Lundin Mining on Friday announced it has closed the acquisition of a 100% ownership stake in Mineração Maracá Indústria e Comércio S/A, which owns the Chapada copper-gold mine in Brazil from Yamana Gold.
The Chapada mine, in the northwest state of Goiás, began production in 2007 and is expected to churn out about 54,500 tonnes of copper and 100,000 ounces of gold this year.
The deal was first announced in April.
Total cash consideration paid at closing by the Lundin was $800 million, funded by cash on hand and the Company’s $550 million revolving credit facility.
Yamana retains a 2.0% net smelter return (NSR) royalty on future gold production from the Suruca gold deposit, receives contingent consideration of up to $125 million over five years if certain gold price thresholds are met and contingent consideration of $100 million on potential construction of a pyrite roaster.
French tubular steelmaker Vallourec expects Brazilian demand to pick up in the fourth quarter, while oil and gas demand in the US is expected to decline.
Brazilian iron ore producer Vale has revised lower its shipment forecasts for this year, indicating tighter supplies for the rest of 2019 that may support seaborne prices.
World’s largest iron ore miner- Vale informed yesterday through its press release that miner has got necessary authorization from the National Mining Agency to resume the operations of the Alegria Mine operation that has been halted since Mar'19.
World's second-largest exporter of iron ore - Brazil has recorded an increase in iron ore export volumes to 31.2 MnT in Oct'19, as compared to Sept'19 which was at 27.14 MnT, according to trade statistics released by Brazil customs. On yearly basis, exports dropped 16% as against 37.2 MnT in Oct'18.
Lacklustre results in Brazil's transfer-of-rights (TOR) offer and pre-salt auction on November 6-7 are raising questions about bonus pricing, its production-sharing contract (PSC) terms and state-controlled Petrobras' first-right mandate.
Brazil's former president Luiz Inácio Lula da Silva left prison this afternoon, firing up his traditional popular base that opposes Brazil's broad opening to private-sector oil investment.