Newmont acquires shares to maintain Metallic Minerals 9.2% shareholding
Global gold miner Newmont Corporation has invested $902916 to acquire 3.2-million units of TSX-V-listed Metallic Minerals Corporation in a private placement to maintain a 9.2% ownership interest in the company.
Each unit, priced at $0.28 apiece, comprises one common share of the company and one half of one common share purchase warrant.
Each warrant entitles Newmont to acquire one common share of Metallic as a price of $0.40 apiece for a period of three years from the private placement's closing date.
Metallic Minerals intends to use the private placement proceeds to advance exploration and development at the La Plata copper/silver/gold/platinum group metals (PGMs) project in Colorado, as well as for working capital and general corporate purposes.
La Plata has an inferred mineral resource estimate of 181-million tonnes grading 0.36% copper equivalent, containing 1.3-million pounds of copper and 17-million ounces of silver. The estimate also has a 45-million tonne subset for platinum, palladium and gold, for 91 000 oz of contained platinum, 121000 oz of contained palladium and 60000 oz of gold.
Newmont has been a valued strategic shareholder in Metallic Minerals since 2023, says Metallic Minerals CEO and chairperson Greg Johnson, adding that collaboration with Newmont through a technical committee has been fruitful to expand the Allard resource and the district-scale La Plata project.
Notably, La Plata has another 20 developing surface targets, which may represent additional porphyry centres.
Johnson explains the fundamentals for copper and critical minerals overall remain very strong and underscore La Plata's potential to emerge as a significant source of copper and PGMs for the US.
