Wednesday , January 27 2021

BHP and EMR Capital do not reach agreement and the sale of Cerro Colorado falls

He fell. BHP announced this afternoon that complete your agreement with EMR Capital to sell the Cerro Colorado copper mining operation, estimated at least $ 230 million.

The Anglo-Australian firm said the decision to terminate the agreement had been agreed between the parties "when it became clear that the funding conditions would not be met within the deadline."

Under the terms of this agreement, the transaction had to be closed down by the end of 2018, subject to funding and "normal closure conditions". The business includes a total cash payment of US $ 230 million, plus approximately $ 40 million from the sale of copper inventories after closure.

To this was added a conditional payment of up to $ 50 million, which will be paid in the future, depending on the effectiveness of the copper price.

"BHP and EMR are committed to working together to facilitate the smooth transition of ownership," said the Australian-Australian mining company in its November 19th statement.

Cerro Colorado is located in the Atacama desert in northern Chile and is one of two Pampa Norte honey extraction operations. In the fiscal year 2017, Cerro Colorado produces 65,000 tons of copper cathodes.

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