AUY - Yamana Gold: Abitibi Land Holdings Increased Ahead Of Wasamac Study
- Yamana Gold announced this week that it would be increasing its land holdings in the Abitibi-Temiscamingue Region of Quebec, with new properties acquired to the west of Wasamac.
- Two of the projects acquired are past producers, with this deal having the potential to extend the mine life at Wasamac if Yamana can uncover additional high-grade ore sources.
- The price paid for the deal looks very reasonable, with a cost of less than $12 million, and a 2% Gross Metal Royalty.
- Given Yamana's solid medium-term growth outlook that's potentially improved further in Tier-1 jurisdictions, I would view dips below $4.60 as low-risk buying opportunities.
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Yamana Gold: Abitibi Land Holdings Increased Ahead Of Wasamac Study