TM.v announces US$27.5 million stream agreement Trigon Metals (TSXV: TM) has secured a US$27.5 million silver and copper offtake stream for its Kombat Mine with Sprott Mining Inc.
Pursuant to the Transaction, Trigon shall sell and deliver to Sprott 100% of the silver produced from the Kombat Mine. The expansion of the Kombat Mine is projected to increase annual copper production and reduce forecasted operating costs.
The silver stream is for the life of mine, restricted to the Kombat Project, and does not include the Silver Hill Project or any new project Trigon may acquire. At its election, Trigon may buy back up to 50% of the stream via a single cash payment to Sprott.
Jed Richardson, President and CEO of Trigon, said, “We are very pleased to be partnering again with Sprott Streaming and Sprott Mining. This deal is of singular importance because it accelerates and funds our feasibility study and development works at the Kombat Mine. It is a timely deal, as well, since our present operations have progressed to the point where we can now initiate expansion plans that will improve our strong position even more. The ability to repurchase 50% of the silver stream is an important feature of this agreement, and ultimately was the deciding factor in choosing to work with Sprott Streaming. We remain bullish on silver and further exploration success, and the repurchase rights give us an option to restore that exposure for our shareholders.”
TM.v is currently trading at $.175, valued at $29.69 million.
https://ceo.ca/@businesswire/trigon-announces-us275-million-silver-streaming-term