- Write by:
-
Wednesday, June 10, 2020 - 3:04:04 PM
-
655 Visit
-
Print
Mining News Pro - New Gold is selling its $1.8 billion Blackwater gold project in British Columbia, Canada, to Artemis Gold for C$190 million (about $141m) in cash.
The Toronto-based miner will receive a gold stream on 8% gold produced from Blackwater. That total will be reduced to 4% once the company has received 280,000 ounces of gold.
As part of the deal, New Gold will acquire as much as 9.9% of Artemis’ common shares for C$20 million at the close.
“We believe that surfacing value for Blackwater today, while retaining exposure to the project through a retained gold stream and an equity position in Artemis, allows the company to transition to the next phase of our growth plan,” New Gold’s chief executive, Renaud Adam, said in the statement.
Blackwater is a proposed open-pit gold and silver mine located 160 km southwest of Prince George.
Currently in the exploration phase, the project has 8.2 million ounces of gold in proven and probable mineral reserve, and 60.8 million ounces silver. In the measured and indicated category, Blackwater holds 1.4 million ounces gold and 8.7 million ounces silver in reserve.
Last year, the project was granted federal and provincial environmental assessment certificates, but it must still go through the mine-permitting phase.
As proposed, the Blackwater gold project would produce 60,000 tonnes per day of gold and silver ore, over a mine life of 17 years. The project could create up to 1,500 jobs during construction and 495 during operations, according to New Gold’s figures.
Under a benefit agreement with the provincial government, two First Nations will receive as much as $217 million, with the revenue split evenly between them.
The Lhoosk’uz Dené and Ulkatcho bands also had a separate agreement with New Gold, in which they have direct participation in the project.
Short Link:
https://www.miningnews.ir/En/News/545590
Gold touched a new record of $2,450 an ounce on Monday as increasing optimism over the Federal Reserve’s monetary policy ...
The International Centre for Settlement of Investment Disputes (ICSID) ruled in favour of Peru in a decade-long dispute ...
South African diversified miner Sibanye Stillwater is discussing with lenders to temporarily lift limits on borrowings, ...
London-based Savannah Resources will if necessary ask Portugal’s government to authorize compulsory land acquisitions ...
Africa-focused Montage Gold announced Thursday it has received a ministerial order granting all environmental approvals ...
Newmont Corp. has no plans to expedite a decision on its $2.5 billion Yanacocha Sulfides project, dashing the Peruvian ...
Imports of iron ore by China, the world’s biggest buyer, in 2024 are expected to be around 1.17 to 1.18 billion metric ...
China’s central bank added 60,000 troy ounces of gold to its reserves in April, official data showed on Tuesday, ...
First Quantum Minerals said on Monday it is looking forward to talks with Panama’s new government to find a resolution ...
No comments have been posted yet ...