Brussels, 17/07/2006 (Agence Europe) - Last Friday the European Commission gave its approval to the proposed acquisition of the Canadian company Falconbridge Limited by the Swiss group Xstrata. Falconbridge is a diversified mining company active in the mining, processing, refining and sale of various metals, including nickel, copper, cobalt, lead, zinc, aluminium and precious metals. Xstrata is controlled by Glencore and is a natural resources group, mainly active in mining, smelting, processing and sale of coal, copper, zinc and alloys with additional exposures to gold, lead and silver. Xstrata, which already owned 19.8% of Falconbridge's issued share capital, launched on 17 May a public bid to acquire all of the outstanding common shares of Falconbridge. The Commission's examination of the proposed deal showed that the overlaps between the mining, processing and sales activities of Falconbridge, Xstrata and Glencore would be limited and that, for all products concerned, the combined firm would continue to face several strong and effective competitors. Falconbridge is also subject to a competing bid by Inco Limited, a Canadian mining company. The Commission cleared this transaction on 4th July 2006, subject to conditions.