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Canadian Nickel Miner Inco Makes $3.3 Billion Offer for Diamond Fields

March 27, 1996

TORONTO (AP) _ Canadian nickel miner Inco Ltd. on Wednesday made a $3.3 billion takeover offer for Diamond Fields Resources Inc., a Vancouver company that owns the rich Voisey’s Bay nickel deposit in Northeastern Canada.

The Inco takeover bid tops Falconbridge Ltd.’s earlier $2.94 billion bid for Diamond Fields.

``We believe the total consideration in our offer is clearly superior to that in Falconbridge’s offer,″ Inco chairman Michael Sopko said in a release.

The move comes two weeks after Diamond Fields rejected a $955 million proposal that would have made Falconbridge and Inco equal partners in the Voisey’s Bay discovery, the richest mineral find in Canada in decades.

``The Inco offer provides Diamond Fields shareholders with the opportunity for significant ongoing participation in Voisey’s Bay,″ Sopko said.

``From Inco’s perspective, this transaction is consistent with our stated corporate objectives of expanding the company’s nickel production and improving its cost position.″

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