May 17, 2020

REPORT: Coeur Mining to Acquire Paramount Gold

Coeur Mining
Paramount Gold and SIlver
2 min
REPORT: Coeur Mining to Acquire Paramount Gold
The largest US producer of silver, Coeur Mining Inc., is rumored to be in the final stages of purchasing Paramount Gold and Silver Inc. The deal would g...

The largest US producer of silver, Coeur Mining Inc., is rumored to be in the final stages of purchasing Paramount Gold and Silver Inc. The deal would give Coeur a significant advantage in its expansion efforts into Mexico, which currently contains the highest reserve of silver in the world.

Under the terms currently being negotiated, Paramount shareholders would be paid in shares of Coeur Mining. In addition, Paramount would spin off its non-Mexican assets into a standalone publicly listed company with Coeur having a 4.9 percent stake in that new company.

The biggest benefit of the deal would be acquiring Paramount’s San Miguel mining project, which neighbors Coeur’s Palmarejo silver-gold mine in Northern Mexico. The San Miguel project encompasses 40 concessions and spans more than 350,000 acres around the Palmarejo mine complex. The acquisition would also enable Palmarejo to continue for at least another seven years as one of the largest and highest grade silver and gold mines in the world.

Talks of Coeur acquiring Paramount Gold reflect the decline in metal prices. The down turn is driving mining companies into consolidation as they continue to lower their cost base, expand their deposits and operations in a bid to become more profitable.

Chicago-based Coeur Mining Inc. is a precious metals mining company and the largest primary silver producer in the United States. The company has built and commenced production at three mines including the San Bartolome silver in Bolivia, the Palmarejo silver-gold mine in Mexico and the Kensington gold mine in Alaska.

Share article

Jun 29, 2021

Vale invests $150mn to extend life of Manitoba operations

battery metals
2 min
Vale’s $150mn investment in operations at Thompson, Manitoba will extend mine life by 10 years

Vale has announced a $150mn CAD investment to extend current mining activities in Thompson, Manitoba by 10 years while aggressive exploration drilling of known orebodies holds the promise of mining well past 2040.

Global energy transition is boosting the market for nickel

The Thompson Mine Expansion is a two-phase project. The announcement represents Phase 1 and includes critical infrastructure such as new ventilation raises and fans, increased backfill capacity and additional power distribution. The changes are forecast to improve current production by 30%.

“This is the largest single investment we have made in our Thompson operations in the past two decades,” said Mark Travers, Executive Vice-President for Base Metals with Vale. “It is significant news for our employees, for the Thompson community and for the Province of Manitoba.

“The global movement to electric vehicles, renewable energies and carbon reduction has shone a welcome spotlight on nickel – positioning the metal we mine as a key contributor to a greener future and boosting world demand. We are proud that Thompson can be part of that future and part of the low carbon solution.”

Vale continues drilling program at Manitoba

Coupled with today’s announcement, Vale is continuing an extensive drilling program to further define known orebodies and search for new mineralization.

“This $150mn investment is just one part of our ambitious Thompson turnaround story. It is an indicator of our confidence in a long future for the Thompson operations,” added Dino Otranto, Chief Operating Officer for Vale’s North Atlantic Base Metals operations.

“Active collaboration between our design team, technical services, USW Local 6166, and our entire Thompson workforce has delivered a safe, efficient and fit-for-purpose plan that will enable us to extract the Thompson nickel resources for many years to come.”

The Thompson orebody was first discovered in 1956 by Vale (then known as Inco) following the adoption of new exploration technology and the largest exploration program to-date in the company’s history.  Mining of the Thompson orebody began in 1961.

“We see the lighting of a path forward to a sustainable and prosperous future for Vale Base Metals in Manitoba,” said Gary Annett, General Manager of Vale’s Manitoba Operations.

Share article