Great Lakes boosts interest in Michigan copper projects

Great Lakes Minerals (TSE) has acquired the right to purchase all the issued and outstanding shares of Keweenaw Copper Company (KCC), a private Michigan-based company, in exchange for 550,000 shares of Great Lakes. The purchase would increase Great Lakes’ interest in the 543-S, G-2 and St. Louis copper projects from 50% to 75%. The Toronto- based company has decided to proceed to the prefeasibility stage on 543-S, which hosts a probable reserve of three million tons grading 2.9% copper, including a high- grade core of 1.3 million tons grading 4%.

Through KCC’s subsidiaries, Michigan Mining and Manufacturing and Michigan Copper, Great Lakes would also acquire the right to explore, develop and mine several other copper deposits along the Keewenaw Peninsula in Michigan.

The most advanced of these projects is the Centennial native copper mine and the Key mill, a 1,000-ton-per-day facility built by Homestake Mining (NYSE) in the mid-1970s.

Michigan Copper, 50% owned by KCC, owns the Centennial mine and mill.

Great Lakes expects Centennial, with an estimated mine life of eight years, to enter production in the third quarter of 1991 at an annual rate of 8.5 million lb. of copper in concentrate. Site improvement at the Centennial mine will be financed by a US$500,000 grant from the State of Michigan.

Following the acquisition, which remains subject to regulatory approval and a due diligence review, Great Lakes will have 5.45 million shares issued and outstanding.