Popular
How I Triple My Returns With 3x Leveraged...
How to Find Compelling Charts in Every Sector
EVs Now Emit 73 percent Less Than Gasoline...
Cygnus Metals Limited: Issue of Performance Rights
FPX Nickel Announces Share-Based Compensation Grant
Blue Lagoon Resources Officially Opens Dome Mountain Gold...
At least four killed and many ‘kidnapped’ in...
Universities threatened with funding cuts under proposed plan...
A piece of the illegally felled Sycamore Gap...
EU’s von der Leyen survives parliament confidence vote...
  • Home
HotInvestingPilots.com
  • Politics
  • World News
  • Stock
  • Investing
Investing

Lundin Mining to Divest Neves-Corvo and Zinkgruvan Operations for US$1.52 Billion

by December 10, 2024
written by December 10, 2024

Lundin Mining (TSX:LUN,OTC Pink:LUNMF) has entered a definitive agreement to sell its Neves-Corvo operation in Portugal and Zinkgruvan operation in Sweden to Boliden (STO:BOL) for up to US$1.52 billion.

The sale, announced by the company on Monday (December 9), will see Boliden acquire full ownership of Somincor, the company operating Neves-Corvo, as well as Zinkgruvan Mining Aktiebolag and its associated entities.

Lundin expects to receive upfront cash consideration of US$1.37 billion at closing, based on financial conditions as of August 31, 2024. Interest will accrue at 5 percent annually until the closing date.

It will also receive up to US$150 million in contingent cash consideration once certain conditions are satisfied.

The contingent payments for the Neves-Corvo operation are linked to copper and zinc prices exceeding US$4.50 per pound and US$1.30 per pound, respectively, between 2025 and 2027.

For Zinkgruvan, the contingent payments are tied to zinc prices surpassing US$1.40 per pound during 2025 and 2026, provided that annual zinc production meets a minimum threshold of 135 million pounds.

Payments are capped at US$25 million annually, with a total maximum of US$50 million. Incremental revenue exceeding these thresholds will result in payments to Lundin capped at US$100 million over the period.

Lundin intends to use the proceeds to strengthen its balance sheet and prioritize its growth in the Vicuña District in South America. The company currently has operations and development projects in Argentina, Brazil, Chile and the US.

“It is an opportune time to optimize our portfolio through this divestiture as we drive towards becoming a top-tier copper-dominant mining company,” said CEO Jack Lundin in a press release.

Neves-Corvo and Zinkgruvan have been significant contributors to Lundin Mining’s growth as a multi-asset base metals producer. According to Lundin, the transition to Boliden will provide continuity for local stakeholders and employees.

Both companies anticipate completing the transaction by mid-2025.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

0 comment
0
FacebookTwitterPinterestEmail

previous post
Significant Milestone Achieved in Development Journey with The Completion of The “first phase” of the Environmental Impact Assessment Procedure for Rajapalot Gold-Cobalt Project
next post
Completion of preclinical data package for RAD 402

Related Articles

EVs Now Emit 73 percent Less Than Gasoline...

July 11, 2025

Cygnus Metals Limited: Issue of Performance Rights

July 11, 2025

FPX Nickel Announces Share-Based Compensation Grant

July 11, 2025

Blue Lagoon Resources Officially Opens Dome Mountain Gold...

July 11, 2025

Copper Soars to All-time High as Trump Unveils...

July 10, 2025

Apollo Silver; Right Assets, Right Management and Right...

July 10, 2025

Cartier Unveils VRIFY-Generated AI Model Highlighting Key Discovery...

July 10, 2025

Silver47 Conducts Prospecting and Soil Geochemical Surveys at...

July 10, 2025

Kobo Resources Confirms Additional High-Grade Gold Mineralization at...

July 10, 2025

Juggernaut Closes $1,100,000 from Institutions and Accredited Investors

July 9, 2025

Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

Recent Posts

  • How I Triple My Returns With 3x Leveraged ETFs!

    July 11, 2025
  • How to Find Compelling Charts in Every Sector

    July 11, 2025
  • EVs Now Emit 73 percent Less Than Gasoline Cars Over Their Lifetime, Says ICCT Study

    July 11, 2025
  • Cygnus Metals Limited: Issue of Performance Rights

    July 11, 2025
  • FPX Nickel Announces Share-Based Compensation Grant

    July 11, 2025
  • About us
  • Contact us
  • Privacy Policy
  • Terms & Conditions

Copyright © 2025 hotinvestingpilots.com | All Rights Reserved

HotInvestingPilots.com
  • Politics
  • World News
  • Stock
  • Investing