Gold Mining News Hubb
Advertisement
  • Home
  • Gold News
  • Mining News
  • Contact us
No Result
View All Result
  • Home
  • Gold News
  • Mining News
  • Contact us
No Result
View All Result
Gold Mining News Hubb
No Result
View All Result
Home Mining News

Tarachi signs binding agreement to sell Mexican gold project

admin by admin
January 29, 2023
in Mining News


Tarachi also plans to cancel the private placement that it announced last December. Credit: Erik Stein / Pixabay.

Canadian gold exploration firm Tarachi Gold has signed a binding letter of agreement to divest its Magistral Project in Durango, Mexico, to mining company Compañia Minera de Atocha SA de CV (Atocha) for approximately $5,700,000.

The two firms plan to sign a definitive agreement for the deal within 60 days.

The Magistral project includes a 1,000 tons a day mill as well as access to a tailings deposit that has measured and indicated resources of 1.26 million tons at a grade of 1.93g/t Au.

Under the deal, Tarachi will transfer a 100% stake in its TGMEX Silver SA de CV (TGMEX), which owns the assets related to the Magistral Project, to Atocha.

Atocha will initially pay roughly $4.05m in cash.

The Mexican firm will make additional payments at later dates, including $500,000 when 50% of the tailings located on the Magistral Project have been sold and/or processed and $500,000 when 100% of the tailings have been mined, sold and/or processed.

Tarachi expects Atocha to realise the value-added tax (IVA) benefit and make payments to the firm within the first year of the project’s commercial operations.

Furthermore, Tarachi plans to cancel the private placement it announced last December.

Tarachi president and CEO Cameron Tymstra said: “This Transaction represents an opportunity for Tarachi to convert our interest in the Magistral Project to hard dollars at a strong valuation.

“It has been a challenging year for the junior gold sector and difficult to raise money through traditional means for project development, particularly for assets with shorter mine lives, such as the Magistral Project.

“We are excited to be moving forward following the close of the Transaction with a strong cash position, which will provide us with the flexibility to pursue other gold assets in North America with superior value-creation potential.”

Atocha will advance $1m to Tarachi to be held in escrow and serve as a deposit against the initial payment.





Source link

Previous Post

SA PGM production to fall this year if loadshedding persists, says Implats

Next Post

The $16 Trillion European Union Economy

Next Post

The $16 Trillion European Union Economy

Recommended

مؤتمر ومعرض حوض غرب إفريقيا MSGBC (الأحرف الاولى لدول موريتانيا، السنغال، غامبيا، غينيا بيساو وغينيا كوناكري) للنفط والغاز والطاقة لعام 2023 المُقرر انعقاده في موريتانيا

January 10, 2023

Africa’s Top Economic Sectors Poised for Growth in 2023

January 21, 2023

Don't miss it

Gold News

Gov Ikpeazu sacks several aides

March 31, 2023
Mining News

Visualizing the Flow of Energy-Related CO2 Emissions in the U.S.

March 30, 2023
Mining News

India to start exporting coal by 2026

March 30, 2023
Gold News

Gemfields warns recessionary pressures may dampen sales after record 2022

March 30, 2023
Gold News

Time to Break the Deadlock on TotalEnergies’ Offshore Gas Deal

March 30, 2023
Gold News

FEC approves N41bn for construction of centre of excellence, hospital in Rivers

March 30, 2023
gold mining-66

© Gold Mining News Hubb All rights reserved.

Use of these names, logos, and brands does not imply endorsement unless specified. By using this site, you agree to the Privacy Policy and Terms & Conditions.

Navigate Site

  • Home
  • Gold News
  • Mining News
  • Contact us

Newsletter Sign Up

No Result
View All Result
  • Home
  • Gold News
  • Mining News
  • Contact us

© 2022 Gold Mining News Hubb All rights reserved.