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     117  0 Kommentare Sierra Metals Inc. Enters Into a Binding Agreement With Silverco Mining Corp. to Sell Its Cusi Project in Mexico

    Sierra Metals Inc. (TSX:SMT | OTCQX: SMTSF) (“Sierra Metals” or the “Company”) is pleased to announce that the Company has entered into a binding agreement (the "Agreement") with Silverco Mining Corp. ("SMC") in respect of the proposed purchase (the “Transaction”) by SMC of the mining concessions comprising the Cusi Mine located in Chihuahua State, Mexico (the “Cusi Mine”), and related assets including, among other things, land and land agreements, equipment and environmental permits (collectively with the Cusi Mine, the “Property”).

    In accordance with the terms of the Agreement, the Company will sell the Property to SMC in exchange for:

    • US$2,500,000 in cash consideration at closing; and
    • A 2.0% net smelter royalty in respect of the Cusi Mine granted in favour of Sierra Metals (the “Royalty”). SMC will have the right to purchase half of the Royalty (being 1.0%) at any time in exchange for a cash payment to Sierra Metals of US$5,000,000.

    As previously announced, the non-core Cusi Mine was placed on care and maintenance and the Company initiated a sales process on September 20, 2023. Placing the Cusi Mine on care and maintenance and the completion of the Transaction allows Sierra Metals to direct its full effort and resources to optimize the Company’s two core assets at Yauricocha and Bolivar.

    Completion of the Transaction is currently expected in the second quarter of 2024. The completion of the Transaction is subject to the Company and SMC entering into a definitive agreement in respect of the Transaction and the satisfaction or waiver of all conditions thereunder and the receipt of any applicable regulatory approvals. There is no certainty that the Transaction will be completed on the terms set out in this press release or at all.

    Advisors

    Sierra Metals has engaged SCP Resource Finance as its financial advisor, Mintz LLP as its Canadian legal advisors and RB Abogados as its Mexican legal advisors.

    About Sierra Metals

    Lesen Sie auch

    Sierra Metals is a Canadian mining company focused on copper production with additional base and precious metals by-product credits at its Yauricocha Mine in Peru and Bolivar Mine in Mexico. The Company is intent on safely increasing production volume and growing mineral resources. Sierra Metals has recently had several new key discoveries and still has many more exciting brownfield exploration opportunities in Peru and Mexico that are within close proximity to the existing mines. Additionally, the Company has large land packages at each of its mines with several prospective regional targets providing longer-term exploration upside and mineral resource growth potential.

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    Sierra Metals Inc. Enters Into a Binding Agreement With Silverco Mining Corp. to Sell Its Cusi Project in Mexico Sierra Metals Inc. (TSX:SMT | OTCQX: SMTSF) (“Sierra Metals” or the “Company”) is pleased to announce that the Company has entered into a binding agreement (the "Agreement") with Silverco Mining Corp. ("SMC") in respect of the proposed purchase (the …