(Kitco News) - Last year the biggest merger and acquisition story was the battle between BHP Billiton and Wyloo Metals to gain control of Noront Resources.
On Tuesday Wyloo CEO Luca Giacovazzi updated Kitco about his company's work on the acquisition, Noront Resources' Eagle's Nest. Giacovazzi called the project one of the largest undeveloped, high-grade nickel sulphide deposits in the world. Eagle's Nest is located in northern Ontario.
Last year Wyloo out-bid the world's large integrated miner by market capitalization, BHP Billiton, for Noront Resources in a deal valued at C$616.9 million (US$455.28 million). The acquisition was completed in the spring. The acquired business was renamed Ring of Fire Metals.
Wyloo is privately-held. The company is controlled by Andrew Forrest, the Australian billionaire who founded and chairs Fortescue Metals Group.
The company has been doing a spate of deals. In September Wyloo committed A$120 million (US$77.7 million) in Greatland Gold, which is advancing its Havieron copper-gold development project in Western Australia. A 2021 prefeasibility study for Havieron shows a life of mine average all-in sustaining cost (AISC) of A$893/oz (US$643/oz). Once built the mine will have an average annual gold production of 160koz and copper production of 6.9kt.
In August Wyloo made a A$150 million (US$97.2 million) investment in rare earths developer Hastings Technology Metals. Hastings’ flagship Yangibana project, in the Gascoyne region of Western Australia, contains, according to Wyloo, one of the most highly valued NdPr deposits in the world with NdPr:TREO ratios of up to 52%. Wyloo's investment in Hastings also funded downstream rare earth processing capabilities, through a 22.1% equity interest in TSX-listed Neo Performance Materials.
