Lundin Mining Corporation (TSX:LUN, OMX:LUMI) announced that it will acquire a large scale cobalt chemical refinery in Kokkola, Finland.
As quoted in the press release:
The acquisition will provide direct end-market access for the cobalt hydroxide production from Tenke Fungurume copper/cobalt mine . Lundin Mining will hold an effective 24 percent ownership interest in the joint venture, with Freeport-McMoran Copper & Gold Inc. (NYSE:FCX) holding an effective 56 percent ownership interest and acting as operator of the joint venture, and La Générale des Carrières et des Mines,the Congolese state mining company, holding a 20 percent interest.
Lundin’s President and CEO, Paul Conibear, said:
The acquisition of Kokkola will enable immediate entry and vertical value-added integration to the refined cobalt market and will ensure that all of the cobalt product from Tenke can be processed and sold in a competitive market. We are fortunate to be acquiring a market leader in the cobalt chemical business with a fully operating and staffed refining operation in Finland and significant global sales presence. We are pleased to be extending our partnership with Freeport and Gécamines further into the cobalt market.