IN BRIEF: Taseko sells Harmony gold project in Canada to JDS Gold

Taseko Mines Ltd - Vancouver-based metals miner - Agrees to sell Harmony gold project to JDS Gold ...

Alliance News 13 July, 2021 | 6:58AM
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Taseko Mines Ltd - Vancouver-based metals miner - Agrees to sell Harmony gold project to JDS Gold Inc, a newly incorporated company controlled by JDS Energy & Mining Inc and affiliates. Plans to maintain a 15% interest in JDS Gold, plus a 2% net smelter return royalty on the project. Says it has right to end agreement and retain ownership of the project if JDS Gold does not achieve certain milestones, an IPO and other liquidity events, within agreed time period.

Notes that the Harmony is a high-grade, development-stage gold project on Graham Island in Haida Gwaii, off the west coast of British Columbia, Canada. Adds that the project includes 58 mineral claims over 177 square kilometres, with previous owners drilling 543 holes totalling 80,000 metres.

Taseko Chief Executive Stuart McDonald, says: "We are continually looking for ways to create shareholder value from our extensive pipeline of high-quality development projects. With Florence copper expected to commence construction later this year and our large-scale Yellowhead copper project preparing to enter the environmental assessment process, we did not expect to be in a position to advance Harmony for a number of years. JDS Energy & Mining Inc. has a proven track record of developing mineral projects, and this transaction structure allows Taseko to participate in their success and create value from this asset in the near-term."

Current stock price: 145.50 pence

Year-to-date change: up 57%

By Scarlett Butler; scarlettbutler@alliancenews.com

Copyright 2021 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
Taseko Mines Ltd 142.50 GBX -5.00 -
Taseko Mines Ltd 2.42 CAD -1.22 -

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