EDMONTON - Heatherdale Resources Ltd. (TSXV:HTR) said Wednesday it has agreed to buy Niblack Mineral Development Inc. (TSXV:NIB) in deal valuing the company at about $10.4 million.

The companies had forged a preliminary agreement earlier in October. Under a definitive agreement, Heatherdale will acquire Niblack for of 0.5 of a share per Niblack share.

About 18 million Heatherdale shares will be issued to complete the deal, which requires two-thirds approval from Niblack's shareholders, option holders and warrant holders as well as regulatory approvals.

Niblack is exploring mineral rich assets in southeast Alaska and its principal asset is an interest in the copper-gold-zinc-silver Niblack Project, a joint venture currently operated by Heatherdale.