Talon Metals (TSX:TLO) has completed the acquisition of Lundin Mining’s (TSX:LUN) Eagle Mine and associated Humboldt Mill in Michigan, US.
Upon closing the deal, Lundin was issued around 275.15 million shares and granted a production payment royalty on ore from sources other than the Eagle Mine that is processed through the Humboldt Mill at a rate of US$1 per tonne – up to a maximum of US$20 million.
Executive Chairman Henri van Rooyen says this transaction has brought together the positive cash flow generating Eagle Mine and Humboldt Mill, the proven operating experience of the teams, and Talon’s in-house capabilities to create the only operating primary nickel-copper company in the US with expansion potential.
“With the transaction now complete, our combined team is positioned to advance our four strategic priorities in parallel – materially extending the Eagle Mine life, accelerating exploration in Michigan and Minnesota, advancing permitting at the Tamarack Nickel-Copper Project and the Beulah Battery Minerals Processing Facility, and progressing engineering toward Feasibility Study and construction,” van Rooyen says.
Canaccord Genuity was engaged as financial advisor to the company, while Cassels Brock & Blackwell and Dorsey & Whitney acted as legal counsel.
Talon Metals is focused on discovering and developing nickel resources for the domestic battery supply chain in the US.
Write to Aaliyah Rogan at Mining.com.au
Images: Talon Metals
