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Capstone suspending Minto mine after Pembridge deal falls through

Pembridge Resources PLC will not acquire the Minto copper-gold mine in Canada's Yukon Territory from Capstone Mining Corp. as it was unable to raise money for the deal.

Capstone is putting Minto on temporary care and maintenance while continuing to explore alternatives, including discussions with Pembridge and other interested parties.

The company said Oct. 11 that mining operations will stop soon, milling operations will be completed in the next few weeks, and about 200 employees and contractors will be affected. Costs associated with the suspension are estimated at US$5 million per year in 2018 and 2019 and US$4 million per annum afterward.

President and CEO Darren Pylot said, "[T]he team will ensure Minto can be restarted efficiently and safely once the copper and equity markets improve."