MineCore International (fka MCIO)

[chuck44l]

Another good sign for Madagascar!!!



TORONTO, May 21 (Reuters) - Sherritt International (S.TO) is on the verge of closing a financing agreement with its partners on the $4.5 billion Ambatovy nickel project in Madagascar, Chairman and acting Chief Executive Ian Delaney said on Thursday.

Speaking to reporters after the company's annual shareholder meeting in Toronto, Delaney said he hoped to announced a deal within a month.

"It's in the papering process," he said.

Ambatovy, owned 40 percent by Sherritt, is expected to one day produce 60,000 tonnes of nickel a year.

The Toronto-based company announced in February that the project's construction costs had ballooned to $4.5 billion, forcing it to seek alternative funding options to finance its share.

Sherritt's partners on the project are Japan's Sumitomo Corp SUMTMS.UL, Korea Resources Corp, and Canada's SNC-Lavalin (SNC.TO).

Delaney, who has been acting as Sherritt's CEO since Jowdat Waheed took a leave of absence in January, would not give details of the agreement.

The company's shares were down 10 Canadian cents at C$5.02 on the Toronto Stock Exchange.

($1=$1.14 Canadian) (Reporting by Cameron French)