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HudBay to help build water treatment plant in Manitoba

Hudbay's Lalor drill


HudBay Minerals Inc. will spend $2-million to help build a new waste water treatment plant for the town of Snow Lake, Man., where it operates a mine and zinc concentrator.

HudBay said Monday that its investment will cover part of the cost of the $7-million facility, with $2.8-million to be raised by the municipality. The company is developing the Lalor mine in the area with initial ore production expected in the second quarter of 2012.

"This contribution clearly demonstrates HudBay's long-term commitment to the town of Snow Lake, the site of our advancing Lalor project," chief operating officer Tom Goodman said in a statement.

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In another move aimed at improving infrastructure in the town, HudBay said it has reached agreement with Snow Lake on increases to its financing in lieu of taxes for 2011 and has promised to spend $100,000 to repair the town's community hall roof.

"The quality of life available in Snow Lake is a vital part of recruiting and maintaining a new work force for the Lalor project and we feel that HudBay has recognized that fact with this commitment to our town," Snow Lake Mayor Clarence Fisher said.

"This is a powerful first step in the right direction for our community and makes our waste water plant much more of a reality than it was a few weeks ago."

HudBay operates base metals mining properties in North, Central and South America.]/p>

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