22 Jun Goldcorp unloads Mexican gold-silver project to Orla Mining
Canadian gold major Goldcorp (TSX:G) has announced the sale of its Camino Rojo gold and silver project in Mexico to Orla Mining, continuing its sell off of non-core assets.
The Vancouver based miner will receive 19.9% of Orla’s outstanding common shares and a 2% net smelter return royalty on revenues from all metal production from Camino Rojo, with the exception of metals produced under a joint venture with the junior.
As part of the deal Goldcorp will also have an option to earn in up to 70% on future sulphide projects and the right to nominate a director to Orla’s board for as long as the gold producer’s equity stake is above 10%.
“We are very excited to now have both Goldcorp and Agnico Eagle as strategic shareholders and partners. They are first class gold companies and their ongoing support will prove invaluable as we advance our asset base,” Orla CEO Marc Prefontaine said in a statement.
Earlier this year Goldcorp sold its Los Filos gold and silver mine, also in Mexico, to Leagold Mining Corp for around US$438 million worth of cash stock and other assets.
The transaction with Orla is expected to close in the second half of 2017.