US-based precious metals mining Coeur Mining has completed the deal to divest its Crown and Sterling subsidiary to a unit of South Africa-listed gold miner AngloGold Ashanti for $150m in cash.
According to the deal signed earlier this year, Coeur will receive $50m in additional deferred cash consideration upon Crown Sterling achieving at least 3.5 million gold ounces of the total resource.
The Sterling and Crown exploration properties cover 35,500 net acres in southern Nevada. The properties are located adjacent to AngloGold’s existing gold projects in Nye County.
The sale forms part of Coeur’s plan to monetise non-core assets while focusing on high-return growth from its asset portfolio in North America.
AngloGold Ashanti said in a statement: “AngloGold Ashanti has paid the closing consideration of $150m to Coeur Mining, Inc. and will now incorporate the Coeur Sterling properties into its plans to realise the potential of the Beatty district as a new gold production centre for the company.”
The properties offloaded in the transaction have a mineral resource of 914,000oz, according to Coeur estimates.
Gibson, Dunn & Crutcher served as legal counsel to Coeur for the deal.
Coeur Mining’s current operations include the Palmarejo gold-silver complex in Mexico, the Rochester silver-gold mine in Nevada, the Kensington gold mine in Alaska and the Wharf gold mine in South Dakota.
It also owns the Silvertip silver-zinc-lead development project in British Columbia and holds stakes in several precious metals exploration projects throughout North America.