Transactions & Cases Detail



Transaction/Case Details

Compañía Minera Milpo and Triple Flag Mining Finance announce US$250M silver stream transaction on Cerro Lindo Mine

DATE CLOSED

January 21, 2017

BUSINESS SECTOR

Mining & Metals

LEAD OFFICE

Vancouver

VALUE

250 Million USD


OVERVIEW

On December 20, 2016, affiliates of Compañía Minera Milpo S.A.A. (Milpo) and Triple Flag Mining Finance Ltd. (Triple Flag) entered into a US$250M Silver Stream Agreement with respect to the Cerro Lindo Mine, located in Peru. The silver stream will initially be with respect to 65% of all payable silver from Cerro Lindo, which percentage will drop down to 25% once 19.5 million ounces of silver have been delivered under the agreement.

Under the agreement, Triple Flag Mining Finance Bermuda Ltd. will make an upfront payment of US$250 million to Milpo UK Limited and will pay 10% of the spot silver price at the time of delivery for each ounce of silver delivered by Milpo UK Limited.

Milpo is a Peruvian mining company dedicated to the exploration, extraction, processing and marketing of zinc, copper and lead concentrates, with silver and gold content, and it is currently one of the foremost polymetallic producers in Peru.

Triple Flag targets streaming and royalty investments in the mining sector with backing by Elliott Management Corporation.

McCarthy Tétrault advised Milpo with a team led by Roger Taplin that included Christopher Langdon, Frederico Marques, TJ Kang, Patrick Deutscher and Ainslie Hurd.

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Mining
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