Regulated information
15 November 2013
Nyrstar today announced that Talvivaara Mining Company Plc ("Talvivaara") had applied for the commencement of corporate restructuring proceedings under the Finnish Restructuring of Enterprises Act.
If the court allows the restructuring proceedings to commence, a court appointed restructuring administrator will be appointed and will be tasked with submitting a restructuring plan for the approval of creditors with the aim of reorganising the affairs of Talvivaara to facilitate long term viable operations.
Control over the assets and business operations will remain with Talvivaara except for certain decisions that are outside the ordinary course of business. The commencement of proceedings will result in a general prohibition on the payment, collection and enforcement of pre-restructuring debts but there are generally no direct implications on Talvivaara's contractual commitments.
In January 2010, Nyrstar agreed to acquire 1.25 million tonnes of zinc in concentrate from Talvivaara for a purchase price of USD 335 million (approximately EUR 243 million). Under the Zinc Streaming Agreement, Talvivaara delivers 100% of its zinc concentrate production to Nyrstar until the 1.25 million tonnes of zinc in concentrate has been delivered. To 30 September 2013 approximately 94,000 tonnes of zinc in concentrate have been delivered from Talvivaara under the Zinc Streaming Agreement. During the restructuring process it is presently anticipated that the Zinc Streaming Agreement will remain in place and that Talvivaara will continue making deliveries of zinc concentrate to Nyrstar.
Find attached the announcement made earlier today by Talvivaara.
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About Nyrstar
Nyrstar is an integrated mining and metals business, with market leading positions in zinc and lead, and growing positions in other base and precious metals; essential resources that are fuelling the rapid urbanisation and industrialisation of our changing world. Nyrstar has mining, smelting, and other operations located in Europe, the Americas, China and Australia and employs over 7,000 people. Nyrstar is incorporated in Belgium and has its corporate office in Switzerland. Nyrstar is listed on NYSE Euronext Brussels under the symbol NYR. For further information please visit the Nyrstar website, www.nyrstar.com
For further information contact:
Jaideep Thatai Manager Investor Relations T: +41 44 745 8103 M: +41 79 722 3089 jaideep.thatai@nyrstar.com
Sheela Pawar de Groot Group Manager Corporate Affairs T: +41 44 745 8154 M: +41 79 722 6917 sheela.pawar@nyrstar.com
Geert Lambrechts Manager Corporate External Communications T: +32 14 449 646 M: +32 473 637 892 geert.lambrechts@nyrstar.com
The full press release can be downloaded from the following link: