Lundin Mining to exit US nickel through Eagle sale to Talon
Canadian miner Lundin Mining has agreed to sell its Eagle nickel/copper mine and Humboldt mill in the US to Talon Metals in a share-based transaction that will create a pure-play American nickel/copper company, while allowing Lundin to retain strategic exposure to the asset.
Lundin Mining will sell its subsidiary Lundin Mining US to Talon in exchange for 275.2-million Talon shares, representing a 19.99% interest in Talon following completion. The implied value of the consideration is about $83.7-million, based on Talon’s five-day volume-weighted average share price to December 18.
The transaction further streamlines Lundin Mining’s portfolio as it sharpens its focus on large-scale copper operations in Brazil and Chile, and the development of the Vicuña copper/gold district on the Argentina–Chile border.
“The combination of Talon and Eagle will create a pure-play US nickel company anchored by the Eagle mine, the only primary nickel mine currently operating in the United States,” said Lundin Mining president and CEO Jack Lundin.
He added that the deal unlocked synergies, including the opportunity to leverage the Humboldt mill as a shared, centralised processing facility, while supporting domestic critical minerals supply.
Eagle, located in Michigan, has been in operation since 2014 and has produced more than 194 000 t of nickel and 185 000 t of copper, generating more than $3.2-billion in revenue to the third quarter of 2025. Under Lundin’s three-year production guidance, Eagle was expected to contribute about 2% of consolidated copper output in 2026 and 2027, but will no longer be included following the transaction.
Post-closing, Lundin Mining will nominate two directors to Talon’s board – Jack Lundin and Juan Andrés Morel – and Eagle MD Darby Stacey will become Talon’s CEO. Lundin will account for its interest in Talon using the equity method.
For Talon, the acquisition positions the company as a US-focused nickel-copper producer with near-term production, downstream processing capacity and significant exploration upside through its Tamarack project in Minnesota. Tamarack hosts indicated resources of 8.6-million tonnes at 1.73% nickel, with additional inferred resources and recent high-grade drill results at depth.
The deal also includes a production payment agreement under which Talon will pay Lundin $1/t for non-Eagle ore processed through the Humboldt mill, capped at $20-million, as well as investor rights, lock-up and transitional services agreements.
The transaction is expected to close in early January 2026, subject to TSX approval and customary closing conditions.
