JOHANNESBURG (miningweekly.com) – Diversified mining major Xstrata is looking at buying some of Anglo American's zinc assets, Xstrata Zinc CE Santiago Zaldumbide is quoted as saying.

The Australian reports Zaldumbide as saying that Xstrata is particularly interested in Anglo's Lisheen zinc mine in Ireland, but is also considering all the assets.

Xstrata owns a majority stake in the Pallas zinc project in Ireland.

No specific reference is made to Anglo's Nambian and South African zinc assets, but interest is seemingly being expressed in the entire Anglo's zinc business, with Xstrata looking at "probably all assets", Zaldumbide is quoted as saying.

Mining Weekly Online understands separately that Anglo's zinc assets may conceivably also be combined with those of South Africa's JSE-listed Exxaro, which is also disposing of its zinc interests, some of which are co-owned with Anglo.

Anglo last year decided to dispose of its zinc unit, with a price tag reportedly in the region of $800-million.

Zaldumbide is also quoted as saying that the possibility of Xstrata revisiting its Anglo merger proposal of 2009 would depend on "the right circumstances".

Xstrata has zinc operations in Europe, Australia and Canada, which have been steady earners at comparatively low investment expense.

Xstrata's zinc unit, which focused on organic growth, last year reportedly contributed 13% or $860-million of the group's total earnings before interest, tax, depreciation and amortisation.

Xstrata's pipeline of projects is current biased towards the more attractive copper and coal space.

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