El Salvador lawmakers overturn mining ban Bukele called absurd
El Salvador became the first country in the world to ban all forms of metals mining in 2017.
Canadian small-scale gold miner Eros Resources would merge with rivals MAS Gold and Rockridge Resources to develop copper and gold projects in the province of Saskatchewan, the companies said on Tuesday.
The Canadian province, home to copper, potash and uranium mines, is known for its mining prowess and contains several unexplored metal deposits.
Spot gold prices have risen about 29% so far this year on expectations of interest rate cuts and demand for safe haven amid rising geopolitical tensions, while copper has gained on long-term demand for the metal.
Under the deal terms, Eros would acquire MAS Gold and Rockridge shares that it does not own already by issuing 0.375 Eros common shares to Rockridge shareholders and 0.25 Eros shares to MAS Gold shareholders.
After the transaction closes, Eros shareholders would own about 42.37% of the combined company, while MAS Gold and Rockridge shareholders would own 37.33% and 20.3%, respectively.
“The portfolio of the combined company is expected to provide shareholders with exposure to approximately 77,890 hectares of mineral claims, offering the potential for new discoveries and potentially attracting larger strategic partners,” the companies said in a statement.
Eros had a market capitalization of C$4.4 million ($3.26 million) as of Sept. 30, according to LSEG data.
($1 = 1.3500 Canadian dollars)
(By Sourasis Bose; Editing by Shilpi Majumdar)
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