Silver Wheaton’s Vale Deal Shines Light on Current Market for Miners

Precious Metals

The Financial Post reported that this week’s Silver Wheaton’s gold stream aquisition from Vale draws attention to opportunities that are emerging from rough market conditions.

The Financial Post reported that this week’s Silver Wheaton’s gold stream aquisition from Vale draws attention to opportunities that are emerging from rough market conditions.

As quoted in the market report:

Miners are turning to companies such as Silver Wheaton and Franco-Nevada for financing for a couple of reasons: issuing equity is extremely difficult and dilutive in this market, and capital cost pressures have made it more important than ever to share the financing risk on large projects. The fact that an enormous company such as Vale is giving up future cash flow to secure capital shows how challenging it is for the industry right now.

To view the whole Financial Post report, click here.

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