It was announced today that Noranda will postpone plans to development of the Perseverance Zinc deposit located near Matagami, Quebec, Canada.
Noranda have sighted depressed zinc prices and their current finacial situation as reasons for the decision.
The deposit is composed of three zones discovered in 2000. It contains 5.1 million tonnes grading 15.82% zinc, 1.24% copper, 29.4g/tonne silver and 0.38g/tonne of gold.
With market analyses indicating that zinc will probably remain in oversupply for the next few years, Noranda do not expect to develop the deposit until 2005-2006. However, they will continue to assess its potential for profitable development every quarter.
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