Miramar approves Con acquisition

Directors of Miramar Mining (VSE) approved a previously announced acquisition from Red Lion Management of the Nerco Con underground gold mine.

Nerco (NYSE), owner of the mine, will receive US$25 million plus 1.5 million shares of Miramar.

Red Lion, which negotiated the acquisition, will receive 2.2 million common shares of Miramar and Michael Surratt will receive a further 200,000 shares for his involvement.

Red Lion is a private company controlled by the president of Miramar. Surratt is a director and vice-president of operations for the company. Minority shareholders will vote on the acquisition at a meeting on Oct. 12.