WINNIPEG, MANITOBA--(CCNMatthews - Sept. 20, 2006) - HudBay Minerals
Inc. (TSX:HBM) (HudBay) announces that its wholly owned subsidiary,
Hudson Bay Exploration and Development Company Limited (HBED), and
Murgor Resources Inc. (TSX-V:MUG) have signed four separate option
agreements whereby Murgor may acquire a 100% interest in HBED's Hudvam,
Wim, Tyr and Fon mineral properties, which total 5,368 hectares, in the
Flin Flon and Snow Lake areas of northern Manitoba.
HudBay
previously announced by news release on July 19, 2006 that it had
entered into a Letter of Intent (LOI) with Murgor whereby HBED would
option to Murgor these four mineral properties for purchase.
The
companies are currently in the process of finalizing the two remaining
agreements contemplated in the LOI whereby Murgor would acquire a 50%
interest in two large-scale grassroots projects covering 186,104
hectares, also in northern Manitoba.
About HudBay Minerals Inc.
HudBay
Minerals Inc. is an integrated mining company that operates mines,
concentrators and a metal production complex in northern Manitoba and
Saskatchewan. The company also owns a zinc oxide production facility in
Ontario, the White Pine copper refinery in Michigan and the Balmat zinc
mine in New York state.
HudBay is a member of the S&P/TSX Composite Index.
Forward Looking Information
This
news release contains "forward-looking information", within the meaning
of applicable Canadian securities legislation, concerning the business
and operations of HudBay. Forward-looking information include, but are
not limited to, statements with respect to the completion of the sale by
HudBay to Murgor of certain properties and related matters.
Forward-looking statements are subject to known and unknown risks,
uncertainties and other factors that may cause the actual results, level
of activity, performance or achievements of HudBay, to be materially
different from those expressed or implied by such forward-looking
statements, including risks associated with the agreements with Murgor
and the entering into of additional definitive agreements and Murgor's
performance thereunder.
FOR FURTHER INFORMATION PLEASE CONTACT:
HudBay Minerals Inc.
Don Bain
Director, Investor Relations
(204) 949-4272
(204) 942-8177 (FAX)
don.bain@hbms.ca
www.hudbayminerals.com