Goldenveg on the London forum has just posted a link to: "Australia*s Newcrest to buy Canadian copper and gold mine for $807m."- Reuters, 10.3.19 at 5.30pm.
In essence:
Newcrest is to "acquire a 70% JV interest in , and operatorship of, the RED CHRIS mine and surrounding tenements in British Columbia from Imperial Metals Corp."
Red Chris is a "porphyry [copper and gold] with 20moz of gold and 13 billion pounds of copper."
Last month, the CEO Newcrest said he would "prefer to buy assets rather than co*s."
The acquisition is via "cash and undrawn bank facilities."
The move comes "amid talks of consolidation in the industry."
Comment:
I remember Red Chris well as it was in the early presentations of Solgold. It was 1 of 3 co*s that Solgold cited about re-rating and the other was Bukit Tujuh.
These days, co*s prefer to buy assets for obvious reason rather than co*s.
It is known in the industry that 2020 is the year of copper deficit and perhaps why Newcrest cannot wait till the last minute?
Again, to gross up 100% = $1 billion +- [inverse maths= if 75% equals $807m, then 100% =...]
As was said in the Solgold presentation at the time that Tier 1 would re-rate to the $1b mark. It is common knowledge that commodities are denominated in US$.
Interesting.
Looks like Newcrest is on the move which is an English understatement.
Nice news and exciting. To read, just call up the title in the search engine.
With thanks to Goldenveg.
Sun, 10 Mar 2019 sol1
DGR Price at posting:
12.0¢ Sentiment: None Disclosure: Not Held
(20min delay)
