Hecla Mining Co. and Revett Mining Co. Inc. have entered into a merger agreement where Hecla will acquire Revett in a stock transaction valued at $20 million. Following closing of the deal, Hecla intends to continue to advance permitting of the Rock Creek project. Located in northwest Montana, Rock Creek is considered one of the largest undeveloped silver and copper deposits in North America. Revett has reported inferred resources of 229 million oz of silver and 2 billion lb of copper. The project is approximately 50 miles north of Hecla’s Lucky Friday mine in Idaho. A Supplemental Environmental Impact Statement (SEIS) is in process, and the U.S. Forest Service schedule indicates that the SEIS will be issued later this year for public comment.
“We are acquiring Revett with an eye to the future, as Rock Creek is a world-class silver-copper deposit that we see becoming another Greens Creek,” said Phillips S. Baker Jr., Hecla president and CEO. “Our experience of Greens Creek operating in a national monument in Alaska since 1997 will be invaluable as we take a patient and persistent approach to permitting and then responsibly operating the Rock Creek mine.”
“Current market conditions do not allow us to maintain the Troy mine on care and maintenance and pursue our objective of developing Rock Creek,” said John Shanahan, Revett president and CEO. Following the merger, Hecla expects to close and reclaim the Troy mine and associated facilities. The mine was placed on care and maintenance in January by Revett.