TORONTO, ONTARIO and VANCOUVER, BRITISH COLUMBIA, Aug 19, 2008
(Marketwire via COMTEX News Network) --
HudBay Minerals Inc. ("HudBay") (TSX:HBM) and Skye Resources Inc.
("Skye") (TSX:SKR) are pleased to announce that Skye shareholders,
optionholders and holders of deferred share units have voted in favour
of the previously announced business combination between HudBay and Skye
(the "Transaction") at a special meeting of Skye securityholders held
today in Vancouver. In excess of 99% of the votes cast at the meeting
were in favour of the Transaction.
The completion of the
Transaction remains subject to a final hearing by the Supreme Court of
British Columbia, currently expected to take place on August 22, 2008,
with closing of the Transaction expected to occur shortly thereafter.
The Transaction is structured as a Plan of Arrangement under the
Business Corporations Act (British Columbia) between HudBay, Skye and
0828275 B.C. Ltd., a wholly-owned subsidiary of HudBay.
About
HudBay Minerals Inc.
HudBay Minerals Inc. is a leading Canadian
base metals mining company with a focus on the discovery and production
of zinc and copper metal. The company is investing for the future in one
of the most ambitious exploration programs in Canada, targeting its
400,000 hectare exploration territory in the Flin Flon Greenstone Belt.
As an integrated mining company, HudBay operates mines, concentrators
and metal production facilities in northern Manitoba and Saskatchewan, 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 and the S&P/TSX
Global Mining Index.
About Skye Resources Inc.
Skye's
principal asset is the world class Fenix Nickel Project (the "Fenix
Project") in Guatemala, which includes 41.4 million tonnes
of reserves. Skye has completed a feasibility study for a ferro-nickel
project using proven conventional smelting technology. Environmental and
construction permits for the project have been received, basic
engineering is complete, detailed engineering is approximately 50%
complete and preparations to initiate construction are underway.
(HBM-G)
Cautionary
Notice: This news release contains "forward-looking information" within
the meaning of applicable Canadian securities legislation and United
States securities laws. Forward-looking information includes, but is not
limited to, information concerning the proposed business combination
between HudBay and Skye and matters relating thereto. Generally,
forward-looking information can be identified by the use of
forward-looking terminology such as "plans", "expects", or "does not
expect", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates", or "does not
anticipate", or "believes" or variations of such words and phrases or
statements that certain actions, events or results "may", "could",
"would", "might", or "will be taken", "occur", or "be achieved".
Forward-looking information is based on the opinions and estimates of
management at the date the information is made, and is based on a number
of assumptions and subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ
materially from those projected in the forward-looking information.
Assumptions upon which such forward-looking information is based
include, without limitation, that the required court approval of the
transaction will be obtained and all other conditions to completion of
the transaction will be satisfied or waived. Many of these assumptions
are based
on factors and events that are not within the control of HudBay or Skye
and there is no assurance they will prove to be correct. Factors that
could cause actual results to vary materially from results anticipated
by such forward-looking information include changes in market
conditions, variations in ore grade or recovery rates, risks relating to
international operations, fluctuating metal prices and currency
exchange rates, changes in project parameters, the possibility of
project cost overruns or unanticipated costs and expenses, labour
disputes and other risks of the mining industry, failure of plant,
equipment or processes to operate as anticipated, the business of the
companies not being integrated successfully or such integration proving
more difficult, time consuming or costly than expected as well as those
risk factors discussed in the Annual Information Form for the year ended
December 31, 2007 for each of HudBay and Skye available at www.sedar.com.
Although HudBay and Skye have attempted to identify important factors
that could cause actual actions, events or results to differ materially
from those described in forward-looking information, there may be other
factors that cause actions, events or results not to be anticipated,
estimated or intended. There can be no assurance that forward-looking
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. HudBay and Skye undertake no obligation to update
forward-looking information if circumstances or management's estimates
or opinions should change except as required by applicable securities
laws. The reader is cautioned not to place undue reliance on
forward-looking
information.
SOURCE: HudBay Minerals Inc.
HudBay Minerals Inc.
Brad Woods
Director, Investor Relations
(204) 949-4272
Email: brad.woods@hbms.ca
Website: www.hudbayminerals.com
Skye Resources Inc.
Cindy Burnett
Vice President, Investor Relations
(604) 648-4133
Email: cburnett@skyeresources.com
Website: www.skyeresources.com
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