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Australia’s Evolution Mining (OTCPK:CAHPF) said Monday it plans to raise A$525M (~US$347M) in equity to acquire an 80% stake in the Northparkes copper-gold mine in New South Wales from Chinese miner CMOC Group for as much as US$475M.
Evolution (OTCPK:CAHPF) said it will fund the acquisition via a A$525M fully underwritten institutional placement and a new A$200M five-year term debt facility.
The purchase will include an upfront payment of US$400M and up to US$75M in combined further payments linked to market prices, the company said.
Japan’s Sumitomo Corp. (OTCPK:SSUMF) (OTCPK:SSUMY) and Sumitomo Metal Mining (OTCPK:SMMYY) will continue to hold the remaining 20% interest in Northparkes mine.