Vancouver's Minco Silver Corp. (TSX:MSV) plans to acquire Idaho's Sterling Mining Company (TSX:SMQ) in a deal worth roughly US$62.3 million.
The acquisition will give Minco controlling interest in two silver deposits, one in China and the other in Idaho. Both contain approximately 418 million ounces of silver resources and could have annual production of more than 10 million ounces by 2011.
Under the terms of the deal, Minco has offered 0.51 of a share for each Sterling share, which equates to US$1.58 per Sterling share.
The deal, which is subject to regulatory and shareholder approvals, is expected to close by December.
Minco's share price range during the past week: between $2.75 and $3.09; 52-week high: $4.19; 52-week low: $1.52.