Printer Friendly

Newmont Acquires Interest in Galore Creek Copper/Gold from Novagold.

M2 EQUITYBITES-July 27, 2018-Newmont Acquires Interest in Galore Creek Copper/Gold from Novagold

(C)2018 M2 COMMUNICATIONS http://www.m2.com

27 July 2018 - Colorado, US-based gold and copper producer Newmont Mining Corp. (NYSE: NEM) has agreed to acquire a 50% interest in the undeveloped copper/gold project of Canada-based Galore Creek Partnership from Novagold Resources Inc., the company said.

Newmont will form a partnership with Teck Resources Ltd., owner of Galore Creek's remaining stake, the company said.

The Novagold agreement encompasses a staged and contingent investment of USD 275m, with an initial payment of USD 100m; a payment of USD 75m on the earlier of prefeasibility study completion or three years from closing; and a payment of USD 25m on the earlier of completing a feasibility study or five years from closing.

A final USD 75m payment would be contingent on a final decision to develop the project.

Newmont said Galore Creek holds the potential to support decades of profitable copper and gold production in a favorable mining jurisdiction.

Partnering with Teck allows the company to bring both organisations' considerable technical, financial and sustainability strengths to bear in evaluating and refining development plans for Galore Creek, and to build on the strong relationships Teck has established with the Tahltan First Nation and British Columbia.

Newmont's operations are primarily in the United States, Australia, Ghana, Peru and Suriname.

((Comments on this story may be sent to info@m2.com))

COPYRIGHT 2018 Normans Media Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2018 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:M2 EquityBites (EQB)
Date:Jul 27, 2018
Words:239
Previous Article:Salem Church Products Acquires ChildrensMinistryDeals.com.
Next Article:Limoneira Acquires California-Based Oxnard Lemon Packing House.
Topics:

Terms of use | Privacy policy | Copyright © 2021 Farlex, Inc. | Feedback | For webmasters