NEM - Major Maintains Ownership in Jr. With Prospective Multi-Mineral Project | Benzinga
Source: Streetwise Reports 05/13/2024
Metallic Minerals Corp. says mining major Newmont Corp. is exercising its "top-up right" to purchase additional shares of the company. Read to see the other ways the companies are working together.
Metallic Minerals Corp. (OTC: MMNGF) announced that mining major Newmont Corp. (NYSE: NEM) is exercising its "top-up right" to purchase additional shares of the company.
With the purchase, Newmont will continue to own 9.5% in Metallic Minerals by purchasing an aggregate of 342,750 common shares at CA$0.33 per share to "adjust for certain non-cash transactions completed by the company in the last six months.
"We are very pleased with the ongoing collaboration and support from Newmont on the La Plata project" Metallic Minerals President Scott Petsel said. "Our latest drill results demonstrate the potential of the La Plata project to be a district-scale, precious-metal-rich porphyry system with multiple holes returning from 500 to 900 meters of continuous mineralization starting from surface and including some of the highest grade-times-thickness values for copper drill holes in the U.S. over the last year."
Exploration at its La Plata copper-silver-gold-platinum group element (Cu-Ag-Au-PGE) project in southwestern Colorado was funded with Newmont's initial CA$6.3 million investment. In addition to capital, Newmont also provided technical support and expertise for the project through a joint committee with Metallic Minerals, including multiple site visits.
"These contributions are expected to continue in 2024 and may include Newmont providing experienced personnel to the project for enhancing surface data acquisition, geologic mapping, and geophysics" Metallic Minerals said in a release.
The new placement is subject to final approval by the TSXV.
The Catalyst: 2024 Exploration Campaign
The main Allard deposit at La Plata remains open to expansion at depth and along trend, and more than 20 new surface targets have been identified, which may represent additional porphyry centers, Petsel noted.
"Final planning is in progress for the 2024 exploration campaign, which is anticipated to include resource expansion drilling with a focus on the higher-grade porphyry units at the Allard deposit and first drill testing of new priority targets ...