Hudbay plans return to Flin Flon area for mineral exploration 1 year after its 777 mine shut down

A mining company that spent 18 years drilling in Flin Flon is working with a Japanese company to do more mineral exploration in and around the western Manitoba city.

Hudbay Minerals is working with an investment firm called Marubeni to start a multi-year exploration partnership to focus on new deposits in the area, it said in a news release on July 6.

The partnership could allow the company to revive the dormant 777 mine, which shuttered in 2022 after 18 years, said Peter Kukielski, Hudbay's president and CEO.

He believes there's a bright future for mining in the region.

Under the terms of the partnership, Marubeniwill pay between $10 million and $15 million of the exploration costs, and Hudbay will carry out the exploration activities.

The partnership has a provision for the two companies to engage in afuture joint ventureif they are successful in discovering new deposits in the Flin Flon area.

The news is exciting for Flin Flon Mayor George Fontaine, who said in an email Thursday that the city welcomes new projects close to that area.