Selwyn Resources Limited announced that it has signed a binding Letter Agreement with Acadian Mining Corporation whereby Selwyn will acquire either directly or indirectly all of the issued and outstanding shares of ScoZinc Limited a wholly owned subsidiary of Acadian and thereby acquire all of the assets associated with the Scotia Mine located in Nova Scotia.

The purchase price for ScoZinc is CAD 10 million less certain deductions related to increased bonding requirements for an amended reclamation and closure plan for the Scotia Mine. Upon completion of the Acquisition, Selwyn will own 100% interest in the mine mill complex and an extensive mineral claims package owned by ScoZinc, subject to a mineral royalty to government of Nova Scotia and other royalties on certain mineral interests held by ScoZinc.

Dr Harlan Meade president and CEO of Selweyn said that "The completion of the binding Letter Agreement provides a basis for Selwyn to complete its economic evaluations and move the project through the regulatory requirements to revive production and commence securing the necessary debt and equity financing required for the re-start of the Scotia mine."