Prominent Hill's first year production of about 115,000 tonnes of copper and about 80,000 ounces of Gold alone will basically close the existing earnings gap. For Oxiana's board, Zinifex delivers cash and balance sheet strength to fund further expansion. Zinifex had $2.23 billion in cash at December 31 after selling smelting assets last year for about $1.5 billion, and will still be swimming in cash after completing its now-recommended $852 million takeover of junior Australian nickel miner, Allegiance. The deal also arguably represents a wager by Oxiana's board on behalf of its shareholders that they are buying into the merger at a time when the zinc price and Zinifex's share price are relatively low. The Zinc price has halved since late 2006 amid forecasts that Chinese production would create a chronic supply side surplus.