Hochschild Mining to sell Volcan gold project to Railtown Capital

Britain’s Hochschild Mining said on Wednesday it had signed a letter of intent to sell its Chile-based Volcan gold project operator Tiernan Gold Corp to Canada’s Railtown Capital.

Hochschild has been facing hurdles in production in its Mara Rosa mine in Brazil, which has significantly affected its production and led to a slash in its annual production forecast.

The deal will be structured as a reverse takeover, with Hochschild set to own about 87% of the combined company, which will be listed on the Toronto Venture Exchange.

Shares of the precious metals miner were up 9.3% at 335.8 pence after the announcement, highest since February 2013.

The company had said in August 2023 it was exploring strategic options for the project.

(By Unnamalai L; Editing by Shreya Biswas)

Reuters

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 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.

off-the-wire

Hochschild Mining to sell Volcan gold project to Railtown Capital

By Reuters

Reuters

Reuters

Gold has a path to $4,000 as U.S. credibility crumbles - WisdomTree’s Nitesh Shah

Why gold revaluation charts put prices at $25,000-$55,000 if history rhymes, silver poised for breakout: Crescat Capital Strategist

Whether 145% or 10%, tariff uncertainty is enough to stop U.S. gold and silver imports, distort the metals market at all levels – Experts

Gold price plummets as U.S.-China trade relations thawing

Gold price down a bit amid better risk appetite