Northgate Minerals acquires Australian mining operations

Posted By Rick Owen

Posted 33 mins ago

Northgate Minerals Corporation, which operates the Young-Davidson gold project in Matachewan has received court approval for its acquisition of Perseverance Corporation, an Australian mining company with two gold mines.

Jan. 31 the Supreme Court of Victoria approved Northgate's offer.

This is the final approval Northgate required. It is anticipated the acquisition of Perseverance will occur on Feb. 18.

In addition to Northgate's Young-Davidson property that the company will spend $22 million on this year for exploration and development, the company operates the Kemess Mine in British Columbia, which produces both gold and copper.

Currently at the Young-Davidson Northgate is dewatering an existing shaft, driving an underground ramp and conducting exploration and definition drilling. The company anticipates having a feasibility study on the Young-Davidson completed in early 2009.