Mexico’s proposed higher mining royalties could block nearly $7bn in investments
The Mexican government proposed raising mining royalties under the argument that metal prices have risen in recent years.
Pan American Silver (TSX: PAAS) announced Tuesday that shareholders overwhelmingly (98%) approved the resolution to increase the maximum number of authorized shares of Pan American and the resolution to issue up to 72,533,152 Pan American shares in connection with the proposed plan of arrangement that Pan American will acquire all of the issued and outstanding shares of Tahoe Resources.
Tahoe shareholders also approved the arrangement, which is subject to approval by the Supreme Court of British Columbia and is expected to be completed on or about February 26, 2019, following authorization from the Mexican Federal Economic Competition Commission.
“We are very pleased to see strong shareholder support for our acquisition of Tahoe,” said Michael Steinmann, president and CEO of Pan American in a media statement. “This is a logical combination that provides investors with exposure to a geographically diversified portfolio of some of the world’s best silver mining assets.”
Comments
slvrizgold
Gee what a surprise . PAAS gets the Escobal mine (the best silver mine in the world IMO) for peanuts, and they also get a pipeline of half million ozs of not too shabby annual gold production. I was really worried the deal wouldn’t go through (snickers.) I almost wonder if TPTB didn’t orchestrate the whole drama with the Guatamalans so certain interested parties could make a very profitable heist. This deal was certainly ten times better than the money they wasted buying Aquiline’s Navidad moose pasture (ok they don’t have moose there but you get the point LOL)