RE:RE:ATC into the sunset Hecla's news release today:
Hecla Mining Company (NYSE:HL) (“Hecla”) and ATAC Resources Ltd. (TSX:ATC) (“ATAC”) announced today the completion of the ATAC acquisition.
“With the ATAC acquisition, we continue to execute our strategy of acquiring large land packages with significant exploration potential in favorable mining jurisdictions,” said Phillips S. Baker, Jr., Hecla President & CEO. “The Rackla and Connaught properties in the Yukon are a massive land package of over 700 square miles (1830 square kilometers), almost half the size of Rhode Island, with identified gold, silver, and base metal mineralization. As a result of previous investment in exploration by ATAC, Hecla is not obligated for the next decade to make significant expenditures to maintain control of the land package, so while we will advance the exploration as quickly as possible, we will have flexibility on our pace of spending.”
Baker continued, “The acquisition further cements our position in the Yukon, with our Keno Hill mine going into production in the third quarter. Keno Hill is expected to produce more than 2.5 million ounces of silver in 2023 and to become Canada's largest and highest-grade primary silver mine. We look forward to continuing to build our relationships with the Na-Cho Nyak Dun and Tr’ondek Hwech’in Han First Nations and the Yukon Territory through our work at Keno Hill and the Rackla and Connaught Properties.”
Details of ATAC transaction
Hecla acquired all the outstanding shares of ATAC for total consideration of approximately US$18.8 million in Hecla common stock with the issuance of 3,676,904shares to ATAC shareholders based on the share exchange ratio of 0.166 of Hecla share for each ATAC common share. As part of the acquisition, Hecla acquired 5,502,956 units consisting of (i) shares of Cascadia Minerals Ltd. (“Cascadia”) representing a 19.9% stake, and (ii) full warrants with a five-year term for a C$2 million cash investment. Cascadia will be managed by the former management of ATAC, who will explore specific properties in the Yukon and British Columbia. Hecla will have the right to appoint two directors to Cascadia’s board.
Is it 0.0166 or is it o.166. The 0.166 noted above would be far better -- too bad it's just a typo. Presumably a correction will be coming out.