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Kinross Gold Corporation (TSX:K,NYSE:KGC) has completed the sale of its interest in Aurelian Resources and the Fruta del Norte project to Fortress Minerals (TSXV:FST.H) for $240 million. Fortress is a member of the Lundin group of companies.
Kinross Gold Corporation (TSX:K,NYSE:KGC) has completed the sale of its interest in Aurelian Resources and the Fruta del Norte project to Fortress Minerals (TSXV:FST.H) for $240 million. Fortress is a member of the Lundin group of companies.
As quoted in the press release:
Further to the Company’s news release dated October 21, 2014 announcing the sale, Kinross received 26,156,250 Fortress common shares, issued at a price of C$4.00 per share, resulting in Kinross owning approximately 25.8% of Fortress’ outstanding common shares. The sale was subject to various conditions, including the granting of certain approvals by the Government of Ecuador, which have all been provided.
Kinross CEO, J. Paul Rollinson, said:
We believe this is a win-win transaction for both Kinross shareholders and the future of the Fruta del Norte project. The sale further strengthens Kinross’ balance sheet as the Company focuses on its strategic priorities. At the same time, Kinross’ equity position in Fortress could provide it with an opportunity to benefit from the project’s development.
Click here to read the Kinross Gold Corporation (TSX:K,NYSE:KGC) press release