Hecla Mining to acquire Revett
Revett's long-anticipated
"The main impetus behind the acquisition is
For Revett the motivation is pure economics.
Revett fell on hard times in late 2012, when unexpected seismic activity prompted them to voluntarily shut down the
"It was like the perfect storm for us," said Revett board of directors chairman
Lindsey compared the situation to adventurer
"We had the financing, we had the experience. Then we got to the point where we could see the summit and the storm hit," he said. "Our storm was the precipitous decline in copper prices. That was the external factor we just couldn't control."
The transition, said Revett president and chief executive officer
"We've known the management and technical teams at Hecla for years. They're a solid company with the resources and experience to make
Hecla has experience mining in environmentally sensitive areas. The company currently operates the
"We want to bring that experience to
Shanahan agreed.
"A project like
Hecla, founded in 1891, is the nation's oldest mining company and recently celebrated its 50-year anniversary of public trading on the
Lindsey said Hecla holds the same core values as Revett.
"The vision that we had, about the safety of our people, stewardship of the environment and support for the community, they're going to have that same commitment," he said.
Both Lindsey and Shanahan were hopeful, but acknowledged the bittersweet nature of the change.
"
Lindsey also spoke about losing Troy as a downside to the deal.
"The downside is that the transaction is focused on
The closure of the
The reclamation project, once approval is obtained from
"How do you move forward with
The way the agreement is structured, Revett shareholders will receive .1622 shares of Hecla stock for each share of Revett. Based upon Hecla's closing price as of
Russell said representatives of Hecla will be working closely with
"We are going to sit down with
"Hecla has been through many of these ups and downs in the metals markets," Lindsey said. "They'll carry this thing to the summit."
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