Duluth Metals has signed the formal definitive participation agreement with the Chilian firm Antofagasta PLC on the joint venture development of the Nokomis Project south of Ely.

Antofagasta is investing $130 million to be spent during the next three years to advance the project towards a feasibility study. Antofagasta is 40 percent owner of Twin Metals Minnesota, a new joint venture in which Duluth Metals owns the other 60 percent. A new management team is currently being formed. Both Antofagasta and Duluth are appointing three representatives to the board.

Antofagasta has the option to acquire an additional 25 percent equity interest in Twin. Under terms of the agreement, it has agreed to provide Duluth additional loan and financing of up to $30 million to cover Duluth's share of subsequent project expenditures.

Duluth Metals expects development activities at Nokomis to proceed on an accelerated basis and anticipates pre-feasibility and bankable feasibility studies to be the focus of activities over the next 24-36 months.

Duluth Metals is retaining approximately 31,000 acres of mineral interests on exploration properties adjacent to and near-by the joint venture holdings. In addition to actively participating in the joint venture on Nokomis, Duluth Metals will undertake a large scale exploration program on its retained exploration properties.

The Nokomis deposit is estimated to contain 550 million tons of copper, nickel and other metals.

• GeaCom wins Minnesota Cup high tech division -9/2/2010
• White hospital receives trauma designation -9/2/2010
• Kari, Powell to join Superior Business Hall of Fame -9/2/2010
• St. Luke's nurses reach tentative settlement -9/1/2010
• Why is Murphy Oil really pulling out of the refining business? -9/1/2010