UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15 (d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 24, 1998
(February 23, 1998)
HOMESTAKE MINING COMPANY
(Exact name of Registrant as specified in its charter)
Delaware 1-8736 94-2934609
(State or other (Commission (I.R.S. Employer
jurisdiction of File Number) Identification Number)
incorporation)
650 California Street, San Francisco, California 94108-2788
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (415) 981-8150
http://www.homestake.com
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Item 5. Other Events.
Inmet Mining Corporation Litigation regarding Troilus Mine
In the Company's 8-K Report dated December 16, 1997, the Company
reported that Homestake Canada Inc. ("HCI," a wholly-owned subsidiary of the
Company) and Prime Resources Group, Inc. ("Prime," 50.6% owned by HCI) had
terminated their previously announced agreement to purchase the Troilus gold
mine in Quebec from Inmet Mining Corporation ("Inmet") for approximately
$110,000,000. The agreement was terminated on the basis that due diligence
investigation had determined that the conditions of the offer would not be
satisfied. In that report, the Company also disclosed that Inmet disputed the
termination of the agreement.
On February 23, 1998, Inmet commenced litigation against HCI and Prime
in the Supreme Court of British Columbia with respect to the Troilus mine,
disputing HCI's and Prime's termination of the agreement, and alleging that HCI
and Prime had breached the agreement. Inmet seeks specific performance or, in
the alternative, damages. (Inmet Mining Corp. v. Homestake Canada Inc. et al,
B.C. Sup. Ct., No. C980922.)
Management believes that HCI and Prime properly terminated the
agreement with Inmet and that the action by Inmet is without merit. HCI and
Prime intend to vigorously defend this action.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Dated: February 24, 1998
HOMESTAKE MINING COMPANY
(Registrant)
By: /s/ David W. Peat
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David W. Peat
Vice President and Controller
