Nyrstar Receives Key Anti-Trust Approvals For Breakwater Bid

LONDON, Aug 24, 2011 (Dow Jones) -- Belgian zinc producer Nyrstar NV (NYR.BT) said Wednesday it has received key approvals from anti-trust authorities relating to its bid to acquire Canada-based Breakwater Resources Ltd. (BWR.T), a development that should see the bid approved before the offer's Aug. 25 expiry date.

Nyrstar has received the required consents and approvals from anti-trust authorities in South Korea and Canada and has waived the condition requiring receipt of Honduran anti-trust approval in relation to the deal, the company said in a statement.

The offer is part of a C$663 million deal with Breakwater which will create the world's fifth largest miner of zinc. Nyrstar will buy Breakwater's mining operations, significantly increasing its level of zinc integration and increasing production from mines as a percentage of smelter production to 43% from 31%.

Breakwater's operations consist of four zinc poly-metallic mines, spread across Chile, Honduras and Canada with a combined annual production capacity of around 140,000 metric tons of zinc concentrate, 14,000 tons of lead in concentrate, 6,000 tons of copper in concentrate, 2.3 million troy ounces of silver, and 40,000 troy ounces of gold.