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McEwen Mining Announces Agreement To Acquire Lexam

McEwen Mining Inc. (TSX, NYSE: MUX) says the company has agreed to acquire all outstanding securities of Lexam VG Gold Inc. (TSX: LEX), with Lexam becoming a subsidiary of McEwen Mining. The arrangement is subject to approval by shareholders of Lexam. Under the deal, each Lexam common share would entitle the holder to receive 0.056 of a McEwen share. Lexam shareholders would receive a premium of 30% to the 30-day volume weighted average price of the Lexam Shares, McEwen Mining reports. Based on current outstanding Lexam shares, McEwen Mining would issue 12,689,709 shares of McEwen Mining stock to shareholders of Lexam. “Lexam’s assets include multiple advanced exploration projects located in the prolific gold camp of Timmins, Ontario. Lexam’s primary projects are past producers with defined resources and excellent infrastructure,” says Rob McEwen, chief owner of both McEwen Mining and Lexam. “The proposed transaction would give the Lexam shareholders access to McEwen Mining’s technical and financial resources, enabling the projects to be advanced towards production.  Lexam shareholders will also gain exposure to a growing gold and silver producer, with a diversified portfolio of projects throughout the Americas.” If approved, the acquisition means McEwen Mining will add measured and indicated gold resources of 1,468,500 ounces and inferred gold resources of 954,000 ounces.

By Allen Sykora of Kitco News; asykora@kitco.com

 

Silver Standard To Sell Berenguela Project In Peru

Monday February 13, 2016 08:01

Silver Standard Resources Inc. (Nasdaq: SSRI; TSX: SSO) announces an agreement with Valor Resources Limited (ASX: VAL) sell its Berenguela project in Peru for $12 million in deferred cash and a 9.9% equity interest in Valor. Valor is an Australian-based company, focused on mineral project exploration and development. "The sale of the Berenguela project demonstrates our continued focus on maximizing the value of our projects and optimizing our portfolio,” says Paul Benson, president and chief executive officer of Silver Standard. “We retain exposure to the success of Berenguela, while we further strengthen our balance sheet for continued generation of shareholder value."

By Allen Sykora of Kitco News; asykora@kitco.com

 

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
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