Boliden is in advanced talks to acquire Lundin Mining's two European mines - Zinkgruvan in Sweden and Neves-Corvo in Portugal. This according to information to Bloomberg News.

The mines are Lundin Mining's oldest assets and are for sale as the company wants to focus on developing its copper projects in South America.

For Boliden, a deal would strengthen its position as one of the largest zinc producers in Europe. Zinc is mainly used in galvanizing steel.

Boliden is already restarting production at the Tara mine, the largest zinc mine in Europe, which was previously placed on care and maintenance due to high costs.

The zinc mine had a production of 76,349 tons last year, while Neves-Corvo had a production of 108,812 tons and 33,823 tons of copper, according to Lundin Mining's website.