Reuters reported that Tyler Resources Inc, developer of Mexico's largest untapped copper zinc deposit, has agreed to be acquired by China's largest nickel producer Jinchuan Group Limited for about CAD 214 million in cash.

Jinchuan offered CAD 1.6 for each share in Tyler Resources and Tyler Resources has signed a definitive support agreement. The transaction is expected to close in mid March.

According to the company's Web site the Bahuerachi property, Mexico's largest undeveloped copper zinc resource, is Tyler's primary asset.

Mr Li Yongjun chairman and president of Jinchuan said "Jinchuan looks forward to building on the efforts expended thus far to aggressively progress Bahuerachi through development and into production.

Although Jinchuan is primarily a nickel producer, it has been active recently in seeking feedstock for its copper operations. It is China's fifth largest copper producer.

Chinese government has been encouraging its state owned metals, mineral and resources companies to consider overseas takeovers as a way of securing raw materials for the world's fastest growing major economy.