Hecla Completes Acquisition Of Klondex Mines
Hecla Mining Co. (NYSE: HL) has completed the previously announced acquisition of Klondex Mines Ltd. (NYSE American: KLDX; TSX: KDX), the companies report. “With this acquisition, Hecla now has three high-grade mines in Nevada, one of the best mining districts in the world,” says Phillips S. Baker, Jr., president and chief executive officer. “These assets immediately add production and cash flow, and because they are a good fit with Hecla’s expertise, we believe there is significant opportunity for improvement in the mines’ productivity and consistency.” Hecla acquired the outstanding shares of Klondex for some $153 million and 75 million shares of Hecla common stock. Klondex shareholders were able to receive either Hecla stock or a combination of cash and stock. Klondex shareholders will also receive 0.125 of a share of Havilah Mining Corp., a newly formed entity that will retain Klondex’s Canadian operations. Havilah has been approved to list its common shares on the TSX Venture Exchange, with trading expected to begin Wednesday. Also, Hecla subscribed for a little more than 3.5 million shares of Havilah at a price of C$2.61 per share. Hecla thus owns 13.46% of Havilah shares. Hecla adds that the shares were acquired for investment purposes only.
By Allen Sykora of Kitco News; firstname.lastname@example.org
Harmony Gold Mining Exceeds Fiscal 2018 Guidance
Monday July 23, 2018 08:38
Harmony Gold Mining Co. Ltd. (NYSE: HMY; JSE: HAR) reports gold production of 1.228 million ounces in fiscal year 2018, exceeding guidance of 1.18 million ounces. This is the third straight year Harmony has achieved its guidance. South African operations recorded a 14% increase in production, with Moab Khotsong turning out 105,900 ounces and contributing 10% of the increase in South African output during the four months the operation has been included in Harmony’s asset portfolio, the company says. The $200 million bridge facility raised for the Moab Khotsong transaction has been fully repaid using cash resources and the proceeds received from the share placement, Harmony says.