Concord Gold Mining has accomplished the acquisition of the Eva copper mission in north-west Queensland, Australia, from Copper Mountain Mining for a complete consideration of as much as $230m.
The deal consideration features a contingent fee of $60m.
With the acquisition, Concord will add 1.72 billion kilos of copper and 260,000oz of gold to its mineral reserves and prolong its diversification into copper.
Presently, Concord is finishing up an in depth evaluation of the present feasibility examine of the Eva copper mission.
Over a interval of as much as 12 months, Concord plans to finish the mission evaluation course of to find out the best solution to execute and finance the mission growth.
Concord CEO Peter Steenkamp stated: “The conclusion of this acquisition marks the start of our strategic diversification into copper, a future-facing steel. Eva Copper will additional de-risk the enterprise because it gives entry right into a Tier 1 jurisdiction, counter-cyclical diversification of income and meets Concord’s funding standards.
“As well as, Eva Copper is a totally permitted mission and meets all environmental, social and governance (ESG) necessities, demonstrating accountable stewardship.”
The Eva Iron Oxide Copper gold deposit and its associated tenements cowl an space of two,295km² inside the North West Minerals Province in Queensland.
Commenting on the settlement, which was signed in October 2022, Copper Mountain chief monetary officer Letitia Wong stated: “This transaction strengthens our stability sheet and permits the corporate to guage choices with respect to our long-term capital construction.
“Additional, as our not too long ago introduced lifetime of mine plan demonstrates, the Copper Mountain Mine is predicted to generate wholesome free money stream beginning in 2023 and we count on mine operations and the 65,000tpa enlargement to be self-funded going ahead.”