Feb 26 (Reuters) - Newcrest Mining Ltd NCM.AX said on Monday it had invested $250 million to buy a 27.1 percent stake Canadian miner Lundin Gold Inc LUG.TO .
Newcrest said the total $400 million to be raised by Lundin Gold would be used to develop Lundin's Fruta del Norte gold mine in Ecuador.
Newcrest also said it signed a joint venture with Lundin to earn up to 50 percent direct interest in eight Ecuadoran exploration concessions by spending up to $20 million over five years.