SSR to be 3rd-biggest US gold miner with Cripple Creek & Victor acquisition
SSR Mining Inc. (Nasdaq/TSX: SSRM; ASX: SSR) announced on Friday the acquisition of the Cripple Creek & Victor Gold mine (CC&V) in Colorado from Newmont (NYSE: NEM, TSX: NGT).With this acquisition, SSR is expected to become the third-largest gold miner in the United States.The transaction includes a $100-million upfront cash payment and up to $175 million in milestone-based payments. Of this, $87.5 million will be payable upon the approval of an amended permit for the CC&V Cresson mine, filed by Newmont earlier this year, to extend the mine’s life by adding leach pad capacity and making operational adjustments. Another $87.5 million will be contingent on regulatory relief related to the Carlton Tunnel permitting requirements.SSR and Newmont have also agreed to share responsibility for closure costs at CC&V. If closure costs exceed $500 million, SSR will fund 10% of the incremental costs, with Newmont covering the remaining 90%.The transaction is expected to close in the first quarter of 2025.CC&V is anticipated to add approximately 170,000 ounces of annual gold production to SSR Mining’s platform. Combined with the Marigold mine, SSR’s total US gold production is expected to average between 300,000 and 400,000 ounces annually.The large-scale open-pit mine has been active for more than 30 years and has gold mineral reserves of approximately 1.3 million ounces, plus an additional 1.6 million ounces of measured and indicated mineral resources (exclusive of reserves) and 0.3 million ounces of inferred mineral resources.Located in SSR Mining’s home state of Colorado, CC&V is approximately 100 miles from the company’s headquarters in Denver.“The acquisition of the Cripple Creek & Victor Gold Mine represents a rare opportunity to add a high-quality producing asset in a Tier-1 jurisdiction at an accretive valuation,” said Rod Antal, Executive Chairman of SSR Mining.Shares of SSR were up 1.64% Friday morning in Toronto. The miner has a market capitalization of C$1.75 billion ($1.24B).Divestments by NewmontThe deal is part of Newmont’s ongoing divestment program aimed at streamlining its portfolio.Last week, the miner announced that it would sell its Éléonore mine in Quebec to London-based miner Dhilmar for $795 million in cash.The world’s largest gold miner also announced the sale of its Musselwhite gold mine in Ontario to Orla Mining (TSX: OLA) for $850 million.Newmont had already agreed to sell its Telfer mine, a 70% stake in the Havieron project, and other related interests in Australia’s Paterson region to Greatland Gold (AIM: GGP).Shares of Newmont rose 0.88% Friday morning in New York to $41.44. The miner has a market capitalization of $47 billion.Weiter zum vollständigen Artikel bei Mining.com
Quelle: Mining.com
