S.Korean group to invest $246 mln in El Boleo

SEOUL, April 18 (Reuters) - A South Korean consortium has agreed to invest $246 million in the El Boleo copper-and-cobalt project in Mexico by buying a 30 percent stake held by Canadian firm Baja mining (BAJ.TO: Quote, Profile, Research, Stock Buzz), a member of the group said on Friday.

An official at steel maker Hyundai Hysco (010520.KS: Quote, Profile, Research, Stock Buzz) said the company had agreed to join the consortium led by state-run Korea Resources Corp to invest in the project due to start production from 2010.

The news helped boost Hyundai Hysco shares to 9,850 won at one point, although they settled back 3 percent higher at 9,240 won by 0221 GMT.

Baja Mining, a small diversified miner, said in September that the mining project would yield annually 55,750 tonnes of copper cathode, 1,535 tonnes of cobalt cathode and 6,300 tonnes of zinc contained metal for the first four years. [ID:nN07337617]

(Reporting by Miyoung Kim and Park Ju-min; Editing by Keiron Henderson)