $7,109 per metric ton, the primary copper cash price finished the week down 0.6 percent on the LME.
The Copper MMI® collects and weights 12 global copper metal price points to provide a unique view into copper price trends. For more information on the Copper MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.