This 2014 aerial file photo shows Eagle mining operation. (Photo courtesy of Neil Harri)

BIG BAY – The Lundin Mining Corporation announced Friday it is selling the Eagle Mine and the Humboldt mill, in Marquette County, to Talon Metals Corp, in an all-stock deal expected to close in early January, making Talon Metals the new owner and operator of the nickel-copper mine, while Lundin will retain a stock in Talon.

Eagle has said one of its original commitments to the community was a 75 % local hire goal. According to its website “Today, more than 85 percent of our direct and indirect hires come from the Upper Peninsula.”

Darby Stacey, Eagle Mine managing director, said the mine employs many residents from Houghton and Keweenaw counties.

“These are underground miners, maintenance, electricians, that are coming from as far away as Keweenaw County, and Baraga – a lot from that side of the peninsula,” Stacey said. “These are good jobs, and these are highly skilled people.” Stacey said the mine employs people from Iron County, and many from Marquette County as well.

The impact of the sale is probably long-term. The plan locally is everything will continue to run as it has been.

Stacey said the action is logical for Talon moving forward. “Why this action makes sense for Talon is we’re going to use the use of cash flow from Eagle, theoretically, to go into exploration, engineering, and the all things that are needed to bring that next mine into production.”

The work occurring today will continue, Stacey said. “I’d say it’s a tough road to get that next mine built and get that done,” he said, “but that’s we’re focused on more of that longer term.”

It is estimated between 2011 – 2025, Eagle Mine’s direct and indirect impact will generate an additional $4.3 billion for Michigan’s economy ($4 billion for Marquette County). Eagle will also provide $570 million in local procurement and $240 million in state/local taxes and royalties over the life of the mine. We’ve also started initiatives like Accelerate U.P. to help combat the boom and bust cycle of mining by creating jobs outside of the industry.

Lundin Mining acquired the Eagle project from Rio Tinto in 2013. Currently Eagle is the only primary U.S. nickel mine and produces nickel and copper concentrates.

Stacey said the takeaway from Eagle is its team is renowned. “It’s not just a U.P. thing,” he said. “Eagle is known globally in the mining industries. It’s an excellent team – a safe, modern mine, we’re doing it just like they try and say you can’t do it, but we’re doing it environmentally safe.”