Solway Group Acquires Fenix Project In Guatemala From Hudbay Minerals

The Solway Investment Group Limited and its affiliates (“Solway”) completed the acquisition of 100 per cent of the inter-ests of HudBay Minerals Inc. and its affiliates (“HudBay”) in the Fenix ferro-nickel project in Guatemala (the “Fenix Pro-ject”). The aggregate purchase price for the transaction was US$170 million, of which HudBay received US$140 million in cash from Solway at closing and an additional US$30 million in cash will be payable by Solway upon the satisfaction of certain conditions.

Solway Investment Group is a private equity investor which holds interests in a number of diversified companies with core activities in mining, non-ferrous metals, chemicals, the cement industry and real estate.

HudBay Minerals Inc. (TSX: HBM)(NYSE: HBM) is a Canadian integrated mining company with assets in North and South America principally focussed on the discovery, production and marketing of base and precious metals.

Solway was represented by Blake, Cassels & Graydon LLP, with a team including David Glennie, Markus Viirland, Jennifer Maxwell, Michael Kariya, Prakash Narayanan (corporate) and Bryan Bailey (tax); with assistance from local counsel in Guatemala (Rafael Alvarado and Sofia Escribá of Consortium-Rodríguez, Archila, Castellanos, Solares & Aguilar, S.C.); Netherlands (André de Neve, Sylvia Dikmans and Nathalie Ouwerkerk of Houthoff Buruma) and British Virgin Islands (Simon Dinning and Wendy Walker of Ogier).

HudBay was represented in-house by Patrick Donnelly and Maria Virginia Anzola, and by Goodmans LLP, with a team that included Jonathan Lampe, Kari MacKay and Daniel Mahler, with assistance on tax matters from Thorsteinssons LLP (Michael Colborne and Michael McLaren) and from local counsel in Guatemala (Carlos Pellecer of A.D. Sosa & Soto S.C.); Netherlands (Sander Hekscher (tax) and Lysa Groven (corporate) of Loyens & Loeff N.V.) and British Virgin Islands (Cora Miller of Conyers Dill & Pearman).