16.4 C
Supported byspot_img

Kaz Minerals moves into Russia with $900 million acquisition of Baimskaya project

Member of Europium Groupspot_img
Supported byspot_img

One of the worlds largest copper producers in Kazakhstan has expanded into Russia, with a major copper acquisition.

Kaz Minerals announce this week that it has completed a $900 million cash and shares deal to buy the Baimskaya project, located in the Chukotka region of Russia.

The Baimskaya project is one of the world’s most significant undeveloped copper assets, with a JORC resource of 9.5Mt of copper and 16.5 Moz of gold.

Supported by

Kaz will look to producer around 250 kt of copper and 400 koz of gold annual over the first ten years of operations. The mine itself has a life of mine of 25 years.

The deal is made up of an initial consideration of $675 million, which will see Kaz take a 75% interest in the project.

Breaking the deal down further, Kaz will pay $436 million in cash as well as three million Kaz Minerals shares, valued at $239 million.

The remaining 25% of the project will be acquired through a Deferred Consideration of $335 million.

“The acquisition of Baimskaya marks the next stage of the transformation of KAZ Minerals,” said Oleg Novachuk, Chair of Kaz Minerals.

”The development of this new project in Russia will enable the Group to continue its industry leading growth, delivering both value and volume as the copper market is forecast to enter a period of significant supply deficit. Through our successful execution of the Bozshakol and Aktogay projects in Kazakhstan we have built a track record for project execution which makes KAZ Minerals the ideal platform to develop this globally significant asset.”

Kaz Minerals operates Bozshakol and Aktogay open pit copper mines in the Pavlodar and East Region of Kazakhstan, three underground mines and associated concentrators in the East Region of Kazakhstan and the Bozymchak copper-gold mine in Kyrgyzstan.

Source: miningglobal

Supported byElevatePR Digital

Related News

OCSiAl expands SWCNT dispersion facility in Serbia to boost battery innovation

OCSiAl has completed construction of a state-of-the-art facility in Serbia dedicated to producing single wall carbon nanotube (SWCNT) dispersions. This facility, set to commence...

Europe’s position in the expanding battery market

The automotive industry is at a crossroads, necessitating transformation. Europe's focus on establishing expertise and capacity in battery cell production is crucial, supported by...

Ensuring responsible mineral supply chains in the renewable energy transition

The shift towards renewable energy is heavily reliant on minerals like copper, cobalt, bauxite and lithium for technologies such as batteries, electric vehicles, and...

Covas do Barroso: Local resistance against the push for lithium mining in Portugal

In the tranquil Portuguese village of Covas do Barroso, Nelson Gomes begins his day at dawn, tending to his cows and tending his vegetable...
Supported by
Supported by
Supported by
error: Content is protected !!